We all have a different take on this, but my opinion is:
TLDR:
Wealth does not correlate with class.
Upper class = those born into aristocracy only
Middle class = everyone from teachers to Kate Middleton (it’s an insult to be called MC; often perceived to be dishonest and selfish)
Working class = a proud, hard-working and traditional class (an exclusive identity, and sometimes perceived to hold the most integrity)
Under class = criminals and those with no values and morals
We have the royal family - so it changes the brackets somewhat. If the royals are aristocracy and therefore our most upper-class, those beneath them are middle class and that includes a huge range from some professionals through to Kate Middleton. So you might split it further into ‘upper middle class’ and ‘lower middle class’.
You’re right - middle class is generally not average though - they are usually more wealthy than average.
However, wealth and class don’t always correlate perfectly. I know people who were born into working class families, and have remained working class, despite earning lots of money - it’s not about that.
So, working class is not just those ‘struggling’ financially - the class categories aren’t just about wealth. The working class is a traditional, proud and distinctive class of its own. My father and his family are working class and they would HATE to be referred to as middle class (it is a huge insult, not a compliment and it is most definitely not aspirational!).
He would absolutely not accept that I am working class either, and would be offended should I try and claim to be. Being working class is almost an exclusive title, not a ‘lesser’ category, but a desirable and proud identity of its own, perceived as carrying more integrity, morals and values than any of the other classes. In fact, some working class people consider themselves to have more in common with the aristocratic classes than the middle classes - for they have both been born into a certain identity and ‘know their place’ in the world without trying to change it.
The WC people I know have the most spotless homes I have ever seen, they look after everything and everyone, they are proud to be who they are, they have very strong traditional values, they do not respect politicians or celebrity culture, they have strong relationships with their family and live very close by to each other, they grow and cook ‘honest’ food, they are heavily involved in the community and work full-time, often in physical jobs.
To many, being called ‘middle class’ is not a positive thing at all and is actually a huge insult - it implies one has turned their back on the working class reality that all non-royal people ‘truly’ are, in the hope that they will reach the top of the class system - which they won’t, because a true aristocrat is only ever ‘noble born’. Thus, the middle classes can be disrespected, insulted and mocked by society as selfish, dishonest fools who would ‘sell their own mother’ to get ahead; with a ‘can’t beat them join them’ attitude instead of doing the right thing in standing up against greedy corporations and selfish politicians etc.
I am not saying I agree with this, but I certainly don’t feel positive being associated with or labelled ‘middle class’ - to me it is an insult. But, I certainly wouldn’t have the cheek to try and claim to be ‘working-class’ either. So, I have to resign myself to the fact that I probably am lower middle class.
I also think there is another class, an ‘under class’, made up of criminals and scroungers etc for whom it would be an insult to try and suggest have any working class values. Just because people are poor does NOT make them working class.
Likewise, being ‘nouveau riche’ does not ‘move you up’ the social ladder hence the saying ‘all fur coat and no knickers’.