It’s no secret that life has gotten more expensive over the years. But when looking back in time, the income required to be middle class or even upper-middle class might surprise you.
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Before we jump into the numbers, let’s define the term upper middle class. For the purposes of this article, upper middle class signifies the income of the top 20% of the middle class.
Explore the numbers of yesteryear in this guide.
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Salary Required To Be Upper Middle Class in 1985
Here’s a look at the household income requirements for the middle class in 1985:
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Median household income: $27,740
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Upper end of middle-class income: $47,240
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Lower end of middle-class income: $15,747
The numbers above don’t take inflation between 1985 and today into account. Below is a look at the middle-class income requirements of 1985 in today’s dollars:
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Median household income: $83,109
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Upper end of middle-class income: $141,531
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Lower end of middle-class income: $47,178
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Cost of Common Purchases in 1985
For many, it can be difficult to imagine living on the median income of 1985 comfortably. To get a better idea of what that income could buy you, here’s a look at the average prices of common purchases:
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Home prices: In January 1985, the average home sale price was $98,300, and the median home sale price was $82,500.
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Rent: As of 1980, median rent prices in the U.S. were $481. By 1990, median rent had risen to $571.
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Milk: A gallon of milk cost $2.20 in 1985.
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Eggs: A dozen eggs cost 80 cents.
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Bread: A loaf of bread cost an average of 99 cents.
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Ground beef: In 1985, ground beef cost $1.47 per pound.
As you can see, although the median income was lower, the cost of living was also lower in 1985.
Today’s Upper Middle Class Income Requirements
According to the Pew Research Center, middle-income households earned between $56,600 and $169,800 in 2022. This includes households with an income from two-thirds to double the U.S. median household income.
As of 2024, the U.S. Census Bureau estimated the current median household income in the country was $80,610. While the median household income has doubled since 1985, purchasing power has slipped.
How To Climb Into the Upper-Middle Class
Whether you have a low income or middle-class income, you might want to climb into the upper-middle class. Some strategies to increase your income include:
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Asking for a raise: Negotiating a higher salary at work can help you bump up your income without extra work.
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Take on extra hours: If you have an opportunity to work more and get overtime pay, that could represent a path to an upper-middle-class income.
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Build a business: Growing a business can help you supplement your income and build financial freedom along the way.
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Invest: Tucking away some of your income to invest for your future can help you create financial security and an additional income stream. For example, let’s say you invest by purchasing rental properties, the rental income could help you hit the upper-middle-class income threshold.
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This article originally appeared on GOBankingRates.com: This Was the Salary Required To Be Upper Middle Class in 1985