Making the middle class is tougher in New Jersey than nearly every other state.
The middle class is a socioeconomic group that falls between the working class and the upper class. They are likely to have enough disposable income to afford eating out and vacationing, but also rely on loans for their homes, cars and college costs, according to Investopia.
New Jersey ranks second in the country to Maryland with the highest income range to qualify for middle class, according to a report by GOBankingRates, and going into the new year the Garden State will also be among the highest in minimum wages.
How much do you need to earn to be considered middle class in New Jersey?
According to the United States Census Bureau, the median household income in the nation is $78,538, albeit middle-income households in the U.S. earned between approximately $56,600 and $169,800, Pew Research Center reported. Households earning less than $56,600 were considered lower-income, while those earning more than $169,800 were classified as upper-income.
Here is what middle class means in New Jersey and a calculator to check where you fall in your city.
What is middle class in New Jersey?
According to GOBankingRates, New Jersey’s middle class income in 2022 (the most recent year available from Census data) was between $64,750 and $194,252.
New Jersey’s median household income is $101,050 according to the Census Bureau.
To be in the top 10% of earners in New Jersey, you’d need to earn $346,846, according to Yahoo Finance. In 2024, the pre-tax salary required to be in the top 1% of earners in New Jersey is $825,965.
The Pew Research Center reports that 52% of U.S. adults lived in middle-income households in 2022, approximately 28% were in lower-income households and 19% were in upper-income households.
The calculator below shows your earning class based on income and location.
What is middle class in Pennsylvania and Delaware?
In New Jersey, middle class wages are between $64,750 and $194,252.
In Delaware, middle class wages are between $52,883 and $158,650.
In Pennsylvania, middle class wages are between $48,780 and $146,340.
What is New Jersey’s minimum wage?
As of Jan. 1, more than a quarter-million workers in New Jersey will make more money as the state’s minimum wage will go up by 36 cents to $15.49 per hour.
States have to set their minimum wage at or above the federal minimum, which is currently $7.25 per hour.
The hike to $15.49 for New Jersey is the first based on inflation and cost-of-living changes. The state first started raising the minimum wage in 2019 with a goal of getting to $15 an hour by 2024. The current rate went to $15.13 on Jan. 1. 2024.
That effort by Gov. Phil Murphy also baked in cost-of-living increases to the minimum wage each year after 2024.
This article originally appeared on NorthJersey.com: Middle class in New Jersey: Here’s the income calculator