Here’s How the Definition of Middle Class Has Changed in Texas

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The criteria defining what it is to be middle class aren’t fixed, but are pinned on things like the cost of living, inflation, wage growth, and other economic factors. The income you would have to earn to be considered “middle class” shifts as these criteria change.

It’s a figure that’s seen a lot of growth over the past decade, with Texas seeing its share of differences in the 10 years from 2012 to 2022. Keep reading for a look at how the definition of middle class has changed in Texas and how it compares to other states.

Also here’s how the definition of middle class has changed in every state.

Middle Class in Texas: A Closer Look

In 2022, Texan households needed to earn a minimum of $48,690 to be considered middle class. Those earning over $146,070 would be regarded as upper class. A decade earlier, in 2012, that range was $34,375 to $103,126 — that’s a 42% increase over 10 years. These changes reflect broader economic changes, including the rising cost of housing, health care and other essentials, inflation and wage growth in various sectors with a significant presence within the state.

How It Compares To Other States

The Lone Star state is just a little higher than the median regarding the percentage increase in those middle-class income figures. Compared to other states, Texas is experiencing healthy economic growth. However, it’s worth noting that its middle-of-the-road status also means it can’t match those states with the most significant adjustments in income thresholds.

States With the Most Change in Middle Class Figures

California is a good example of a surge in middle-class income ranges. In 2022, to be considered middle class in California, one would have to earn between $61,270 and $183,810, a 50% increase from 2012. Oregon and the state of Washington also saw substantial increases of 53% and 52%, respectively.

States With the Least Change in Middle Class Figures

Alaska is among the states with the smallest change in middle-class income definitions, with only a 24% increase from 2012 to 2022. In 2022, Alaskan households needed an income range of $57,580 to $172,740 to be considered middle class — a lower percentage change compared to many other states, possibly due to the state’s unique economic conditions and considerably lower population density.

Mississippi holds the title for the lowest household income needed to be middle class, with a 2022 range of $35,323 to $105,970, marking a 36% increase over the past decade. Although the percentage increase puts it in moderate change territory, the baseline income needed to be considered middle class remains the lowest in the nation.

^{Methodology: For the numbers behind this analysis, GOBankingRates used household median income data from 2012, 2017 and 2022 sourced from the American Community Surveys by the U.S. Census Bureau. Middle-class income was defined as household earnings between two-thirds of and double that of the national median income. For each state, GOBankingRates identified the middle-class income range for 2012, 2017 and 2022, the 10-year change in the middle-class income range and the 10-year percentage change in the middle-class income range. All data was collected and current as of April 8, 2024.}

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