In the United States, accurately defining whether one belongs to the upper middle class is not as easy as imagined. This involves factors such as family income, cost of living, regional variations, and the economic conditions, taxes, and other factors of the area where one resides.
Not only do the standards vary across different regions, but these factors can change at any time, making it more complex to make an accurate judgment. Moreover, experts point out that in 2025, the criteria for becoming part of the American upper middle class may become even higher.
So, in 2025, how much income level do you need to reach in order to step into the threshold of the American upper middle class? Let’s explore some relevant data provided by the gobankingrates website on this issue.
On a nationwide average basis, in 2024, according to data from the Pew Research Center, an annual income below $56,600 is considered low-income for families, while high-income families have an annual income exceeding $169,800.
Meanwhile, based on the latest data from the U.S. Census Bureau, in 2024, the median household income in the United States was $75,580. Typically, the income range for the middle class falls between $49,715 and $149,160.
To ascend to the upper middle class, one needs to at least enter the top 20% of the middle class. This means that if your household income falls between $106,000 and $150,000, in most cities in the United States, you may already belong to the upper middle class.
However, there is a significant disparity in the cost of living in different regions, and the income thresholds for the upper middle class vary greatly among states.
For example, in Mississippi, with a median household income of $52,985, a family with an income of $91,841 can be classified as upper middle class. In Maryland, where the median household income is higher at $98,461, the standard for the upper middle class increases to $176,660.
Additionally, in metropolitan areas, especially in regions with high housing prices such as California, the entry threshold for the upper middle class is also higher. Data shows that in California, a household needs to earn $159,302 annually to be considered part of the upper middle class, and in major cities like San Francisco and Los Angeles, this figure can be even higher.
In 2025, facing the continued rise in prices, particularly in expenses such as housing, healthcare, and education, middle-class families may encounter greater economic pressure. In other words, if inflation continues to rise, the income standard for judging entry into the upper middle class in 2025 may also be further adjusted.