Americans now have an easier way to figure out if they are in the middle class. Pew Research Center came up with a new income calculator exactly for this task.
“Our calculator below, updated with 2018 data, lets you find out which group you are in – first compared with other adults in your metropolitan area and among American adults overall, and then compared with other adults in the United States similar to you in education, age, race or ethnicity, and marital status,” Pew Research Center said in a blog post on July 23rd.
According to Pew Research Center, based on 2018 data, 52% of Americans are in middle-income households; 29% are in lower-income households; 19% are in upper-income households.
How It Determines Status
Pew Research Center explains that the calculator takes your household income and adjusts it for the size of your household. “The income is revised upward for households that are below average in size and downward for those of above average size,” the blog post read.
The calculator uses two factors to determine your income tier. These are your size-adjusted household income and the cost of living in your area.
The second part of the calculator asks more questions about your education, age, race or ethnicity, and marital status. They do so in order for you to see how other demographically similar adults are distributed across lower-, middle- and upper-income tiers in the U.S. overall, the blog post also explained.
Pew Research Center then mentioned that the income calculator encompasses 260 of some 384 metropolitan areas in the U.S. “If you live in an area outside of one of these 260 areas, the calculator reports the estimates for your state,” the blog post also stated.