This week Gail Long shares the 6 Signs that you've made it to the middle class. How do you measure up? Are you heading in the right direction?
6 Signs That You’ve Made It To Middle Class
The middle class is a vanishing breed according to surveys and statistics. People earning 20% of the average income and 80% all claim to be part of the middle class. Instead of focusing on a dollar amount, look at the lifestyle benchmarks that define middle class status. There is no official standard; however, the government taskforce listed six financial aspirations.
• Home Ownership
Home ownership continues as the big step up from renting. Since median home prices differ across the United States, the ability to own a home varies by geographical area.
• Automobile Ownership
Owning an automobile allows freedom of movement, avoiding the hassles of schedules and limited movement of mass transit. The cost of cars varies as does the kind of vehicle required.
• College Education for the Children
Helping children get ahead in life is a primary goal. Location of the college and costs of continuing education impact decisions.
• Health Care Coverage
Middle class earners are concerned about the ability to obtain healthcare. The rising costs of prescription costs and medical care are important goals for the middle class.
• Family Vacation
This is considered a middle class staple. Vacations demonstrate that a family has disposable income and is successful enough to take time away form the job.
• Retirement Security
The goal of retirement demonstrates success and provides a reward for years of hard work. Your definition of security makes a difference in how much you need to retire. Do you want “a staff of ten at your villa or a townhouse?”
Advances in technology and globalization helped to reverse the growth of middle class. Many households became two-income families.
How To Get There?
Take proactive steps to bring your dream to a reality.
• Budgeting
Understand where your money goes
• Planning
• Working and Putting Your Money to Work
Live on less than you make and save a little each week for retirement
• Watch for opportunities and make the most of them.
Samuel Goldwyn, motion picture mogul, said “The harder I work, the luckier I get!”
From an article by James E. McWhinney, dated
Aug.27, 2010
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