Latest news with #upperclass
Yahoo
15-07-2025
- Business
- Yahoo
7 Key Signs You'll Never Make It to the Upper Class
America is based on the concept of upward mobility. While there are certainly obstacles to the American Dream for many, you're not doing yourself any favors if you put obstacles in the way of your own success. If you're striving to create a better financial life for yourself, and perhaps even reach the upper echelons of wealth in America, you'll have to make a plan — and avoid numerous pitfalls. If any of the following characteristics apply to you, it's a sign that you'll have to make some changes if you want to make it to the upper class. Find Out: Read Next: Debt is the single biggest drag in the quest for wealth. Every dollar you divert to your debt is a dollar you can't save or invest. Even worse, if you're paying 25% or more in interest on your debt, it's likely growing instead of shrinking. As billionaire Mark Cuban once cautioned on the Dave Ramsey Show, 'The best place to invest is to pay off all your credit cards and burn them. If you're paying 15% or 20% interest, paying that down is like earning 15% or 20%. It's that simple,' he said. Learn More: If you live paycheck to paycheck, it means there's no room in your budget to set aside money for savings and investments. Without living within your means, you'll never accumulate real wealth. In fact, the more likely scenario is that you rack up credit card debt. There are only two solutions to get out of the paycheck-to-paycheck cycle — earn more or spend less. If you're already on a tight budget, earning more might be your only choice. Look around for higher-paying jobs that can leverage your existing talents, or better yet, consider taking classes or workshops to make yourself a more valuable worker. As billionaire Warren Buffett often says, investing in yourself is the best thing you can do. As difficult as it may be to climb the wealth ladder in America, it's harder still if you don't have others that you can lean on. There are very few truly self-made millionaires and billionaires in the world. Even entrepreneurs rely on networking to gain visibility for their products and services and connections to make deals. If you're closer to the bottom of the ladder and simply looking for a higher-paying job, knowing people in positions of power can help you stand out from the crowd of anonymous resumes and electronic job applications. Diversifying your income streams is a hallmark of the upper class. If you rely on a single source of income, your financial life could be immediately upended at any time due to layoffs or salary cutbacks. Multiple streams of income not only protect you from sudden calamity but typically boost the amount of money you earn as well. Typical sources of additional revenue include side gigs, personal businesses, rental income and investments. It's one thing to earn a high salary. But as many financial experts will tell you, without knowing how to save and invest that money, it won't get you that far in terms of your lifelong net worth. In fact, if you don't consciously set aside a big chunk of your money, it's more likely that you'll end up spending all of it, falling into the pattern of living paycheck to paycheck. To truly create lifelong wealth, do all you can to stop trading hours for dollars. Instead of working hard all day to make money for someone else, consider owning a business so all the profits go to you instead. Another option is to build up various means of passive income, such as rental income, investment income or even royalty income, if you have the means. All of these methods allow you to 'make money while you sleep,' meaning you don't need to clock into a 9-to-5 job and rely on someone else paying you for your valuable time. Your workplace retirement plan is the closest thing to 'free money' you're likely to ever have. Not only can you defer taxes on your contributions until retirement, your employer will typically make some type of matching contribution to beef up your account. If you earn $100,000 and contribute $6,000 to your 401(k), for example, you might receive an additional $3,000 from your employer, or $6,000 if they offer a 100% match. This can amount to tens of thousands of dollars added to your retirement plan on your behalf, an amount that might grow to hundreds of thousands over time due to the magic of compound interest. Skipping out on this type of financial boost makes no sense if you're trying to reach upper-class status. More From GOBankingRates 3 Luxury SUVs That Will Have Massive Price Drops in Summer 2025 Warren Buffett: 10 Things Poor People Waste Money On The 5 Car Brands Named the Least Reliable of 2025 This article originally appeared on 7 Key Signs You'll Never Make It to the Upper Class
The Guardian
15-07-2025
- Entertainment
- The Guardian
‘A rarefied world of privilege': lives of the New England upper class
In the late 1970s, Tina Barney began a decades-long exploration of the (often hidden) life of the New England upper class, to which she and her family belonged. Photographing close relatives and friends, she became an astute observer of the rituals common to the intergenerational summer gatherings held in picturesque homes along the US east coast Developing her portraiture further in the 1980s, she began directing her subjects, giving an intimate scale to large-format photographs Tina Barney: 'This was a very early photo and I had just begun working with a 4x5 view camera. I used the available tungsten lighting so the exposure was long, and therefore my mother had to hold still for a couple of seconds. The table setting was typical for her to create since she was an interior decorator and she enjoyed the process' 'There's so much action going on at this moment since the setting was my sister's wedding reception. I had a flash on top of my Toyo 4x5 camera and it caught so many terrific details. The flowers going through my sister's head, her hands that mimic the little angel behind her dressed in gold, the angel's halo looking like my sister's hat, and on and on …' These personal, often surreal, scenes present a secret world of the haute bourgeoisie – a landscape of hidden tension found in micro-expressions and in what Barney calls the subtle gestures of 'disruption' that belie the dreamlike worlds of patrician tableaux Tina Barney says: 'This photograph was very different for me. I usually didn't make such minimalistic compositions plus I rarely made verticals. At this time I was influenced by Thomas Ruff's giant vertical heads. Having two heads however was more difficult to photograph since I had to struggle with the focus and I was using an 8x10 camera which is not an easy task' Family Ties collects 60 large-format portraits from the three decades that defined Barney's career The images highlight the artist's approach to large-format photography, her ongoing interest in the rituals of families, and her own ideas of composition, colour and the complex relationship between photography and painting Tina Barney: 'The gaze is the most powerful detail in this photograph. That gaze defines the entire spirit of a human being, exits through the eyes and is perceived by the viewer therefore holding our attention. The grace and composure of this young girl is hard to find as a photographer' Tina Barney: 'I was photographing a family in Barcelona when I realised one of the family members was downstairs having their bust sculpted in clay. What is curious is that the white lamp in that space interested me more than anything else. Its graphic white form stood out against the green leather door' 'The more stuff in a space or a room for me, the easier it is. The more minimalistic a space is, the more difficult, because then you have to work harder. You've got to think about that figure and what to do with it' Tina Barney did not idealise. Her subjects appear to us in the complete banality of their daily lives
Yahoo
01-06-2025
- Business
- Yahoo
7 Best Ways Upper-Class Retirees Can Reduce Their Tax Bills
The upper class may not have the same struggles as the average person, but they do have one problem many people share: trying to minimize taxes on their income. Find Out: Read Next: While 'upper class' definitions can vary due to a wide spectrum of costs of living across the U.S., the minimum to be considered upper class is around $170,000. If you're retiring in a higher income bracket, here are seven tips to minimize your tax burden. In 2017, President Donald Trump passed The Tax Cuts and Jobs Act (TCJA), which changed tax brackets more favorably for those making higher incomes. Those tax cuts end in 2025, but Aaron Brask, a fiduciary investment advisor with Aaron Brask Capital, expects that '[Trump] will make every effort to extend the low tax rates associated with that legislation.' If his administration is unable to pass legislation saving those cuts, then the tax brackets and rates would change significantly, Brask said. Learn More: One of the easiest and most impactful tax strategies, however, is 'asset location,' Brask said — clarifying this is where to put your money, not 'allocation,' the process of deciding how much to invest where, which comes first. 'Once you have determined your overall asset allocation, the basic idea is to strategically locate assets across one's taxable, tax-deferred accounts such as a traditional IRA and a tax-free growth account like a Roth IRA.' He said he prefers not to locate stock positions within tax-deferred accounts because the long-term growth will ultimately be taxed as ordinary income. 'I also do not like locating CDs, money market funds or bonds within taxable accounts. Whether or not you are taking the interest out, it still ends up on your tax return.' Retirees can also use Roth conversions or strategic withdrawal strategies to manage the timing of their taxes on their pretax retirement accounts like traditional IRAs or 401(k) plans, Brask said. 'By converting or distributing from these accounts earlier in retirement, they can reduce the size of the pretax accounts and corresponding required minimum withdrawals (RMDs).' However, he warned that 'they are not a silver bullet solution that applies to everyone.' While many people only consider the tax rate paid on a conversion, there are a variety of other factors that should be taken into consideration. If you've got money to spare and you want to pass it on to heirs, IRA owners over age 70 1/2 are allowed to make a qualified charitable distribution (QCD) of up to $108,000 annually (adjusted for inflation) from their IRAs directly to charity, according to Bill Knox, senior director of technical consulting and strategic innovation projects at TIAA Kaspick. This gift not only benefits the charity but also counts toward the IRA owner's RMD for the year, reducing or potentially eliminating the taxes owed on the distribution. 'Better yet, this opportunity does not require the IRA owner to itemize their taxes in order to receive the benefit,' Knox said. If giving is one of your strategies, another option is a deferred charitable gift annuity (DGA), 'one of philanthropy's best kept secrets,' Knox said. 'These life income gifts allow donors to contribute cash or other assets to charity, receive a current income tax deduction, bypass capital gains (if applicable) on the sale of contributed assets, and save money for retirement.' This provides a reliable and fixed annuity payment each year for the rest of their life. Lastly, charitable remainder trusts (CRTs) allow high-net-worth donors to provide for their loved ones and make a meaningful charitable gift all while reducing their taxable estates, Knox shared. 'CRTs allow a donor to, essentially, give a gift twice; first, an income stream for the donor's loved ones, and second, the remainder of the trust to the donor's favorite charity. Structured correctly, CRTs allow donors to provide loved ones with lifetime income while reducing estate taxes,' he said. If you live in a state with high taxes, and you have the flexibility to move, relocating to a state with no income taxes can significantly reduce your taxes, Brask said. 'However, I regularly tell clients who are entertaining this idea: 'Don't let the tax tail wag the dog!' In other words, don't move just to save on taxes if it's not an overall beneficial plan for you.' The best way to land on the right strategy is to consult with a professional financial advisor, retirement planner and/or estate attorney. More From GOBankingRates 6 Big Shakeups Coming to Social Security in 2025 These Cars May Seem Expensive, but They Rarely Need Repairs This article originally appeared on 7 Best Ways Upper-Class Retirees Can Reduce Their Tax Bills Sign in to access your portfolio
Yahoo
25-05-2025
- Business
- Yahoo
U.S. Family Net Worth: How To Tell If You're Poor, Middle Class or Rich
Your social class is an indicator of socioeconomic status that acts as more than a simple metric. It carries a significant amount of weight with how income inequality or education levels are move viewed and measured. The term middle class is also not static; it can change based on your location, or even your age. Find Out: For You: So, as much as your economic security is about how much money you make, it's also about how you feel. Keep reading to find out how to determine whether your poor, middle class or rich. Whether your financial path experiences upward or downward mobility, the factors that affect poor, rich or middle-class families vary widely. A higher income in an expensive big city may level out to a median income when it combats the cost of living. Here are a few takeaways from a 2024 Gallup study examining how Americans identify themselves on the spectrum of class: 54% of Americans identify as being part of a middle-class household. 39% outright claimed to be middle class, whereas 15% viewed themselves as upper-middle class. 31% consider themselves to be working class, yet 12% felt they were lower class. Only 2% of American adults qualify themselves as upper class. Moreover, not all class indicators directly correlate to your economic status. For instance, a graduate student's stipend might net them $20,000 a year or so, which would put them in a lower class, but you have to consider their future income based on the time put into education. Someone else raised in the upper class could go bankrupt for one reason or another, but even though they're temporarily without income, they're able to draw on the habits and support of their upper-class background. They're able to ignore some of the issues more prevalent with the lower and middle classes, including the inability to pay rent or credit card bills. Though lower income households often are hit first and hardest in times of economic turmoil, things such as stock market crashes, recessions or tariffs impact how far everyone's money will go. You might be questioning where you fit in due to recent and ongoing economic trends, including high inflation rates, layoffs, future recession worries and the continuing effects of economic turmoil and cooling-off periods. If you're not sure which class in the United States you fall within, here are the markers to look for according to Resource Generation. Poorer or lower-income households are found to be approximately 20% of the population. They hold less than 1% of the total wealth in large part due to the following factors: Unstable housing Limited access to higher education Heavy debt Difficulty paying basic expenses Accustomed to the sharing of resources Disproportionate incarceration rates Treated as a burden/expendable Lack of access to healthcare Working-class heroes are becoming a demographic that is harder to define. This group currently makes up about 40% of the population and holds less than approximately 3% of the total wealth. Here are some key takeaways as to why: Manual labor: working for the middle/upper class Sometimes, they have access to higher education, with student loans being an issue Limited savings, living from paycheck to paycheck Debt is a daily concern Somewhat stable housing Also treated poorly Middle-class Americans are another demographic group of households that seems to be dwindling or at least shrinking by current definition standards. They represent an estimated 20% of the population and 8% of the total wealth — here's a breakdown: Stable housing/homeownership Stable employment Jobs tend to have ideal benefits Higher college education Debt usually from mortgage/education It may be no surprise that the people earning higher incomes hold a bigger share of the reserve. The upper class is estimated to be about 19% of the population but holds 49% of the total wealth. The following are just a few of the signs you might be in the upper class: Own more than one home Elite education, student loans are usually not an issue Stock market investment Early retirement Inheritances Easy access to legal aid As far as being rich is concerned, they are literally estimated to be 1% of the population, so the nickname 'the 1%' holds true to this stigma, along with 40% of the total wealth. Here are a few key signs you may be one of them: Own the largest, nicest homes Full-time work is optional Elite schools and higher education Large inheritances Wide range of social connections Treated as leaders Access to the best legal aid Hold positions of notable power/esteem Caitlyn Moorhead contributed to the reporting for this article. More From GOBankingRates 5 Types of Cars Retirees Should Stay Away From Buying This article originally appeared on U.S. Family Net Worth: How To Tell If You're Poor, Middle Class or Rich Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-05-2025
- Business
- Yahoo
How Much More Would Upper-Class Earners Make in Each State If Trump Dropped Federal Income Tax?
Donald Trump has been in office for over 100 days now, and he has acted on many of the issues he publicly ruminated upon during the presidential campaign. One of the few that has yet to come to fruition is the abolishment of federal income tax. Trump has repeatedly asserted that he would like to discontinue the federal tax and replace that revenue with the money made via an 'all-tariff policy.' Check Out: Also See: While a number of policy experts and economists have suggested that tariffs on imported goods simply won't generate enough money to replace the approximately $2 trillion that income taxes generate annually, Trump continues to muse that he may end the federal income tax. Are in you the upper class and curious how such a move would impact your income? GOBankingRates has calculated how much upper-class residents of each state would save per year with no federal income tax. Average income of top 20%: $219,518 Tax burden: 30.9% Bi-weekly paycheck with federal taxes: $5,833 Bi-weekly paycheck with no federal taxes: $8,028 Learn More: Find Out: Average income of top 20%: $270,877 Tax burden: 27.7% Bi-weekly paycheck with federal taxes: $7,530 Bi-weekly paycheck with no federal taxes: $10,418 Also See: Average income of top 20%: $259,767 Tax burden: 29.7% Bi-weekly paycheck with federal taxes: $7,027 Bi-weekly paycheck with no federal taxes: $9,755 Average income of top 20%: $212,270 Tax burden: 30.0% Bi-weekly paycheck with federal taxes: $5,714 Bi-weekly paycheck with no federal taxes: $7,814 Average income of top 20%: $356,382 Tax burden: 38.3% Bi-weekly paycheck with federal taxes: $8,463 Bi-weekly paycheck with no federal taxes: $12,579 Average income of top 20%: $307,101 Tax burden: 33.1% Bi-weekly paycheck with federal taxes: $7,908 Bi-weekly paycheck with no federal taxes: $11,317 Read More: Average income of top 20%: $358,875 Tax burden: 36.1% Bi-weekly paycheck with federal taxes: $8,823 Bi-weekly paycheck with no federal taxes: $12,976 Average income of top 20%: $266,218 Tax burden: 33.7% Bi-weekly paycheck with federal taxes: $6,790 Bi-weekly paycheck with no federal taxes: $9,611 Average income of top 20%: $266,051 Tax burden: 27.5% Bi-weekly paycheck with federal taxes: $7,414 Bi-weekly paycheck with no federal taxes: $10,233 Average income of top 20%: $264,953 Tax burden: 32.8% Bi-weekly paycheck with federal taxes: $6,853 Bi-weekly paycheck with no federal taxes: $9,656 Average income of top 20%: $310,254 Tax burden: 38.1% Bi-weekly paycheck with federal taxes: $7,392 Bi-weekly paycheck with no federal taxes: $10,846 Discover More: Average income of top 20%: $240,204 Tax burden: 32.1% Bi-weekly paycheck with federal taxes: $6,277 Bi-weekly paycheck with no federal taxes: $8,745 Average income of top 20%: $289,355 Tax burden: 33.3% Bi-weekly paycheck with federal taxes: $7,425 Bi-weekly paycheck with no federal taxes: $10,578 Average income of top 20%: $226,387 Tax burden: 29.3% Bi-weekly paycheck with federal taxes: $6,156 Bi-weekly paycheck with no federal taxes: $8,442 Average income of top 20%: $231,690 Tax burden: 32.0% Bi-weekly paycheck with federal taxes: $6,059 Bi-weekly paycheck with no federal taxes: $8,415 Average income of top 20%: $240,712 Tax burden: 32.2% Bi-weekly paycheck with federal taxes: $6,281 Bi-weekly paycheck with no federal taxes: $8,756 Also Read: Average income of top 20%: $219,022 Tax burden: 29.9% Bi-weekly paycheck with federal taxes: $5,903 Bi-weekly paycheck with no federal taxes: $8,092 Average income of top 20%: $223,489 Tax burden: 30.1% Bi-weekly paycheck with federal taxes: $6,005 Bi-weekly paycheck with no federal taxes: $8,253 Average income of top 20%: $237,505 Tax burden: 33.1% Bi-weekly paycheck with federal taxes: $6,108 Bi-weekly paycheck with no federal taxes: $8,541 Average income of top 20%: $327,400 Tax burden: 34.6% Bi-weekly paycheck with federal taxes: $8,236 Bi-weekly paycheck with no federal taxes: $11,936 Average income of top 20%: $364,076 Tax burden: 35.2% Bi-weekly paycheck with federal taxes: $9,076 Bi-weekly paycheck with no federal taxes: $13,303 Explore More: Average income of top 20%: $240,130 Tax burden: 31.0% Bi-weekly paycheck with federal taxes: $6,376 Bi-weekly paycheck with no federal taxes: $8,843 Average income of top 20%: $282,691 Tax burden: 35.6% Bi-weekly paycheck with federal taxes: $7,008 Bi-weekly paycheck with no federal taxes: $10,065 Average income of top 20%: $197,470 Tax burden: 29.9% Bi-weekly paycheck with federal taxes: $5,328 Bi-weekly paycheck with no federal taxes: $7,260 Average income of top 20%: $234,836 Tax burden: 31.0% Bi-weekly paycheck with federal taxes: $6,235 Bi-weekly paycheck with no federal taxes: $8,632 Average income of top 20%: $237,041 Tax burden: 32.1% Bi-weekly paycheck with federal taxes: $6,195 Bi-weekly paycheck with no federal taxes: $8,622 Find More: Average income of top 20%: $247,090 Tax burden: 31.9% Bi-weekly paycheck with federal taxes: $6,556 Bi-weekly paycheck with no federal taxes: $8,992 Average income of top 20%: $258,414 Tax burden: 27.3% Bi-weekly paycheck with federal taxes: $7,230 Bi-weekly paycheck with no federal taxes: $9,939 Average income of top 20%: $297,363 Tax burden: 28.6% Bi-weekly paycheck with federal taxes: $8,168 Bi-weekly paycheck with no federal taxes: $11,437 Average income of top 20%: $359,314 Tax burden: 35.9% Bi-weekly paycheck with federal taxes: $8,863 Bi-weekly paycheck with no federal taxes: $13,021 Average income of top 20%: $216,944 Tax burden: 30.3% Bi-weekly paycheck with federal taxes: $5,812 Bi-weekly paycheck with no federal taxes: $7,973 Average income of top 20%: $342,150 Tax burden: 35.7% Bi-weekly paycheck with federal taxes: $8,460 Bi-weekly paycheck with no federal taxes: $12,372 Good Question: Average income of top 20%: $249,042 Tax burden: 31.3% Bi-weekly paycheck with federal taxes: $6,584 Bi-weekly paycheck with no federal taxes: $9,170 Average income of top 20%: $246,410 Tax burden: 28.4% Bi-weekly paycheck with federal taxes: $6,785 Bi-weekly paycheck with no federal taxes: $9,336 Average income of top 20%: $237,659 Tax burden: 29.6% Bi-weekly paycheck with federal taxes: $6,440 Bi-weekly paycheck with no federal taxes: $8,875 Average income of top 20%: $219,134 Tax burden: 30.5% Bi-weekly paycheck with federal taxes: $5,857 Bi-weekly paycheck with no federal taxes: $8,047 Average income of top 20%: $269,437 Tax burden: 36.8% Bi-weekly paycheck with federal taxes: $6,547 Bi-weekly paycheck with no federal taxes: $9,414 Trending Now: Average income of top 20%: $266,309 Tax burden: 30.6% Bi-weekly paycheck with federal taxes: $7,106 Bi-weekly paycheck with no federal taxes: $9,928 Average income of top 20%: $276,548 Tax burden: 32.6% Bi-weekly paycheck with federal taxes: $7,168 Bi-weekly paycheck with no federal taxes: $10,137 Average income of top 20%: $237,160 Tax burden: 32.3% Bi-weekly paycheck with federal taxes: $6,172 Bi-weekly paycheck with no federal taxes: $8,600 Average income of top 20%: $230,785 Tax burden: 26.4% Bi-weekly paycheck with federal taxes: $6,532 Bi-weekly paycheck with no federal taxes: $8,876 Also Discover: Average income of top 20%: $238,504 Tax burden: 26.7% Bi-weekly paycheck with federal taxes: $6,727 Bi-weekly paycheck with no federal taxes: $9,173 Average income of top 20%: $272,904 Tax burden: 27.8% Bi-weekly paycheck with federal taxes: $7,579 Bi-weekly paycheck with no federal taxes: $10,496 Average income of top 20%: $276,288 Tax burden: 32.6% Bi-weekly paycheck with federal taxes: $7,168 Bi-weekly paycheck with no federal taxes: $10,134 Average income of top 20%: $252,655 Tax burden: 33.5% Bi-weekly paycheck with federal taxes: $6,459 Bi-weekly paycheck with no federal taxes: $9,091 Find More: Average income of top 20%: $316,724 Tax burden: 34.6% Bi-weekly paycheck with federal taxes: $7,962 Bi-weekly paycheck with no federal taxes: $11,509 Average income of top 20%: $325,947 Tax burden: 29.3% Bi-weekly paycheck with federal taxes: $8,857 Bi-weekly paycheck with no federal taxes: $12,536 Average income of top 20%: $197,286 Tax burden: 30.1% Bi-weekly paycheck with federal taxes: $5,303 Bi-weekly paycheck with no federal taxes: $7,234 Average income of top 20%: $238,669 Tax burden: 31.5% Bi-weekly paycheck with federal taxes: $6,287 Bi-weekly paycheck with no federal taxes: $8,735 Average income of top 20%: $235,402 Tax burden: 26.6% Bi-weekly paycheck with federal taxes: $6,649 Bi-weekly paycheck with no federal taxes: $9,054 More From GOBankingRates 6 Used Luxury SUVs That Are a Good Investment for Retirees How Far $750K Plus Social Security Goes in Retirement in Every US Region 7 Overpriced Grocery Items Frugal People Should Quit Buying in 2025 12 SUVs With the Most Reliable Engines This article originally appeared on How Much More Would Upper-Class Earners Make in Each State If Trump Dropped Federal Income Tax? 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