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Are You Still Earning Enough To Be Middle Class?

THE BAHAMAS – A new study from the University of The Bahamas reveals shocking statistics about the cost of living for middle-class families in The Bahamas.

Published

2 months ago

November 1, 2024

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A new study from the University of The Bahamas reveals shocking statistics about the cost of living for middle-class families in The Bahamas. The study, titled How Much Does It Cost to Be Middle Class in The Bahamas?, indicates that a family of four in New Providence requires more than $120,000 annually to maintain a middle-class lifestyle.

“The study reveals that as of March 2024, a middle-class family of four in New Providence needs an income of $10,200 monthly and $10,100 in Grand Bahama.”

The findings mark a significant jump from four years ago. In 2020, the study found that a family of four needed a minimum of $4,400 per month to live decently in New Providence and $5,750 in Grand Bahama.

This data comes as Bahamians continue grappling with the rising cost of living, compounded by high summer power bills, frequent power outages, and escalating grocery prices.

The study states that the well-being of the middle class often indicates a nation’s overall economic health, yet there is limited empirical research on the financial costs associated with middle-class life in The Bahamas.

“The study concludes that a family of four should earn an estimated $122,400 per year to afford a middle-class life in New Providence and $121,200 in Grand Bahama.”

It further notes that these figures do not account for life insurance, private health insurance, National Insurance taxes, debt union dues, or new vehicle purchases. The study focuses on rental costs, suggesting that home ownership would require additional primary research.

The study authors admit that their findings may serve as a starting point for informing policies on living costs and standards in The Bahamas.