In 2020, the middle-class households in the United States will continue to make up the majority of the population, according to a new report from the Kaiser Family Foundation.
But by 2032, it’s likely that they’ll have less money than they did in 2020, as more and more Americans will be spending more on health care than ever before.
And the median household income for middle-income households will continue its downward trajectory, falling from $53,400 in 2020 to $52,800 in 2021.
The median family income will continue falling, from $54,000 in 2020—about one-third of what it was in the early 1990s.
That’s partly because the economy is increasingly dominated by people at the very top, which means that middle- and lower-income families are seeing their income shrink.
But more than a third of those households are headed by parents with no kids, according the report, which notes that the median family with children earns just $8,200 in 2019.
It’s not clear that middle income households will be able to keep up with rising health care costs, as the report finds that the percentage of people making less than $50,000 a year is rising, from 11 percent in 2020 and 12 percent in 2021 to 18 percent and 20 percent, respectively.
Meanwhile, the percentage making between $50 and $100,000 is rising.
In 2020 it was 15 percent and it’s now up to 22 percent.
The middle-earning middle class is also likely to be hit harder by the health care crisis, as they’ll be more likely to suffer from higher health care spending and have fewer resources to spend on other things, like housing and retirement.