Summary of the Key Points
This article uses real data and personal stories to reveal the “truth” about income in China: The median income in society is only around 3,000 to 4,000 yuan, and a monthly salary of over 8,000 yuan is considered high (accounting for 12%-15% of the population). However, many people with middle incomes (ranging from 8,000 to 15,000 yuan) feel that their lives are constrained. The reasons include the high fixed costs in big cities, the phenomenon of social comparison, a distorted perception of money, and the tendency of this group to make mistakes due to their desire for social mobility (such as starting businesses, investing, or taking out online loans). The article ultimately urges people to return to rationality and focus on saving and ensuring financial security.
1. Real Income in China: A Monthly Salary of 4,000 Yuan Already Places You Among the Half with Higher Incomes
Many people’s perceptions of income are influenced by their surroundings or short videos, but the data doesn’t lie:
- Median Income of 3,000 to 4,000 Yuan: If you earn 4,000 yuan per month, you are above half of the working population (excluding the elderly and children), and most people rely on this amount to support their families.
- 8,000 Yuan or More Considered High Income: According to authoritative estimates from Beijing Normal University, only 12%-15% of workers earn a monthly salary of 8,000 yuan or more after taxes, which makes them a clear minority.
- Surprisingly Low Taxpayer Rate: Out of the hundreds of millions of working people in the country, only about 60 million pay taxes (with incomes exceeding 5,000 yuan), and many of these people only pay taxes occasionally when they receive bonuses at the end of the year, indicating that their income is not consistently high.
In short, don’t be misled by claims of an average monthly salary of over 10,000 yuan; in reality, most people’s incomes are much lower than you might think.
2. Why Does a Monthly Salary of 8,000 to 15,000 Yuan Feel Constrained?
Despite having a decent income, many people feel constrained for several reasons:
1. High Fixed Costs in Big Cities: People in this group are mostly located in first- and second-tier cities, where expenses such as housing (thousands of yuan per month), childcare (baby formula and education), and healthcare are significant, leaving them with little disposable income compared to their peers in lower-tier cities.
2. Social Comparison: If you earn 10,000 yuan in a first-tier city and your colleagues earn 15,000 yuan or more, you may feel poor; however, if you return to your hometown where you earn 5,000 yuan, you might consider it a high income.
3. **The Misconception of “Flowing Income” vs. “Savings”: Your salary is a monthly income stream, but what provides real security is having savings. Many people earn 10,000 yuan but spend 9,000 yuan, leaving them with little savings and feeling anxious in times of need.
For example, a couple in a lower-tier city, both earning 4,000 yuan per month, can save more quickly because their parents have pensions and healthcare coverage, which provides additional support.
3. Middle-Income Groups Are Most Prone to Making Mistakes: Desiring Social Mobility Leads to Problems
People with monthly incomes of 8,000 to 15,000 yuan are most likely to make mistakes because they:
- Desire Social Mobility: They want to improve their lives but struggle to become wealthy and often try to do so through entrepreneurship or investing.
- Are Easily Misled: Friends’ success stories or sensational videos about easy wealth creation can lead to FOMO (Fear of Missing Out), prompting them to act impulsively without proper experience.
As a result, many end up in debt, such as through failing businesses, losing investments in stocks/funds, or taking out online loans. The recent popularity of characters like Fan Debiao (from the show “Ma Dashuai”) reflects this phenomenon—people realize that an ordinary life isn’t so bad and now just want to get out of debt.
4. How Dangerous is a Distorted Perception of Money?
Many people have a distorted understanding of money:
- Short Videos Show an Exaggerated Upper Class Life: Short videos often show wealthy lifestyles, leading people to think that 6 million yuan isn’t much, when in reality, buying a house in Beijing or Shanghai requires a significant amount of effort and financial resources.
- Lack of Understanding of Large Numbers: People who have never had more than 30,000 yuan in their accounts think it’s easy to save millions, only to realize they can’t afford the interest on loans when they owe 200,000 yuan.
- Neglect of Savings: Families in lower-tier cities can save tens of millions over decades by saving a little each month; in contrast, many young people spend all their earnings and end up with nothing.
5. Return to Rationality: Safety Is More Important Than Rapid Social Mobility
The article concludes by advising:
- Avoid Unfamiliar Ventures: Don’t invest in things you don’t understand or try things like flying an airplane or starting a business without proper experience.
- Stay Away from Deceptive People and Practices: Many bankruptcies are caused by friends’ bad advice; having no close friends in middle age might not be a bad thing, as it prevents being misled.
- Focus on Saving and Security: Being debt-free is more important than achieving sudden wealth. Even working as a security guard or delivering food can lead to a stable life as long as you don’t have debts.
In summary, this article aims to dispel the illusion of high incomes and help people understand the real economic situation, reminding them that stability is more important than rapid social mobility.