Money is Beginning to Change Hands
In recent years the United States has been experiencing one of the greatest transfers of wealth that it has ever seen. Retirees, who are leading the country as far as wealth are beginning to hand their money down through their familial generations and many middle class Americans are finding themselves richer
It is being said those who will bequest this wealth will greatly boost the resources of the 76 million Baby Boomers. If thats true, then the next few decades will see an estimated $40.6 trillion change hands as Baby Boomers and their parents pass their accumulated wealth to their heirs.
Meanwhile we are being told that we are facing a shrinking middle class. Some want to interpret this to mean that soon we will only have the very rich and the very poor in our nation.
If there is no middle class, does that mean we will only have the very rich and the very poor? As detrimental as that may sound, it is important to avoid classification labels and look at the real picture.
How are you Affected?
If you are one of those people who see themselves as working middle class than this information may be frightening. You may also need to reconsider the way you classify people and how you feel you fit in to all of this. The way you look at your class standing has a lot to do with how well economically you will do.
By the same token you may be delighted feeling that this wealth transfer and lack of middle class will have you moving on up.
What is the Middle Class?
There really are no good contemporary parameters that describe or define the middle class. Opposed to twenty years ago it seems that even the lower class has more. Is middle class defined by the material possessions we have or is situated somewhere just below the poverty stricken members of society. Is middle class defined by a lifestyle?
The relevance in these questions is that the middle class can largely be determined by your own viewpoint. If you measure your wealth by watching the news or if you feel constantly unable to keep up with the Joness than chances are your behavior and attitude about wealth is affecting your behavior and therefore your own financial freedom.
Engraved in Stone?
The fact is, the shrinkage theory not engraved in stone. It is hotly debated by economists who choose to measure the middle class in different terms, whether by changing the income brackets or by focusing on job categories. Some researchers actually see a smaller shrinkage or barely any at all. (We dont usually hear much about their views.)
When you consider the following your viewpoints on your own economic standing may change drastically.
Fewer people today live in households with incomes between $30,000 and $100,000 (a reasonable definition of "middle class") than in 1979.
The amount of persons earning more than $100,000 has risen from 12 to 24 percent during the same time period.
While that looks good for the middle class the same research suggests that households making less than $30k per year are remaining static.
More and more people are making more money thus the dcline of the "middle class".
For married couples, median incomes have grown in inflation-adjusted dollars by 25% since 1979.
Reading these facts, you can easily see that the decline of the middle class is more likely because they are the ones moving up rather than down the economic ladder of success!
The wealth transfer and possible rise of the middle class to richer folks may mean that there is greater resource for all these people to invest in your product or service.
And if you are dead set on believing that the middle class is shrinking, then believe that it is shrinking because you have determined to leave those ranks and move upward! - 15478
In recent years the United States has been experiencing one of the greatest transfers of wealth that it has ever seen. Retirees, who are leading the country as far as wealth are beginning to hand their money down through their familial generations and many middle class Americans are finding themselves richer
It is being said those who will bequest this wealth will greatly boost the resources of the 76 million Baby Boomers. If thats true, then the next few decades will see an estimated $40.6 trillion change hands as Baby Boomers and their parents pass their accumulated wealth to their heirs.
Meanwhile we are being told that we are facing a shrinking middle class. Some want to interpret this to mean that soon we will only have the very rich and the very poor in our nation.
If there is no middle class, does that mean we will only have the very rich and the very poor? As detrimental as that may sound, it is important to avoid classification labels and look at the real picture.
How are you Affected?
If you are one of those people who see themselves as working middle class than this information may be frightening. You may also need to reconsider the way you classify people and how you feel you fit in to all of this. The way you look at your class standing has a lot to do with how well economically you will do.
By the same token you may be delighted feeling that this wealth transfer and lack of middle class will have you moving on up.
What is the Middle Class?
There really are no good contemporary parameters that describe or define the middle class. Opposed to twenty years ago it seems that even the lower class has more. Is middle class defined by the material possessions we have or is situated somewhere just below the poverty stricken members of society. Is middle class defined by a lifestyle?
The relevance in these questions is that the middle class can largely be determined by your own viewpoint. If you measure your wealth by watching the news or if you feel constantly unable to keep up with the Joness than chances are your behavior and attitude about wealth is affecting your behavior and therefore your own financial freedom.
Engraved in Stone?
The fact is, the shrinkage theory not engraved in stone. It is hotly debated by economists who choose to measure the middle class in different terms, whether by changing the income brackets or by focusing on job categories. Some researchers actually see a smaller shrinkage or barely any at all. (We dont usually hear much about their views.)
When you consider the following your viewpoints on your own economic standing may change drastically.
Fewer people today live in households with incomes between $30,000 and $100,000 (a reasonable definition of "middle class") than in 1979.
The amount of persons earning more than $100,000 has risen from 12 to 24 percent during the same time period.
While that looks good for the middle class the same research suggests that households making less than $30k per year are remaining static.
More and more people are making more money thus the dcline of the "middle class".
For married couples, median incomes have grown in inflation-adjusted dollars by 25% since 1979.
Reading these facts, you can easily see that the decline of the middle class is more likely because they are the ones moving up rather than down the economic ladder of success!
The wealth transfer and possible rise of the middle class to richer folks may mean that there is greater resource for all these people to invest in your product or service.
And if you are dead set on believing that the middle class is shrinking, then believe that it is shrinking because you have determined to leave those ranks and move upward! - 15478
About the Author:
Rob Walcher can be considered as one who determined long ago to move out of the ranks of middle class. He shot to the top in two different direct sales companies in a matter of 18 months and has become known as the Ten-Figure Guru. If you want to learn how to get comfortable with a few more zeroes in your income and work directly with Rob click here
