It’s always been a nonsense term, Parenti put it really well

Class gets its significance from the process of surplus extraction. The relationship between worker and owner is essentially an exploita­tive one, involving the constant transfer of wealth from those who labor (but do not own) to those who own (but do not labor). This is how some people get richer and richer without working, or with doing only a fraction of the work that enriches them, while others toil hard for an entire lifetime only to end up with little or nothing.

Those who occupy the higher circles of wealth and power are keenly aware of their own interests. While they sometimes seriously differ among themselves on specific issues, they exhibit an impres­sive cohesion when it comes to protecting the existing class system of corporate power, property, privilege, and profit. At the same time, they are careful to discourage public awareness of the class power they wield. They avoid the C-word, especially when used in reference to themselves as in "owning class;’ "upper class;’ or “moneyed class.” And they like it least when the politically active elements of the owning class are called the “ruling class.” The ruling class in this country has labored long to leave the impression that it does not exist, does not own the lion’s share of just about everything, and does not exercise a vastly disproportionate influence over the affairs of the nation. Such precautions are them­selves symptomatic of an acute awareness of class interests.

Yet ruling class members are far from invisible. Their command positions in the corporate world, their control of international finance and industry, their ownership of the major media, and their influence over state power and the political process are all matters of public record- to some limited degree. While it would seem a sim­ple matter to apply the C-word to those who occupy the highest reaches of the C-world, the dominant class ideology dismisses any such application as a lapse into “conspiracy theory.” The C-word is also taboo when applied to the millions who do the work of society for what are usually niggardly wages, the “working class,” a term that is dismissed as Marxist jargon. And it is verboten to refer to the "exploiting and exploited classes;’ for then one is talk­ing about the very essence of the capitalist system, the accumulation of corporate wealth at the expense of labor.

The C-word is an acceptable term when prefaced with the sooth­ing adjective “middle.” Every politician, publicist, and pundit will rhapsodize about the middle class, the object of their heartfelt con­cern. The much admired and much pitied middle class is supposedly inhabited by virtuously self-sufficient people, free from the presumed profligacy of those who inhabit the lower rungs of soci­ety. By including almost everyone, “middle class” serves as a conve­niently amorphous concept that masks the exploitation and inequality of social relations. It is a class label that denies the actu­ality of class power.

The C-word is allowable when applied to one other group, the desperate lot who live on the lowest rung of society, who get the least of everything while being regularly blamed for their own victimiza­tion: the “underclass.” References to the presumed deficiencies of underclass people are acceptable because they reinforce the existing social hierarchy and justify the unjust treatment accorded society’s most vulnerable elements.

Seizing upon anything but class, leftists today have developed an array of identity groups centering around ethnic, gender, cultural, and life-style issues. These groups treat their respective grievances as something apart from class struggle, and have almost nothing to say about the increasingly harsh politico-economic class injustices perpe­trated against us all. Identity groups tend to emphasize their distinc­tiveness and their separateness from each other, thus fractionalizing the protest movement. To be sure, they have important contributions to make around issues that are particularly salient to them, issues often overlooked by others. But they also should not downplay their common interests, nor overlook the common class enemy they face. The forces that impose class injustice and economic exploitation are the same ones that propagate racism, sexism, militarism, ecological devastation, homophobia, xenophobia, and the like.

No it’s not. Wages in the Imperialist countries are buffed by super-exploitation of the global South.

The amount of resources Americans use means that they are condensing into a “middle class” above the 3rd world nations workers and below the Imperial Bourgeoisie.

Spending most if not all of your paycheck does not mean you aren’t “middle class” (petty bourg or labor aristocrat). You were never meant to be able to accumulate wealth, the bourgs want you to consume it and for them to get it in their balance sheets at the end of the day because you bought goods and services from their property. If you are accumulating significant wealth that can’t be wiped out due to crises (ex: getting very ill, medical costs), you are certainly not exploited. If you are consuming more labor than you put out, but break even on paper, you’re still not exploited (Imperialist wages).

This is why Economism (and accompanying social democracy) is dead end politics that is incapable of handling national contradictions that Imperialism feeds on.

As well, the top 80% of income brackets have been getting increased wealth and income, since the end of WW2.