What are the telling signs you’re stuck in the lower middle class? Here are some.
LOWER MIDDLE CLASS – In the Philippines, 45% of the population are the middle-class earners and here are some signs that many are stuck in here.
Are you a middle-class earner? According to the Philippine Statistics Authority, a middle-income earner earns between ₱18,000 to ₱109,200 per month and 45% of the population accordingly belongs to this category.
Check the data below based on PSA’s categorization of social classes:
| Income Class | Cluster | Family income in PHP per month | % of families in brackets |
|---|---|---|---|
| LOW | Poor | Less than 9,100 | 16.5 |
| Low Income | 9,100 to 18,200 | 34.4 | |
| MIDDLE | Lower Middle | 18,200 to 36,400 | 29.2 |
| Middle Middle | 36,400 to 63,700 | 12.7 | |
| Upper middle class | 63,700 to 109,200 | 4.9 | |
| HIGH | Upper Class | 109,200 to 182,000 | 1.7 |
| Rich | Above 182,000 | 0.6 |
Being in the lower middle class seems to be a challenging one as in this category, one is striving to have financial stability but at the same time, struggling to maintain this. To help yourself improve and elevate your current social class, the first step is recognizing the key indicators that keep you being stuck in there.
What are these signs?
- Living paycheck to paycheck has become your norm. This is a constant cycle that creates a cycle of financial stress. Every penny is allocated already to a certain bill and you’ve not even received it yet. This leaves no room for savings.
- You practice using your savings for regular expenses and this shows how unstable your financial situation is. This also makes you prone to unexpected costs and expenses. If you have Php 20,000.00 savings and you withdraw Php 2,000.00 monthly for your regular bills, this will immediately deplete your savings and gone in just ten months.
- You have accumulated debt to maintain your lifestyle. You depend on credit cards and loans to suffice your lifestyle and before you know it, the debt already spiraled out of your control and you’re drowned in high interest rates.
- Talks about money immediately makes you feel overwhelmed and anxious – a clear indication that you are struggling financially.
- You have adapted the mentality of enjoying the present without knowing that these short-term pleasures are already affecting your long-term plans leading to financial traps.
- Expensive materials have become your definition of success. Material possessions is your success without realizing that spending above your means, just to appear “successful”, has already drained you.
What can you say about this? Let us know in the comments!