The disappearing middle class

There has been a lot of talk about the disappearing middle class in America.  After doing our taxes last month, I can attest that the middle class is most certainly disappearing.  We are middle class, or at least lower middle class, and every year becomes more and more of a struggle for us.  When we first moved in together, I left my fast food management job, but Rebecca kept her full time retail supervisor's job.  Those first years were difficult for us, but we got by...even if just barely.
Now, almost seven years later, Rebecca is still a full time retail supervisor, I'm now working part time as a retail supervisor, and I'm making more than ever from writing, editing, and game design, and we aren't making ends meet.  The simplest explanation is that the cost of everything is rising dramatically, while our incomes are not.  When we get our annual raises, we get 2-3%, but the cost of everything is rising much higher than that.  Our rent goes up about 5% annually, and everything else follows suit.  It's no wonder that people making middle class income, especially lower middle class income are struggling more and more each year.  We can't keep up with rising costs, and as long as pay rates stay low and don't increase accordingly, all of us in the middle class will continue to struggle.
That's enough economics for today.  Off to do some work...have to make some money somehow...