is $60,000 a good salary for a single person

As a student, you may not have a lot of experience in the workforce. Even in the cheapest states, its going to be hard to get by on $15,000 a year. In this article, we will take a look at if a salary of $44,000 good for a single person and which factors play into this. That leaves $30,512 for other expenses after taxes. Lets compare some cheap and expensive examples. $44,000 per year (-$16,000 tax reduction). That's according to data from MIT's living wage calculator, which determines the minimum amount necessary to meet basic needs without relying on outside help. Depending on the job you take, $60,000 might be an excellent entry salary. Another important aspect of your location are taxes, as certain states and cities can be drastically different. Is $60k a Year Good? Can You Even Live Off of $60k a Year? - LogicalDollar Keep repeating that process until you find out what you need, and what you dont. Due to the fact that the quality of a $60,000 salary can change depending on your circumstances, its good to analyze your situation. These are the most common questions about earning this amount of money. ($60,000 - $13,000) / 24 = $1,958.33. Overall, a $60,000 salary is perfectly healthy for your average individual American. In towns like Oxford and the suburbs of Memphis, housing is expensive. For every pro, there is a con. That means you save money, and also contributes to the fact that these states have some of the lowest tax burdens (7.37% and 6.14% respectively). Lenders typically allow you to take out a mortgage for about twice your annual income, so with a $60,000 salary, the allowable mortgage would likely be about $120,000$150,000. State minimum wages are determined based on the posted value of the minimum wage as of January one of the coming year (National Conference of State Legislatures, 2019). The current hourly rage in the U.S. is $7.25, so someone getting $30 an hour, without working an overtime, makes more money than most Americans do. That entirely depends on your cost of living. Age. However, after taxes, $60000 would be reduced to $21.54 - $23.56 per hour and $44,800 - $49,000 per year depending on the state you live in. You wont be able to eat out, and youll more than likely have to get rid of your vehicle and opt for the bus. A good salary in America is $51,000. We and our partners use cookies to Store and/or access information on a device. If youre wondering how to live cheap and instantly slash expenses (without sacrificing quality of life), this is one epic way to do it. However, in most cases, earning $60,000 a year is enough to live comfortably. A single person would bring home $3,800 per month after taxes. Look into all of your investing potentials and do your own research. Note that the average household income in America is $70,784. If you are worried about what you can afford, I would look into increasing your income through side hustles. The minimum wage in California is $14-15 an hour, which is roughly $30k a year. Remember that one of these factors can be more relevant to your situation than others, but all of them play a role in determining whether or not your $60,000 salary is good. I only recommend bomb-dot-com products I love. So you need to have a proper budget plan if your family is to live on that much money. Its easier to afford things when you have more money around to use. Your $60,000 annual income can only be good enough if you live in a state where the cost of living isnt insanely high. All these little things can add up. Masters Degrees earn 29% more than Bachelors Degrees. The average single person would have $10,120 left over after taxes and living expenses. Is 60k a year a high salary in the U.S.? - Quora Now that we have answered the question is $60,000 a good salary, lets take a look at what this income can afford. The U.S. is a huge place. I'll also assume you have a simple tax situation and you only claim the standard deduction as a single person. If you would like to change your settings or withdraw consent at any time, the link to do so is in our privacy policy accessible from our home page.. A comfortable salary for a family of 4 is about $116,000. That said, Mississippi is one of those states where $60k a year is a quality salary for both singles and families. Now if you are paying taxes it will most likely be closer to $903 - $980. Starting monthly salary: $5,000After taxes: ~$3,908 (Jackson)Rent for a one-bedroom apartment: $800 to $1,000Rent for a three-bedroom apartment: $1,000 to $1,200. The final verdict is this: Is $60,000 a good salary? Yes. Lets look at how earning a yearly salary of $60,000 works out for different family sizes. It is not legal advice. Contents1 What is considered [] Hey you! It all depends on your unique situation. That seems fairly doable if you are a single person. With a 22% income tax bracket, the net income for a single person is $32,350. Pew defines "middle class" as a person earning between two-thirds and twice the median American household income, which in 2019 was $68,703, according to the United States Census Bureau. Or maybe someone in the family has special diet needs. Keep in mind that how much you get as your take home pay will vary depending on the tax rate in your state. I know people making a lot less that are living a comfortable life. PhD grads earn 23% more than Masters Degrees. Assuming a general tax reduction of around $16,000 a year, youd make around $44,000 a year after taxes. In the budget provided above, I showed a sample of saving 20% a month. According to the US Census Bureau, the average annual salary in the US is $102,316, equating to $1,967.62 per week. link to How to Make a Fortune Selling Your Photos Online. Even the cost of transportation, entertainment, and essential products and services vary based on demography. Offers may be subject to change without notice. If you would like to change your settings or withdraw consent at any time, the link to do so is in our privacy policy accessible from our home page.. Keep in mind that this is an estimate and your personal situation may vary. Which is $21,740 more per year than the average salary in the US. As you can see from the table above, the hourly rate for someone earning $60,000 a year is $30, which is far above the rate many people earn in the United States of America. Youd be taking home around $44,000 a year after taxes with a $60,000 a year salary. Mitch is your typical nomadic backpacker. Having enough money often comes down to how you spend rather than how much you make. If you earn $60,000, youre paying $3,720 in social security per year. Write down a list and work backward from there. Having a good education is usually helpful but not always necessary, and certain jobs are more likely to come with six figure salaries. That means that you are working 2000 hours a year. Sign up to make sure you get your free consultation. The average health insurance premium in California is $487 per month. The average personal salary in the U.S. is $63,214, meaning that $60,000 is a healthy amount. Continue with Recommended Cookies. So, if you are a single person (or even a couple) who can be happy living in a nice, but I would recommend not spending more than one-third of your monthly income on housing expenses, which in this case would be $1400. In New York, $60,000 a year is $42,540 for a married couple after taxes. Starting monthly salary: $5,000After taxes: ~$3,916 (San Francisco)Rent for a one-bedroom apartment: $2,500Rent for a three-bedroom apartment: You dont wanna know, After taxes and rent, you have roughly $1,400 a month for food, clothes, utilities, cell phone, insurance, transportation, and entertainment. Here are two extremes California and Mississippi. To decide on whether $60,000 a year is enough for your particular lifestyle, it is essential that you calculate your monthly expenses and see how much is left over. What "Percent" Is Your Household? | Payscale - Salary Comparison That said, this will depend on other factors, including the cost of living where you are and how you manage your finances. Some people may find that they need more money while others may find that they can live comfortably on less. CONTACT: Calle 6 #39-25 Office 402 Cali, Valle del Cauca, Colombia +1 616-210-3320 (U.S.) Contact Me | Terms of Service | Privacy Policy | Affiliate Disclosure | Hire me ProjectUntethered.com is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com. If you are 30 years into your career, or just starting the answer is different. Home loans providers have varying requirements. With that said, everyone will have a different idea of what makes a comfortable life Then next month find one area in your life that you can cut back on. Of course, the quality of a $60,000 salary will also depend on several factors. However, once you start a family, its going to cost you more to survive. . Which means that an average salary is typical or good. As youll see, if youre single and living in a country with a low cost of living, then sixty thousand dollars a year is an awesome salary. The cost of living can vary greatly between different areas, because of fluctuations in housing prices and availability, insurance pricing, healthcare costs, food pricing and availability and more. Some people argue that you never really know how much you earn unless you know your hourly wage. In others, its crazy cheap. Do you want to live like a king or queen? Lets dive in. A good salary for a single person would be $80,000 or more. But once you get closer to the Delta, things change, and not in a good way. That depends on how frequently you get paid, and how much taxes you are liable for. If you need a good idea after reading this article, make sure to set good financial goals. After contributing a healthy $16,000 to your tax-deferred 401 (k), you are left with $60,000 in gross income to live. One key factor is controlling your lifestyle and avoiding lifestyle creep. After taxes, making $60,000 a year leaves a single person with a take home pay of $45,600. With that in mind, a $60,000 salary is a great start for most college grads. If you get paid weekly, you could get a check for $903 - $980, depending on your tax liabilities. Of course, your own everyday decisions can affect the quality of your $60,000 salary. how $60,000 compares to the average cost of living and income, if its good for a single person or a family, how much youll earn per month, bi-weekly, weekly, and hourly. $60,000 is a good salary in most locations. At $40,000 a year, youre most likely below the living wage in your area. Your state income tax varies from 2.9% to 13.3%. If youre looking for more information on making money, be sure to check out our other blog posts on the subject. This would mean that a family making $60,000 a year could afford a mortgage of $1800 a month. You should reach out to a recruiter to see about getting a new job. Disclosure: This page may contain affiliate links and we may receive a commission through them, but this is at no additional cost to you. Are you single? Here's the Living Wage Needed in All 50 States (Study 2019 Answer (1 of 4): Melbourne, Florida USA Melbourne, Florida USA Melbourne, Victoria Australia Which Melbourne are you talking about? As a general rule, earnings tend to rise in your 20s and 30s as you start to climb up the ladder. A single person would bring home $877 weekly after taxes. The average single person would have $10,120 left over after taxes and living expenses. But in others, youd barely scrape by. A salary of $65,000 can be a high income in many parts in the United States but below average in other parts. After taxes, making $60,000 a year leaves a single person with a take home pay of $45,600. Jobs Where You Can Make $60,000 Per Year There are many jobs that pay $60k to $80k a year. You can afford a $27,000 $40,500 car if you make $60,000 per year. You can also determine whether or not your $60,000 salary is healthy based on your age, as the average income in the U.S. changes significantly based on that. Weather can be extreme, so expect a hefty heat bill during the winter. Living in these cities may be a struggle, especially if you have a family to support. If you have a kid or two or a spouse that does not work, youre responsible for providing. If youre a married couple, youll take home $45,486. But if you give this one last thought, you'll realize that an annual salary of $80,000 is good enough for a single person to live on - especially if they don't have debts such as student loans. No one who goes through medical school for 8+ years is going to want to have a starting salary of $60,000. This site is for informational purposes only and is not intended to provide financial advice. That said, those higher taxes include universal healthcare, so it basically evens out in the end. In expensive cities like San Francisco, you cant afford much. Be the first to rate this post. You may have to be careful with your spending and save for larger expenses like a car or a home, but overall you should be able to survive on this income. And spending a lot of money unnecessarily leads them to living paycheck to paycheck. The reason I bring this up is that there is no such thing as perfection. Is $60,000 a good salary in California? After taxes that amount could be between $3,500 - $4,250. if you are making $60,000 a year you are making 20% over the average salary in the US. So today, well look at how good a $60k salary is in different places in the United States and more interestingly, different places in the world. Just like rent, your mortgage payment should be a maximum of one-third of your income. The most important factor with any salary is to budget, invest and spend within your means. Any time you add in extra variables, the data changes. If you're financially. It also assumes that you are a single adult. With discipline and proper financial planning, you can get by comfortably. At least you can pay rent, buy food, save for retirement, invest in new skills, and leave room for saving. The average weekly pay for men is $1,144 and $943 for women. In general, you can live comfortably on this salary, but you may have to be careful with your spending. Invest in a 401k or IRA: You can automatically contribute $50 from each paycheck into your retirement account. Lastly, even for healthy people, adding a family to your insurance plan is going to cost you anywhere from a few hundred to thousands of dollars.