I am fine with living a middle class lifestyle.
But frankly, I don't think it would be worth $350,000/year to live anywhere on the face of the earth, much less in one of our largest, and probably filthiest, US cities. I mean really, feces on the sidewalk?
I could go on. The only reason I can think of to live in a big, expensive city like that would be if a relatively high paying job was there for me, and if I could not possibly earn that much pay living elsewhere because my capabilities are not sufficient to demand it. I think that is probably the case for many who live there. If a middle class person with a mid level job is making $350K/year, it's not unreasonable to expect that he/she might spend $350K/year.
Life is easier in retirement.
We are lucky to be living in New Orleans, a small city. Yes, it has its disadvantages too, and this is definitely not the place to come for a high paying job. Still, we have a lot of the advantages that big cities have; art, theater, history, the food, and OMG the music here! It's amazing. No wonder so many music genres were born here. Countless musicians end up living and playing their music here at some point. You can hear them playing for free on many corners throughout the French Quarter. Similarly, there are a plethora of artists that are painting and selling their art for peanuts in Jackson Square and elsewhere, not to mention mimes, dancers, and so much more. There is more high quality art and entertainment here than you can shake a stick at.
Most middle class people here send their kids to Catholic schools whether they are Catholic or not. There are a few other private schools but not many. Some middle class kids attend public magnet schools.
Many great people grew up hanging around on Bourbon St. and the like, and despite that they somehow managed to turn out to be productive, law abiding citizens. Nevertheless I do not think that this is a great place to raise kids and I would not choose to live here if I had kids at home. Most of my co-workers with kids chose to live way up on the north shore of Lake Ponchartrain and endure the commute from h*ll back and forth across the 23 mile long Causeway Bridge. Up there, public schools are supposedly better and the environment is apparently a healthier one for kids. I wouldn't know.