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Do you think you make enough to afford to live comfortably in California?
With high inflation and cost of living expenses, it can be hard to feel financially secure, especially for Golden State residents.
Using data from the latest MIT Living Wage Calculator and the 50/30/20 budgeting method, Smart Asset calculated the after-tax salary a single person without kids would need to earn to “live comfortably” in 25 of the largest cities in the U.S., including those in California.
The 50/30/20 budgeting method separates one’s budget into three categories: basic living expenses, discretionary spending, and saving or paying off debt.
The budgeting method calls for 50% of the salary to be used to pay for basic living expenses, for example, rent and bills; 30% would be used for personal spending and 20% would be put into a savings account or used to pay down debt.
The data used in the study analyzed the cost of living in each city as of 2022.
For California cities like Los Angeles, Berkeley and San Diego, a single person must make more than $76,000 to “live comfortably,” the data shows.
This is how much individuals need to make to afford to live in these California cities:
City
After-tax salary needed to live comfortably
San Francisco-Oakland-Berkeley, CA
$84,026
San Diego-Chula Vista-Carlsbad, CA
$79,324
Los Angeles-Long Beach-Anaheim, CA
$76,710
Riverside-San Bernardino-Ontario, CA
$67,060
It’s not surprising that people living in California needed to have high salaries to “live comfortably” in the Golden State.
In contrast, people in St. Louis, Detroit and San Antonio needed to make between $57,000 to $60,000 after taxes to afford a comfortable life. Those were considered the top three places where a high salary wasn’t needed to “live comfortably” according to Smart Asset.
These places don’t require a high salary in the U.S.:
City
After-tax salary needed to live comfortably
St. Louis, Missouri
$57,446
Detroit-Warren-Dearborn, Michigan
$58,358
San Antonio-New Braunfels, Texas
$59,270
Philadelphia, Pennsylvania Camden, New Jersey Wilmington, Delaware
While California ranks third-most expensive for a single adult to live comfortably at $113,652, it only ranks fifth-most expensive for two working adults raising two children. The total family income should be at least $276,724 in the latter case.
Overall, SmartAsset found that to live comfortably in any major city, you need to make about $96,500 annually, up immensely from the nearly $68,500 it estimated last year. A family of four would need to make much more at $235,000 to avoid living paycheck to paycheck.
This is the salary it takes to be considered rich in California, report says. Californians hoping to become the top 5% of earners in the state need to be making, on average, more than $600,000 a year, according to a new study from Go Banking Rates.
In California, the middle-class household income ranges between $61,270 to $183,810, a nearly 50% increase from where it stood in 2012 when it was $40,933 to $122,800.
To get this figure, divide your annual salary ($100,000) by the total number of hours you work in a year (2,080 if you work a consistent 40-hour week). The result? You're making $48.08 per hour. So, $100k a year is roughly $48 an hour.
Is $80K a good salary for a single person? $80,000 is about $5,000 higher than the U.S. median household income, so many people would consider it very good for a single person. “Good” is always a relative term when it comes to salary; whether or not the amount you earn covers your expenses is a highly personal dynamic.
What is 500 a week annually? Earning $500 in weekly wages is the equivalent of earning $26,000 a year. This calculation is based on the person working 52 weeks a year; the math is 500 x 52, which equals $26,000.
How much do I have to earn in California to be considered rich? New study breaks it down. How rich is rich in California? As of 2022, the top 5% of earners in the state made $613,602 a year on average, according to a recent analysis from personal finance site GoBankingRates.
Your household would need to earn at least $64,224 to be considered middle class in the Garden State, and earning more than $192,692 would put you in the upper class.
Sure, as a single person 200K is doing well. But, 200K with a family of 4 (2 kids and a wife) is definately scraping by on the penninsula or SF. The only way that's not scraping by is if you bought your house over 20 years ago (or during 2010-2012 housing slump) OR you got yourself a Rent controlled apartment.
California ranks number 13 out of 50 states nationwide for $75000 salaries. To estimate the most accurate annual salary range for $75000 jobs, ZipRecruiter continuously scans its database of millions of active jobs published locally throughout America. Find your next high paying job as a $75000 on ZipRecruiter today.
$80,000 is about $5,000 higher than the U.S. median household income, so many people would consider it very good for a single person. “Good” is always a relative term when it comes to salary; whether or not the amount you earn covers your expenses is a highly personal dynamic.
The data used in the study analyzed the cost of living in each city as of 2022. For California cities like Los Angeles, Berkeley and San Diego, a single person must make more than $76,000 to “live comfortably,” the data shows.
Introduction: My name is Terence Hammes MD, I am a inexpensive, energetic, jolly, faithful, cheerful, proud, rich person who loves writing and wants to share my knowledge and understanding with you.
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