“The Biggest Scam”: Bengaluru CEO’s Viral Post Highlights India’s Middle-Class Financial Struggle
A viral LinkedIn post by Ashish Singhal, CEO of PeepalCo, has sparked a wider conversation about the financial challenges facing India’s middle class. His post focuses on a familiar problem for many households — salaries that have not kept pace with rising living costs, while EMIs, taxes and everyday expenses continue to increase.
Singhal described the situation as a kind of “well-dressed decline”, where people continue to maintain their lifestyles but face growing pressure behind the scenes.
India’s Middle Class Facing Growing Financial Pressure
According to Singhal, one of the biggest problems is the gap between income growth and the rising cost of living.
He highlighted income-growth figures that show how slowly earnings have increased for different income groups over the past decade. At the same time, household expenses, particularly food costs, have risen substantially.
This combination has created a difficult situation for middle-class families. Even when salaries increase, the additional income can quickly disappear because of higher rent, education expenses, healthcare costs, loan EMIs and daily household spending.
The result is that many families may earn more in absolute terms than they did years ago, but their purchasing power and ability to save may not have improved at the same pace.
The “Well-Dressed Decline” of the Middle Class
One of the strongest points in Singhal’s post was his description of a “well-dressed decline.”
The phrase reflects a situation where people may appear financially comfortable from the outside. They may travel, purchase new smartphones, own cars or continue paying for expensive lifestyles.
But behind that appearance, savings can be shrinking and debt can be increasing.
For some households, maintaining a particular lifestyle means relying more heavily on credit cards, personal loans or EMIs. Healthcare and other important expenses may also be delayed when monthly budgets become tight.
This creates a financial imbalance where income is used primarily to maintain the present lifestyle rather than build long-term financial security.
Salary Growth vs Rising Cost of Living
The central issue raised by the viral post is not simply whether salaries are increasing. The bigger question is whether salary growth is keeping pace with inflation.
When food, housing, education, transportation and healthcare become more expensive, even a regular annual salary increase may not provide a significant improvement in living standards.
For middle-class households, this can create a constant cycle:
- Salary increases slowly
- Household expenses rise faster
- EMIs consume a larger part of income
- Savings become difficult
- Credit is used to cover additional expenses
- Financial pressure continues
This is why income figures alone do not always provide a complete picture of a family’s financial condition.
Credit Is Helping Maintain Lifestyle
Another concern highlighted in the discussion is the growing dependence on credit.
Easy access to credit cards, consumer loans and EMI-based purchases has made it possible for people to maintain spending levels even when their disposable income is limited.
While credit can be useful when managed carefully, excessive dependence on borrowed money can create long-term pressure.
A family may be able to afford a monthly EMI today, but multiple loans and rising household expenses can leave very little room for emergencies or retirement savings.
Social Media Reaction to Ashish Singhal’s Post
The LinkedIn post attracted significant attention and generated different reactions from entrepreneurs, professionals and other users.
Some people agreed with Singhal and said they had observed similar financial pressure across different industries. According to this view, the middle class is being squeezed between relatively slow salary growth and increasing living expenses.
Others questioned whether employees themselves and corporate leaders also share responsibility for the situation.
One of the recurring questions in the discussion was whether CEOs and companies are providing salary increases that adequately reflect the rising cost of living faced by employees.
Questions About Corporate Responsibility
The conversation also moved beyond inflation and personal spending habits to the role of employers.
If the cost of living rises significantly but salaries remain relatively stagnant, employees can find it increasingly difficult to maintain their purchasing power.
This has led to questions about whether companies should reconsider compensation structures, salary revisions and employee benefits.
At the same time, critics argue that individuals also need to make careful financial decisions instead of depending entirely on salary increases.
The debate therefore involves both sides — what employers can do and how employees manage their own finances.
Why India’s Middle Class Feels Stuck
India’s middle class plays an important role in consumption and economic growth. However, rising expenses can make financial progress difficult even for people with stable employment.
Some of the major pressures include:
- Increasing food and household expenses
- Housing costs and rent
- Home and vehicle EMIs
- Education expenses
- Healthcare costs
- Taxes and other deductions
- Rising lifestyle expectations
- Insufficient long-term savings
When several of these expenses increase simultaneously, households may have little money left after meeting their monthly commitments.
The Impact of Lifestyle Inflation
Lifestyle inflation is another important part of the discussion.
As income rises, people often increase their spending as well. A better phone, larger house, new vehicle, frequent travel or premium services can gradually become part of the monthly budget.
The problem arises when lifestyle expenses grow almost as quickly as income.
Instead of using additional earnings to build an emergency fund, invest or repay debt, people may use the money to maintain a higher standard of consumption.
Over several years, this can make a household financially vulnerable despite having a seemingly comfortable income.
Technology and AI Are Changing the Income Gap
Singhal also pointed toward the rapid growth of technology and AI-related investment. The technology sector has created significant wealth and opportunities for some parts of the economy.
However, the benefits of technological growth are not necessarily distributed equally.
Highly skilled professionals, entrepreneurs and investors may benefit from the expansion of AI and technology, while many conventional middle-class workers continue to deal with inflation, loan payments and slower wage growth.
This raises a broader question about whether India’s economic growth is translating into stronger financial security for the average household.
What Can India’s Middle Class Do?
While salary growth and government policy are important, individuals can also take steps to reduce financial pressure.
Maintaining an emergency fund, limiting unnecessary debt, reviewing recurring expenses and prioritizing long-term investments can help households become more financially resilient.
The objective should not necessarily be to stop spending, but to ensure that lifestyle expenses do not permanently replace savings and financial planning.
Conclusion
Ashish Singhal’s viral LinkedIn post has brought renewed attention to an issue that many Indian families quietly experience: the gap between income growth and the rising cost of living.
The debate surrounding India’s middle class is much larger than salary numbers. It includes inflation, credit dependence, lifestyle expectations, taxation, savings and the responsibilities of employers.
Whether the discussion eventually leads to changes in wages, corporate policies or broader economic reforms remains uncertain. But the growing conversation shows that financial pressure on the middle class is an issue that can no longer be easily ignored.