Middle-class life, once the hallmark of the American Dream, is becoming increasingly challenging to afford, according to money influencer Austin Williams. He recently used a YouTube video to share the observation many people share, but few voice.
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However, it doesn’t mean the dream is dead, but it does mean Americans have to put in more effort. Here are several more items that are no longer within reach for the average person of middle class status in the U.S.
1. Home Ownership
Home ownership is a classic symbol of the American Dream, yet it is becoming increasingly out of reach for the middle class. More than 90 percent of Americans live where home prices have increased faster than the median income, with inflation-adjusted pricing jumping by 65% between 2000 and 2020. Average incomes during that time “barely rose,” the U.S. Department of the Treasury reported.
Williams said to buy a home in this increasingly challenging economic climate, Americans need to embrace the concept of planning ahead. He believes you can still attain that milestone by saving slowly for a down payment, building up a good credit score and waiting for the right opportunity.
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2. Higher Education
Americans have long considered college the pathway to the middle-class American Dream. However, as Williams highlighted in his video, more and more graduates are emerging with mountains of student debt and sustained unemployment.
According to the Education Data Initiative, the average bachelor’s degree student graduates with $29,550 in student loan debt. Unfortunately, repaying that debt proves more challenging than many students expect. ZipRecruiter data showed 23% of graduates take more than three months to find a job, and 5% of recent graduates are still searching.
Williams’s answer is to minimize borrowing and make sacrifices early. He believes in living at home when possible, and using resources like community college, scholarships and grants to minimize debt at graduation.
3. Retirement
In 2004, 83% of retirees felt they had enough money to live comfortably. By 2024, that number had dropped to 74%. Although that’s still a respectable percentage, only 45% of workers believe they’ll be comfortable when it’s their turn.
Williams blamed this trend on the decline of the employer pension and the difficulty of saving in a challenging economy. He admitted that responsibility for retirement falls on the individual, and encouraged people to plan early. Keeping expenses low and investing intelligently are his go-to strategies.
4. Groceries
Williams knows grocery costs are squeezing the middle class. The U.S. Department of Agriculture reported the price of food increased 23.6% from 2020 to 2024, and basic staples account for much of the increase. The Farm Bureau explained that egg prices increased by 350% per dozen from 2024 to 2025, partially because of the recent avian flu outbreak.
Although the average person can’t do much about this challenge to the American Dream, Williams believes small strategies still make a difference. He recommended using a meal plan, buying in bulk and searching for savings wherever possible.
5. Cars
A car in the driveway has been a staple of the American Dream for years, but it’s becoming less affordable. According to Kelly Blue Book, the average new car costs a near-record $49,740. It’s not surprising that 40% of Americans have car payments, or that over 75% pay $300 or more a month.
Williams’s solution? Start with a low-end used car and eventually trade up, avoiding taking on large payments.
6. Healthcare
According to the Peterson-KFF Health System Tracker, Americans spent an average of $13,432 per person on healthcare in 2023 — over $3,700 more per capita than any other developed nation. These costs have left 20 million Americans with medical debt.
Williams believes the best defense is to maintain good health habits so it’s easier to live with less costly health insurance. This option involves a bit of luck, but the average person can do little to change the cost of healthcare.
7. Being Carefree
Williams believes the U.S. is moving toward a “two-class society,” where people are either doing well or seriously struggling. He thinks the days of resting comfortably in the middle class are gone, leaving this group to rely on their financial savvy.
“Now, more than ever, it’s important to be more proactive and resourceful in your life,” he said. “Focus on the things you can control, like your spending, your mindset, your goals and your expectations.”
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7 Aspects of the American Dream Now Unattainable for Middle Class, According to Austin Williams
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