In the pursuit of the American Dream, the definition of middle class varies significantly across the United States. While many aspire to achieve financial stability, the income required to be considered middle class can be surprisingly low in some states.
Recent studies reveal that states like Mississippi and Arkansas have some of the lowest thresholds for middle class income, with annual earnings as modest as $35,000 needed to meet this classification.
These disparities highlight the stark differences in economic realities across the nation. For families in these states, achieving middle class status may not guarantee the comfort and stability that many envision.
Understanding these income levels sheds light on the broader economic landscape and the challenges faced by households striving for a better quality of life.
1: Arkansas
Arkansas has the lowest threshold for middle class income, requiring only $40,928 annually. This modest figure reflects broader economic challenges.
The average mortgage payment is $722, and average monthly student loan payments amount to $201, underscoring financial pressures faced by residents.
2: West Virginia
West Virginia ranks among the states with the lowest middle class income, requiring only $41,649 annually. Monthly student loans average $199 per household, easing some financial burdens.
The average mortgage payment hits $730, reflecting the modest economic landscape that shapes residents’ lives.
3: Mississippi
Mississippi ranks third among states with the lowest middle class income. Residents only need to earn $41,839 to be classified as middle class. Average monthly costs reflect financial strains, with home mortgages at $734 and car payments at $323.
4: Indiana
Indiana requires residents to earn at least $43,310 to be considered middle class. This figure reflects economic conditions in the state.
Despite a higher average monthly mortgage of $773, student loan payments average only $199, easing financial pressure for many families.
5: Kentucky
Kentucky ranks fifth, requiring an annual income of $43,747 to be in the middle class. It has monthly expenses that reflect this threshold, including a $789 mortgage payment, $324 for a car, and $199 for student loans.
6: Ohio
Ohioans need an annual income of at least $43,949 to meet middle class status. Monthly mortgage payments average just below Kentucky’s, at approximately $782. Monthly car payments are slightly higher at $325, while student loans average around $200.
7: Iowa
Iowans need an annual income of $43,997 to be in the middle class, slightly higher than Ohio. Monthly student loan payments average the highest on this list at $205, adding to financial stress.
8: Oklahoma
Oklahomans need an annual household income of $44,008 to be considered middle class, placing the state among those with lower thresholds. Despite the financial strain, average monthly car payments sit at $365, and average mortgage payments are a manageable $760.
9: Alabama
Alabama requires a minimum annual income of $45,559 to be considered middle class. Average monthly mortgage payments total $796, with student loans averaging $204, adding to the financial pressures faced by residents.
10: Kansas
Kansas ranks as the tenth lowest state for middle class income, necessitating an annual income of $46,485. It faces economic challenges, highlighted by a significantly higher average monthly mortgage payment of $850 and rising car and student loan payments, placing pressure on residents.
11: Missouri
Missouri requires households to earn at least $46,649 annually to be considered middle class. Average monthly expenses include $853 for a mortgage, $338 for car payments, and $208 for student loans, reflecting financial pressures on residents.
12: Nebraska
Nebraska requires an annual income of $46,906 to be considered middle class. It features an average monthly student loan payment of $199, aiding many families.
However, the average mortgage payment is $886, which surpasses national averages and adds financial strain.
13: Michigan
Michigan requires an annual income of $47,044 to be considered middle class. Average monthly payments include $873 for mortgages, $332 for car loans, and $206 for student loans. These costs reflect significant financial pressures on families navigating the state’s economy.
14: South Dakota
South Dakota ranks among the states with the lowest middle class income, requiring an annual income of $48,258. Residents face a higher-than-average mortgage of $946, while manageable monthly student loan and car payments are $192 and $310, respectively.
15: New Mexico
New Mexicans must earn $48,602 annually to be considered middle class. Monthly mortgage payments average $928, while car payments sit at $316. These financial obligations hinder residents from achieving better economic stability.
16: South Carolina
South Carolina requires a minimum annual income of $49,110 to be considered middle class. Residents face an average monthly mortgage of $963, which contributes to financial strain. Also, they typically pay $201 monthly towards student loans.
17: Louisiana
Louisiana requires an annual income of $49,587 for middle class status. Monthly average mortgage payments are relatively low at $901. However, average monthly car payments are the highest in the nation at $394, putting additional financial strain on residents.
18: Wisconsin
Wisconsin is the first state to break into the $50,000s for middle class income, requiring an annual household income of at least $50,062. Average monthly expenses include a $970 mortgage and $205 for student loans, highlighting financial challenges residents face.
19: Tennessee
Tennessee requires a household income of $50,629 or more to be considered middle class. Average monthly car payments stand at $331, while average mortgage payments are $986, reflecting the financial challenges faced by many families.
20: North Carolina
North Carolina requires an annual income of $51,144 to be considered middle class. Residents face an average monthly mortgage payment of $1,015, making homeownership a significant financial commitment. Also, they spend about $199 on student loans and $320 on car payments, further straining their budgets.
21: Pennsylvania
Pennsylvania requires an annual income of $51,346 to be considered middle class. Residents deal with average monthly mortgage payments of $1,021, monthly student loan payments of $199, and car payments around $320, reflecting significant financial pressures.
22: Maine
Maine requires an annual income of at least $51,608 to be considered middle class. Average monthly mortgage payments are $1,016, while student loan payments average $210. Residents face notable financial pressures, especially when managing these expenses.
23: North Dakota
North Dakota requires an annual income of $52,935 for residents to qualify as middle class. It ties with Alaska for the lowest average monthly car payment at $300.
However, residents face the highest monthly mortgage payment on this list at $1,075, impacting their financial stability.
24: Illinois
Illinois requires an annual income of $53,961 for middle class status. Residents face an average monthly mortgage payment of $1,059 and one of the highest student loan payments in the nation at $217, intensifying financial pressures.
25: Georgia
Georgians need an annual income of $54,213 to be classified as middle class. Monthly expenses are significant, with average mortgage payments at $1,052 and average car payments reaching $374. These financial pressures challenge Georgia families in maintaining their standard of living.
26: Wyoming
Wyomingites need to earn a minimum average of $54,849 to be considered middle class. Though they enjoy the nation’s lowest average monthly student loan payment of $176, their monthly mortgage of $1,152 significantly impacts financial stability.
27: Vermont
Vermont requires an annual income of at least $55,371 for middle class status. Residents face an average monthly mortgage payment of $1,145, slightly lower than Wyoming’s.
However, Vermonters encounter significantly higher average student loan payments at $201, adding to financial strain.
28: Texas
Texas requires an annual income of $55,605 for middle class status. It’s notable for having larger average monthly car payments at $375. Also, the average mortgage payment is $1,089, representing a significant financial commitment for residents.
29: Florida
Florida requires an annual income of $58,833 for middle-class status. Residents face an average monthly mortgage payment of $1,236, pushing financial boundaries. However, monthly student loan payments average $196, while car payments sit at $333, offering some relief compared to other states.
30: Idaho
Idaho requires a middle-class income of $58,866, placing it alongside Florida. Idaho has an average monthly mortgage of $1,262 but benefits from lower average payments for car loans at $327 and student loans at $177.
31: Minnesota
Minnesota requires an annual income of $58,903 to be considered middle class. Residents face an average monthly student loan payment of $215 and a mortgage payment of $1,220, reflecting financial pressures within the state.
32: Montana
Montana ranks as the 32nd state for the lowest middle-class income, requiring an annual income of $59,496. Montanans face an average monthly mortgage of $1,295, $201 in student loans, and $289 for car payments, indicating significant financial responsibilities.
33: Delaware
Delaware requires its residents to earn at least $60,015 annually to be classified as middle class. Average monthly mortgage payments stand at $1,268, while monthly student loans amount to $212, highlighting financial pressures on families.
34: Arizona
Arizona requires an annual income of $61,699 to be considered middle class. Residents face an average monthly mortgage payment of $1,297, but benefit from relatively low student loan payments averaging $200.
35: Rhode Island
Rhode Islanders need an annual income of $62,691 to be considered middle class. They face the highest average monthly mortgage payments in the country at $1,330. Also, average monthly car payments are substantial too, sitting at $333.
36: New Hampshire
New Hampshire requires an annual income of $62,890 to achieve middle-class status. Monthly mortgage payments average $1,373, and car payments typically run about $301. Residents face financial pressures, balancing these costs while striving for economic stability.
37: Connecticut
Connecticut requires an annual household income of at least $63,375 to be considered middle class. Residents face high financial pressures with average monthly mortgage payments of $1,347 and student loan payments averaging $225.
38: Alaska
Alaska requires an annual income of $63,873 to be considered middle class. Alaskans face the highest average monthly mortgage payments in the nation at $1,409. However, their average monthly car loan payment of $300 is among the lowest nationwide, offering some financial relief.
39: Virginia
Virginia requires an annual income of $67,197 to be considered middle class, which is $3,000 more than Alaska’s threshold. Average monthly mortgage payments in Virginia reach $1,480, while monthly student loans average $216, intensifying financial pressures for families.
40: Nevada
Residents need an annual income of $70,752 to achieve middle-class status in Nevada. Average monthly car payments hit $387, the second-highest in the U.S. Also, typical mortgage payments average $1,545, exerting significant financial pressure on households.
41: Utah
Utah requires an annual income of $71,034 to be classified as middle class. Average monthly mortgage payments in the state hit $1,595. Also, residents face manageable average monthly student loan payments of $202.
42: Maryland
Maryland requires an annual income of $71,844 to be considered middle class. Average monthly mortgage payments are $1,609, while typical car payments amount to $330. Residents face significant financial pressures in this economically diverse state.
43: New Jersey
New Jersey ranks as number 43 in terms of middle-class income, requiring residents to earn at least $74,485 annually.
Residents face an average monthly mortgage payment of $1,679, alongside significant student loan repayments averaging $226 per month, the second-highest in the US.
44: Oregon
Oregon requires an annual income of $74,865 to reach middle-class status. Monthly mortgage payments average $1,726, while the average car payment is significantly lower at $305. These figures illustrate the financial challenges residents face in balancing housing costs with other expenses.
45: New York
New York requires residents to earn at least $75,403 to be considered middle class. Monthly mortgage payments average $1,706, while car and student loan payments sit higher at $333 and $223, respectively. These figures highlight significant financial pressures on families.
46: Washington
Washington requires an annual income of $81,203 to qualify as middle class, which is $5,000 higher than New York. Monthly mortgage payments average $1,888, and car payments typically reach $336, highlighting financial strains.
47: Colorado
Colorado ranks with a middle-class income requirement of $81,602 annually. Residents face an average mortgage payment that’s $16 higher than the national average. Also, monthly student loan payments average $208, reflecting the financial strain on families in the state.
48: Massachusetts
Massachusetts requires an annual income of $85,567 for residents to achieve middle-class status. Monthly mortgage payments average $2,010, making housing a significant burden. Also, the state has the highest monthly student loan payments, averaging $229.
49: California
California stands out with a middle-class income requirement of $111,206 annually. Residents face high living costs, including an average monthly mortgage of $2,757 and car payments averaging $358. These financial pressures illustrate the significant economic challenges within the state.
50: Hawaii
Hawaii requires the highest annual income for middle-class status at $122,695. Residents face an average mortgage of $3,171, making homeownership costly. Despite this, student loans average just $200 monthly, somewhat easing the financial burden.
Alicia Richards