The middle class is often seen as the backbone of society, but what is the difference between middle class and rich? To answer this question, it is important to understand the definition of each term and the financial differences between them.
The middle class is often defined as the middle three quintiles, or 20% of the population. The median net worth of the middle class is $104,700, which is enough to provide a comfortable lifestyle for most people. The next 20% of the population is considered the upper-middle class, with a median net worth of $201,800. Finally, the top 20% of the population is considered wealthy, with a median net worth of $608,900.
In addition to these financial differences, there are also other distinctions between the middle class and the wealthy. For example, the wealthy tend to have more access to resources such as education, healthcare, and investments. They also tend to have more influence in politics and business.
The middle class, on the other hand, is more likely to be living paycheck to paycheck and struggling to make ends meet. They are also more likely to be affected by economic downturns and changes in the job market.
Overall, the differences between the middle class and the wealthy are quite stark. While the wealthy have more resources and influence, the middle class is more likely to be struggling financially. It is important to understand these differences in order to better understand the economic landscape and how to best help those in need.