Si even Americans earning above $155,600 a year now describe themselves as 'working class', the affordability crisis has moved well beyond the usual political talking points.
A new Pew Research Center analysis, based on a survey conducted in January 2026, found that 60% of U.S. adults say the term 'working class' describes them well. Half of college graduates agreed. Pew also found that half of upper-income adults, those earning above $155,600 annually, now see themselves that way.
That is a sharp change from two years earlier. In Pew's 2024 study, 54% of Americans identified with the term. Researchers said the 6-point increase held across many demographic, socioeconomic and political groups.
The underlying pressure is plain enough. Inflation continues to erode paychecks while wage growth fails to keep up, and ordinary purchases such as groceries have become harder to afford. The cost of living has become a major issue heading into the November midterms, with voters also watching gas bills rise after the Iran war sent gasoline and diesel prices to record highs.
Housing shows the same strain. A study by Investopedia found that achieving the American Dream — a house in the suburbs, two children and a car — costs $4.4 million. The median price of a new single-family home in the first quarter of 2026 was $403,200, according to the National Association of Home Builders. The typical U.S. homebuyer is now 59 years old, up from 39 just 15 years ago, and the median first-time buyer has climbed to a record 40.
The squeeze is not limited to households traditionally described as low income. A 2025 Harris Poll survey found that 64% of six-figure earners said their once-high income is no longer a marker of success, but the bare minimum to stay afloat. The report said 50% have used 'buy now, pay later' plans for purchases under $100, 45% have delayed medical care because of cost, and many rely on rewards points or credit cards to make ends meet.
Gen Z graduates are feeling it too. The most recent data from the New York Fed showed recent graduates were unemployed at a rate of 5.7% in June, the highest in more than four years. Only 21% of young people today think the American Dream is achievable for them, down from over 50% just a decade ago.
The numbers come first. When a country reaches the point where six-figure earners are talking like strivers, something in the cost structure has broken. Capital rewards clear rules, but households are getting a different message: higher prices, thinner margins and a government that has not made everyday life cheaper.
That is why affordability now dominates the political calendar. The market has already voted on housing, on groceries and on wages. American families are left to pay the bill.
