To be clear, several factors determine whether $60,000 can be enough for you to live on. Market Realist is a registered trademark. We all gotta eat. Do you want to live like a king or queen? If you get paid on a biweekly schedule you will have roughly 26 pay periods throughout the year. You are earning 12% more than the average annual salary. Do you want to know what kinds of photos are in high demand and how to get top dollar when you sell them online? Paying health insurance and adding to a retirement plan could have you eating ramen every day. With the average annual housing rate standing at $9,000 at least, you can do really well if you have a budget plan. Youre also going to have to pay social security taxes, which are 6.2%. If you are making $60k a year, you will be making around $4,250 a month after taxes. There are many jobs that pay $60,000 a year. The answer is yes, you can save money if you make $60,000 a year. Having enough money often comes down to how you spend rather than how much you make. You should only be spending 10%-15% of your monthly budget on a car. However, if you are liable for taxes like the rest of us your check will most likely be $1,807 - $1,961 like we calculated above. I would say a great salary puts you in a position to invest or save 50% of your income without you having to penny-pinch, only eat ramen noodles, or avoid enjoying your life. This means that if you're earning $60k a year, which is very close to this amount, it can definitely be good. That would mean that you can afford $4,250 / 3 = $1,400. If a common American earning a minimum hourly wage can make ends meet, you really should do well with an annual salary of $60,000. It depends on the current cost of living, your demography, your lifestyle, and the number of people in your household. Making that kind of salary will make it nearly impossible for you to survive in the states most expensive cities. Is $60,000 a good salary in India? This can include factors like your age, location, taxes, lifestyle, family status, and more. Your $60,000 a year would be this much after taxes: $60,000 annual pre-tax income-$6,262 federal income taxes . As an example, while the average teacher in the U.S. makes $63,645, an entry-level teacher might expect only $30,000-$40,000. These different tax rates determine the amount of money youll bring home. To be clear, several factors determine whether $60,000 can be enough for you to live on. Mainly because the average income in the United States, even though a lot of people don't know about it, is only about $35, 000. Note that the average household income in America is $70,784. In others, its crazy cheap. Is 60,000 dollars a good salary outside of the US? And if you have a car, tack on an additional $500 a month on top of insurance, property taxes if you own a home, etc. The above rent prices are for Jackson, Mississippi, but the cost of living varies widely throughout the state. Answer (1 of 372): Yes $60,000 a year is considered a reasonably good income. With this, you can afford a $500-$750 a month car payment. While some of these factors may feel more intuitive than others, theyll all have an effect on you. Toronto and Vancouver are pretty expensive. In general, you can live comfortably on this salary, but you may have to be careful with your spending. In cities, having your own vehicle isnt necessary. Or maybe someone in the family has special diet needs. ), 35 Best-Selling Printables on Etsy (That Practically Sell Themselves). This would leave a single person with $45,650 after expenses and taxes each year. And talk to them about what skills you can gain to get a higher-paying job offer. 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. If the $60,000 is net of taxes, it would be a great amount to take home, but if that's a pre-tax amount, youd be left with about $45,000 after handing the IRS its dues. (Or Too Hard? So its important to determine whats more essential and whats not then plan accordingly. Mar. For example, the average monthly rent for a 2-bedroom apartment in DC is $3,500. Your total take-home paycheck would be: Whoa! That is just under $25 an hour, and just about $51,000 a year. Lets backtrack a little to find out how we got to this number. The average personal salary in the U.S. is $63,214, meaning that $60,000 is a healthy amount. An example of data being processed may be a unique identifier stored in a cookie. You probably wont be saving thousands of dollars a month, but you can still make a solid contribution to your future each and every month. . Living Wage Calculation for Kentucky. The above statistics are averages for the entire country of India, and may be more or less depending on which city you live in. A family of 3 earning $60k a year should have an extra $1,200 left over each month. In expensive cities like San Francisco, you cant afford much. In comparison, the median annual salary in the US is $70,784 or $1,361.23 per week. Manage Settings Yes, $60,000 a year is good for a family of 3. I would recommend saving what you think is comfortable right now. 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. 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. That's a $350/month difference between the highest and lowest taxed state. With that in mind, a $60,000 salary is a great start for most college grads. All Rights Reserved. The estimated cost of livingfor a single person in the US is $2,836 a month. I think youll be surprised at the stark differences in lifestyle. You can afford pretty much anything in moderation. You are earning 20.6% more than the average annual salary. Utilities and food cost more. Which is $1,740 more per year than the average salary in the US. Fill out the form above for your FREE consultation. Someone making $60K a year doesnt have a lot to spend compared to someone who earns a salary of $100K. Generally, you should only spend about 28% of your gross monthly income on housing expenses. 60K may or may not be a good salary. Rather, they plan their wages accordingly and live within their means. In moderately-priced cities, itll buy you a middle-class lifestyle. That puts . Here is a list of five cities in the US worth mentioning (in no particular order): As for places to live outside the US the world is your oyster. Just think living off $60,000 annually is much harder in San Fransico than it would be in North Dakota. In some cities, the cost of living is outrageous. For example, if you are single and earn $60,000 a year, your federal tax would be different than a married couple who earns the same amount. I would recommend not spending more than one-third of your monthly income on housing expenses, which in this case would be $1400. If youre a single person earning $60,000, your rule of thumb should be to save at least 50% of the income. In New York, $60,000 a year is $42,540 for a married couple after taxes. Yes, $60,000 is a good salary. You can afford to spend a ton on Amazon each month or have a cool car with a payment that goes along with it, but probably not both. You will also need to consider the cost of living in your area, your credit score, and other debts you may have. Musk has even complained about the proposal to target the rich with a special tax. Relocating could instantly upgrade your life. People also buy too much car, trapping themselves into debt. This is why I added the three-bedroom option to each destination. You probably wont be buying a mansion, but the person making $100,000 a year wont be either. This site is for informational purposes only and is not intended to provide financial advice. Its a decent salary in a lower cost of living area and is a more difficult salary in higher cost of living areas. Toronto is one of the most expensive cities to live in North America. 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). For example, if you would like to buy an SUV in six months or less, but you live in an expensive state such as Washington, youre highly likely to hit rock bottom fast. 15.5 million digital nomads from the U.S. how to live cheap and instantly slash expenses, Realistic advice on setting up life on the road (no hype). In this article, we will discuss what factors you need to consider when determining if $60,000 is a good salary for you. is $60,000 a good salary for a single person is $60,000 a good salary for a single person 09 June 2022. dejounte murray sister / lake havasu city police scanner We and our partners use cookies to Store and/or access information on a device. With discipline and proper financial planning, you can get by comfortably. You can literally live like a king. It all depends on your lifestyle. Now that we have answered the question is $60,000 a good salary, lets take a look at what this income can afford. Consult an attorney if you are seeking legal advice. If you want to be close to friends and family, then that helps you narrow down your list of where you want to live. A good salary in the US to break even on average expenses is $78,700 per year. When you get paid twice a month, youll see that you could get an average paycheck of anywhere between $1,958 - $2,125. The U.S. is a huge place. On the contrary, an entry-level salary of $60,000 for a doctor would be unacceptable, as the average for the position is well over $100,000. On the other hand, certain states have very high taxes. The most important rule of life is to live within your means. After taxes, making $60,000 a year leaves a single person with a take home pay of $45,600. After taxes, making $60,000 a year leaves a single person with a take home pay of $45,600. To view the purposes they believe they have legitimate interest for, or to object to this data processing use the vendor list link below. ($60,000 - $9,000) / 24 = $2,125 Kids grow quickly, especially when theyre young. That data is provided by ssa.gov and is extrapolated across an entire year to then provide an average of $51k. The median annual expenses for a family is $90,100. Thats the average, and average according to Merriam-Webster means, a level (as of intelligence) typical of a group, class, or series. The average rent for an apartmentin the US is $1,124 per month, or $13,488 per year. Write down a list and work backward from there. If you are 30 years into your career, or just starting the answer is different. Youd be taking home around $44,000 a year after taxes with a $60,000 a year salary. After taxes that amount could be between $3,500 - $4,250. We have articles on everything from making extra money to how you can make $100,000 a year. In his professional career hes written over 100 research papers, articles and blog posts. Comfortable living means different things to different people, but generally, it means making enough to cover your expenses and save enough money for the life you want. If you prefer to do a mix of eating out and cooking, $200 will have you eating whatever you want without hurting your budget. Disclosure. Here is a list of some jobs that pay $60,000 a year and do not require a college degree: It is important to remember that your cost of living may vary depending on your location. Now that we have looked at how much $60,000 is an hour, how much you get after taxes, and what jobs pay this salary, it is time to answer the question: is $60,000 a good salary? As an Amazon Associate I earn from qualifying purchases. The average health insurance premium in California is $487 per month. If these numbers dont work for you, feel free to change them up and let me know what you did! You should save as much as you possibly can. However, once you start a family, its going to cost you more to survive. Is it a very high income? Please, read my affiliate disclaimer for more details. link to What are the best stay at home jobs that pay well ? To view the purposes they believe they have legitimate interest for, or to object to this data processing use the vendor list link below.