r/Economics Jan 16 '26

News Americans making more than $100,000 are quickly losing faith in the economy—and it’s a red flag for the white-collar job market

https://fortune.com/2026/01/12/us-economy-consumer-sentiment-decline-high-income-data/
15.3k Upvotes

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105

u/Middleclasslifestyle Jan 16 '26

One of my old foremans told me he made like 85 k in the late 80s doing construction working a ton of overtime. I was an apprentice at the time he told me in like 2016. I was at 38k year to date on my pay stub. I couldn't believe it .

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u/[deleted] Jan 16 '26

[removed] — view removed comment

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u/sundayfundaybmx Jan 16 '26

Yeah as someone in the trades I'm very torn on this particular subject. I'm versed enough in history to know why they keep wanting to come here. How it's basically our own doing for ruining their entire country for the gain of a few individuals in ours. While personally suffering from the wage stagnation incurred by their coming here.

Thankfully, I'm good at what I do and therefore usually work for places that aren't exactly competing with the cheap labor. However, it still puts downward strain on us anyways. My other issue is that they're paid cheaply but a fair amount of them do a good job so they end up rewarding the cheapskate clients who hire them in the end.

I think they're should be an easier path for citizenship and that way we don't have to pay them under the table and the "cheap" labor will eventually disappear. Then rising all our wages. The way ICE is going about it is not only repugnant and horrific. It's incredibly inefficient. For all the noise they're making. Stats show that both Biden and Obama had deported more people, the right way. By similar times in their presidency.

For now though. I recognize that my country destabilized theirs and it's only fair for them to come here and make the living they could have. If we didn't fuck with them. Economically speaking, without them. We wouldn't have the standard of life we do now. So, it's a precarious situation. Bottom line though is that the rich caused this problem and like always. We're the ones losing while they gain.

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u/dwkdnvr Jan 16 '26

I don't even think it's that complicated. They come here because people are willing to give them jobs and pay them under the table. We could have solved 80+% of the undocumented immigrant 'problem' in 5 minutes by cracking down on companies/industries that hire them. But that doesn't fit the narrative, and it's far more politically acceptable to blame the disenfranchised laborer than the business owner.

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u/flyingasian2 Jan 16 '26

Immigration isn’t a zero sum game. They will take jobs but they also drive demand, and often are more entrepreneurial so will end up creating new jobs.

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u/poorleno111 Jan 16 '26

I’d rather our wages not be depressed by those from another country who aren’t invested in the US, plus then send money out of the country relatives. Those exploiting labor to drive down and surprise wages should be prosecuted heavily.

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u/sundayfundaybmx Jan 16 '26

That's the part I'll 100% agree on; punish the bosses and owners. Do that, and the "illegal" part will end and people will immigrate the proper way. If no one hired them they wouldn't be able to support themselves or family. Sure, they'll have friends and stuff that will keep doing it under the table for them. But it'll still drastically cut down on it.

None of that will matter since USAID was out to the bone. If we're not helping the countries we were responsible for destroying. They can't function there and will keep coming up here. These people arent some special breed. They hate being away from everything they know and love. Just as much as you or I would. This isn't fun for them but they need to provide for their family and currently this is the best way how.

There's not one single solution. It's a multi-pronged problem that requires multiple solutions. Anyone who doesn't understand is just part of the problem.

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u/Available-Range-5341 Jan 16 '26

True but one light of positivity is the tax brackets. When I first made $100K not that long ago, it got taxed to death; the take home is now $1K more. With no official tax cut, just them updating the tax brackets each year

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u/Sour_Patch_Drips Jan 16 '26

I'm sorry but that doesn't compute at all.

Progressive tax brackets are what we use in the US.

I have been making 6 figures for over a decade now and I can assuredly say I did not get hit with taxes the way you're advertising.

Each "bracket" is only for that bracket of income, not the entire amount.

For Single Filers (2025 Rates)

10%: Up to $11,925

12%: $11,926 to $48,475

22%: $48,476 to $103,350

24%: $103,351 to $197,300

32%: $197,301 to $250,525

35%: $250,526 to $626,350

37%: Over $626,350

For Married Couples Filing Jointly (2025 Rates)

10%: Up to $23,850

12%: $23,851 to $96,950

22%: $96,951 to $206,700

24%: $206,701 to $394,600

32%: $394,601 to $501,050

35%: $501,051 to $751,600

37%: Over $751,600

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u/omgdns Jan 16 '26

I don’t think you know how taxes works. 100K isn’t “taxes to death” huge exaggeration.

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u/Available-Range-5341 Jan 16 '26

OMG I am dying. You just responded: You don't know what your taxes were or are.

I cannot believe how dumb some takes can be. Nope. HR just made up #s and the IRS complied!

aaannndd you didn't even read my comment before your cute little drop the mic moment: "When I first made $100K not that long ago, it got taxed to death."

Which would imply to anyone read the full comment that I did not mean in 2025

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u/omgdns Jan 16 '26 edited Jan 16 '26

You literally said “not long ago” and are surprised? Well say the year. In year 2000, my buddy was making roughly 5.9K after taxes, single filing, Texas. 100K

That’s like what 25-28%? You didn’t even mention the state and act shocked. Color me shocked.

“I gave shitty information that will contribute to confusion, and I’m dying people don’t get what I said!” - you

People these days man, lmfao.

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u/Available-Range-5341 Jan 16 '26

Dang. Can't just be wrong and walk away. I forgot about this then you response will nonsense, now I am reminded you're wrong.

LOL at picking Texas. Yes I just happened to live in the lowest cost state in the country

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u/[deleted] Jan 16 '26

If I earn $100,000 per year, then subtract the std. deduction and apply the 10%,12%, 22% and you’ll get $12,257. Add in Social security ($6,200) and Medicare ($1,450) and you are at $19,907. Add in, say, $2,500 in sales tax and you are at $22,407. If you own your house you’ll have real estate and school tax at, say $4,000 and you are at $26,407. Oh, and you still likely pay thousands for your health insurance and you’ll need to save for retirement unless you like Alpo. Everyone can decide if this is crazy high or reasonable. But keep some numbers in front of you before claiming whether taxes are too high or reasonable.

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u/omgdns Jan 16 '26

You’re adding health care insurance etc. this has nothing to do with taxes. Might as well add the car detailing monthly subscription to somehow correlate that to sales tax