As you can see from the example above, $60,000 a year can be a livable wage or it could be barely enough to cover basic expenses. $60,000 a year is $45,486 for a married couple after taxes. However, in most cases, you can live comfortably on $60,000 a year. Additionally, you should always consult a tax professional to get an accurate estimate of how much you will pay in taxes. A comfortable salary for a family is about $116,000. Here are two extremes California and Mississippi. Your Demography With a 22% income tax bracket, the net income for a single person is $62,400. 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.. If you get paid on a biweekly schedule you will have roughly 26 pay periods throughout the year. Another factor that determines whether 60K is a good salary is the number of people in your household. Earning $116,000 is 63.9% higher than the average household income in the US. If so, then yes. Just think living off $60,000 annually is much harder in San Fransico than it would be in North Dakota. With a median salary of $63,293, the average resident of the Badger State is in a relatively good financial spot . 60K may or may not be a good salary. I think youll be shocked at what a $60,000 salary would get you. 60,000 dollars yearly is considered a good salary in the United States, but whether it's enough for you depends on your individual circumstances. We have converted it to an hourly wage for the sake of comparison. Is $60,000 a year a Good Salary in the US? But with an average house in an average neighborhood with two cars, two kids and a mortgage, that is a. For a family of four, the estimated cost of living is $4,900 a month. A single person making $100,000 a year is good because it allows them to: You are earning 69% of the average annual salary. If youre lucky enough to work from home or have a digital nomad-friendly job, search out parts of the world where your family can live an amazing life for less. Again, the answer to this question varies depending on your location and expenses. That entirely depends on your cost of living. Plan your budget accordingly and move to a state where you can live within your means. 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. Again, that sums up to $9,000 per year, which is about $33,000 less what youd pay in DC. Or maybe someone in the family has special diet needs. If youre a single person earning $60,000, your rule of thumb should be to save at least 50% of the income. Yes, $60,000 is a good salary. We will also look at different jobs that pay 60000 a year and how that income can change depending on your location, lifestyle, and expenses. Average Salary for Ages 35-44. Depending on your answer to this question, you should be able to determine whether its possible to live on an annual salary of $60,000. I think youll be surprised at the stark differences in lifestyle. Having a good education is usually helpful but not always necessary, and certain jobs are more likely to come with six figure salaries. Is 60K a good salary or should you aim for more? $40,000 is the minimum wage in some parts of the country. We have articles on everything from making extra money to how you can make $100,000 a year. High-speed internet in India also costs a fraction of the U.S. were talking 10 bucks a month. If you made it this far in this article, you have been through the math. $60k a year is a great salary for most areas of this state. Copyright 2023. A family would bring home $1,015 weekly after taxes. . That data is provided by ssa.gov and is extrapolated across an entire year to then provide an average of $51k. Depending on the job you take, $60,000 might be an excellent entry salary. We and our partners use cookies to Store and/or access information on a device. Theaverage monthly student loan paymentis $460. This website is for informational purposes only. However, certain areas are also far more expensive than others, which can have complicated explanations. That means youll be making $28.84 an hour if you make $60,000 a year and have no paid time off. While the pro of a cheap cost of living may be worth it in some parts of the state, the poverty in other parts is not something I would recommend being a part of by choice. In the United States, the median income is roughly $67,000. Since each state has different tax rates, your final take-home pay depends on which state you live in. Every person is different, and every job is different, but the real question at hand is if earning 60k a year in 2023 is good or not. The median household income in 2023 is about $76,000. By signing up, you'll be added to my legendary email list. Zippia.com. As a student, you may not have a lot of experience in the workforce. ), 35 Best-Selling Printables on Etsy (That Practically Sell Themselves). You probably wont be buying a mansion, but the person making $100,000 a year wont be either. So, how much will you bring home after all of the taxes and social security? However, in most cases, earning $60,000 a year is enough to live comfortably. To be abundantly clear, $51,000 a year may not be enough to cover everything you want, but it should meet the most common family needs and make ends meet. 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. You should save as much as you possibly can. Youd be taking home around $44,000 a year after taxes with a $60,000 a year salary. This comes out to be $35,480 per year. After taxes, making $60,000 a year leaves a single person with a take home pay of $45,600. Do you want to make money from your passion for photography? This site is for informational purposes only and is not intended to provide financial advice. New York City, San Francisco, Hawaii, and Massachusetts have the highest housing costs. Maybe shopping is your spouses favorite hobby. In this article, we will discuss what factors you need to consider when determining if $60,000 is a good salary for you. The important thing to note for this sample budget is that it is based on the high end of the monthly take-home range at $4,250. After taxes, making $60,000 a year leaves a family of 3 with $52,800. Or at least, he was. If youre single, youll take home $38,286. So living in such cities would be a dream come true for most, if not all, people. Is Earning $50,000 Considered Rich? Now, what if you get paid biweekly? Musk has even complained about the proposal to target the rich with a special tax. If you are getting paid monthly then you will have 12 pay periods in a year. Its a decent salary in a lower cost of living area and is a more difficult salary in higher cost of living areas. The average living wage is 245% of the minimum wage in America. Sounds right. You can minimize these costs buy using hand-me-downs or buying second-hand, but expect to be dropping money on clothes on a monthly basis especially with babies and younger kids. Invest in a 401k or IRA: You can automatically contribute $50 from each paycheck into your retirement account. Its personal. Answer (1 of 372): Yes $60,000 a year is considered a reasonably good income. If youre a part-time 17-year-old high schooler making $40,000 a year, this is really good. It is not legal advice. But anywhere else, youll be living well. Posted on June 9, 2022 Author Comments Off on is $60,000 a good salary for a single person June 9, 2022 Author Comments Off on is $60,000 a good salary for a single person Lets look at how earning a yearly salary of $60,000 works out for different family sizes. Is $60,000 a good salary in Canada? Over half a decade has passed since he left his career to travel the world as a digital nomad, and hes never looked back. If you mean Melbourne USA then yes you should be able. The consent submitted will only be used for data processing originating from this website. Your state income tax varies from 2.9% to 13.3%. It all depends on your unique situation. A job that pays $60,000 a year is a great opportunity for someone just starting their career. There are times when you may have to cut on the cost of some items to live within the means of the $60,000 annual gross salary. A single person would bring home $3,800 per month after taxes. get a side hustle or part-time job (i.e., Amazon Associates) to earn more income, get a degree higher than high school (i.e., college or trade school), using 25% of your monthly income for a mortgage payment, accounting for housing costs like property taxes and insurance, paying the average state income tax of 5.99% (youre likely not). If youre wondering how to live cheap and instantly slash expenses (without sacrificing quality of life), this is one epic way to do it. Keep in mind that the tax rate varies from state to state, so its unlikely theres a general chart to look up. $60,000 is a good salary in most locations. We can quickly do the math by dividing the total amount paid minus taxes by the number of biweekly pay periods in a year. If you have student loans or other debts, your monthly payments will reduce the amount of money you have for other expenses. By signing up, you'll be added to my legendary travel lifestyle newsletter. Its nearly impossible to factor all of these possibilities into the equation. A $60,000 annual pay works out to about $30 per hour, which is four times the federal minimum wage of $7.25 per hour. Yes, $60,000 a year is good for a single person. 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. Depending on the magnitude of what youd like to achieve in the future, a $60,000 salary may or may not be enough for you. $44,000 per year (-$16,000 tax reduction). Your cost of living varies depending on whether youre single or a family of 3. That said, Mississippi is one of those states where $60k a year is a quality salary for both singles and families. If you want to have lively nightlife, that helps narrow down your search as well. 6 Tips On How To Address Your Cover Letter, 11 Tips For Decorating Your Office Cubicle, 5 Tips For Getting Hired At A Remote Customer Service Job, Zippia. More money has been made in real estate than in all industrial investments combined.. However, the biggest concern, in my opinion, is housing. 60,000 dollars may be a good salary for a single person, provided they dont reside in the most expensive states in the U.S. For what its worth, you wont live comfortably on a 60K salary if you reside in Los Angeles or DC. In cities, having your own vehicle isnt necessary. Bachelors Degrees earn 24% more than those with non-college graduates. As a general rule, earnings tend to rise in your 20s and 30s as you start to climb up the ladder. if you are making $60,000 a year you are making 20% over the average salary in the US. You wont be able to eat out, and youll more than likely have to get rid of your vehicle and opt for the bus. The tool provides information for individuals, and households with one or two working adults and . When you can earn more by switching jobs, side hustles are not worth it. Note: Cost of living information was imported from Numbeo and after-tax pay was calculated with the SmartAsset calculator. A family would bring home $4,400 per month after taxes. For example, the average monthly rent for a 2-bedroom apartment in DC is $3,500. The median annual expenses for a family of four is $90,100. Welcome Home! It also assumes that you are a single adult. A small bedroom apartment in the city center runs you $150 (less outside the city), so you can guess how cheap everything else is going to be. Kids grow quickly, especially when theyre young. Instead of breaking down all the numbers for you, Ill leave you with this video. You will be amazed at how many options are out there to invest in. ($60,000 - $9,000) / 24 = $2,125 So its important to determine whats more essential and whats not then plan accordingly. The average 15-24-year-old only makes half that of the average 45-54-year-old ($43,500 to $84,400). While you may be an average earner with such an annual income, it's possible to live on it comfortably. Now, if you are raising a family that might make things more difficult. A six figure salary, meaning one between $100,000 and $999,999, is a benchmark for many people who want to meet financial goals. While some of these factors may feel more intuitive than others, theyll all have an effect on you.