Americans are forced by law and convention into living a very specific kind of life. Lots of things they do and "own" require substantial investment of money and time. A regular (not minimum) wage is calibrated to just barely take care of all that, and modern marketing specializes in "educating" our tastes so that we can really tell the difference between e.g. $18k and $28k automobiles, to keep us on that treadmill even when we have plenty.

Although on average they are poorer, residents of India have a great deal more freedom with respect to the costs of everyday life. No matter how basic their housing, transport, clothing, food, education, safety, etc. may be, they can always trade down if their situation or preference changes. Many lives lived happily in India would be largely illegal in USA.