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. Over half a decade has passed since he left his career to travel the world as a digital nomad, and hes never looked back. The final verdict is this: Is $60,000 a good salary? It does not take into account taxes, bonuses, or vacation time. However, in most cases, you can live comfortably on $60,000 a year. The median household income is decreasing by 2.9% per year due to inflation. Even if youre a single person, rent may be a challenge to pay given the current average monthly rate. Starting monthly salary: $5,000 USD (~4,576,008 INR)After taxes: ~$3500 USDRent for a one-bedroom apartment (downtown): $150 USDRent for a three-bedroom apartment (downtown): $350 USD. 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. The median living wage for a single person is $17.74 per hour. According to their own estimates, this tax only covers ~10% of the $3.5 trillion spending bill. (Or Too Hard? Age. However, the biggest concern, in my opinion, is housing. Which is $21,740 more per year than the average salary in the US. His advice has been featured in Forbes, USA Today, Yahoo, MSN, Readers Digest, Cond Nast Traveler, and more. With a fairly easy to live with budget above, there was an excess of $4,250 - $3,260 = $990. 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. For example, Yottleds referral program pays $40 to $1,000 for each referral and anybody can be part of it without any investment or commitment. 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. That comes out to exactly $30 an hour if you get 2 weeks of paid vacation each year. The average single person would have $10,120 left over after taxes and living expenses. Therefore, a starting salary of $60,000 for a teacher would be excellent. You want to invest into your future. In moderately-priced cities, itll buy you a middle-class lifestyle. I only recommend bomb-dot-com products I love. Sounds right. Then next month find one area in your life that you can cut back on. Rather, they plan their wages accordingly and live within their means. Once you master the exchange rate in your head, youll start to realize the cost of living in Toronto is similar to most large US cities like Denver and Nashville. Its a different case if youre from Michigan, as you can save enough money within that period to buy yourself the car. 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. However, once you start a family, its going to cost you more to survive. A comfortable salary fora family is $116,000 before taxes. Now, what if you get paid biweekly? These different tax rates determine the amount of money youll bring home. More importantly, is what you are doing with your money. Theaverage monthly expenses per household are $5,111 per month or $61,332 per year. It's significantly higher than the median full time earnings no matter which area of the country you live in, and therefore it puts your personal income at a higher level than many, many others. Some people argue that you never really know how much you earn unless you know your hourly wage. Many people consider $70,000 to be at the high-end of the salary range in America today. 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. The assumption is the sole provider is working full-time (2080 hours per year). A family would bring home $2,031 biweekly after taxes. The average living wage is 245% of the minimum wage in America. 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. $60,000 can be a good salary for a family. This is because the cost of living is typically higher when you have more people to support. So, how much will you bring home after all of the taxes and social security? Which means that an average salary is typical or good. It all depends on your unique situation. I think youll be surprised at the stark differences in lifestyle. ($60,000 - $9,000) / 52 = $980.77 That would mean that you can afford $4,250 / 3 = $1,400. For example, If you like to eat out and party regularly, as opposed to clipping coupons and making food at home, youll likely need more money coming in. You should save as much as you possibly can. Now if you are paying taxes it will most likely be closer to $903 - $980. The amount of tax you will pay depends on your taxable income and your filing status. In towns like Oxford and the suburbs of Memphis, housing is expensive. In his professional career hes written over 100 research papers, articles and blog posts. This is why I added the three-bedroom option to each destination. 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). Yes, $60,000 is a good salary. A single person making $100,000 a year is good because it allows them to: You are earning 69% of the average annual salary. $60,000 is a good salary in most locations. One key factor is controlling your lifestyle and avoiding lifestyle creep. 60K may or may not be a good salary. A good salary in the US to break even on average expenses is $78,700 per year. If your dollars arent working for you, they are working for someone else. Sixty thousand dollars a year is good for a single person in most of the world. Is $60,000 a good salary in todays day and age? Mitch is your typical nomadic backpacker. This post contains affiliate links, which means I may receive a small commission, at no extra cost to you, when you make a purchase. In the United States, the average annual personal salary is $63,214, meaning that a $60,000 salary is perfectly normal and healthy. Personally, if your life circumstances allow it and you are comfortable with it I would look into buying over renting. $60k a year is a great salary for most areas of this state. The above figures are in US dollars. link to What are the best stay at home jobs that pay well ? A $65,000 salary may easily meet your . I would recommend not spending more than one-third of your monthly income on housing expenses, which in this case would be $1400. I may earn a commission (at NO cost to you) if you buy through links on this page. You can afford $1,250 in rent if youre making $60,000 a year. 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 There are other factors of course, but overall, these are some of the most prominent. Find cheaper alternatives: If you have cable, consider switching to a streaming service like Netflix or Hulu. The minimum wage is only $7.25 an hour in Mississippi, which is less than half of California. Assuming you work a full-time schedule (40 hours a week) for 52 weeks out of the year, $60,000 is about $30 an hour before taxes. This comes out to be $35,480 per year. ($60,000 - $9,000) / 24 = $2,125 What is a good salary? Home loans providers have varying requirements. However, each US dollar is roughly $1.25 Canadian at the current exchange rate, which can get slightly confusing. By signing up, you'll also be added to my legendary email list and receive handy travel lifestyle tips and inspiration I don't share anywhere else. But overall, the average cost of goods is 14% less than the national average, according to the U.S. Bureau of Labor Statistics. You are earning 86% of theaverage annual salary. 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. Hey you! If youre making $60,000 per year, the good news is youd rank far above many people. Note that the average household income in America is $70,784. In 2020, the median household income in the United States was $67,521 which means that there are more households making above $60,000 than below it. If you have student loans or other debts, your monthly payments will reduce the amount of money you have for other expenses. We can also do the math for getting paid twice a month. This means that if you're earning $60k a year, which is very close to this amount, it can definitely be good. 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. If you are asking what a great salary is, that is a completely different answer. People that earn $60,000 per year dont bring that money home. Manage Settings Whether a 60K a year salary is middle class depends on a number of factors. Market Realist is a registered trademark. You can afford a $1,250 mortgage payment on a house making $60,000 a year. The average monthly rent for a 2-bedroom house alone is $3,500, which can be very difficult to keep up with for the long-term. Another factor that determines whether 60K is a good salary is the number of people in your household. Lifestyle. Generally, you should only spend about 28% of your gross monthly income on housing expenses. Some people may find that they need more money while others may find that they can live comfortably on less. With that said, everyone will have a different idea of what makes a comfortable life You can afford pretty much anything in moderation. We and our partners use data for Personalised ads and content, ad and content measurement, audience insights and product development. And spending a lot of money unnecessarily leads them to living paycheck to paycheck. It depends on the current cost of living, your demography, your lifestyle, and the number of people in your household. If you prefer to do a mix of eating out and cooking, $200 will have you eating whatever you want without hurting your budget. In general, you can live comfortably on this salary, but you may have to be careful with your spending. But in others, youd barely scrape by. Everything is relative to your unique situation. These are the most common questions about earning this amount of money. Some of his most popular published works include his writing about economic terms and research into job classifications. If you mean Melbourne USA then yes you should be able. 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. That data is provided by ssa.gov and is extrapolated across an entire year to then provide an average of $51k. More often than not, a 60K annual salary may be middle class for someone who lives in the United States of America. You can also save money by contributing to a 401k or IRA. Yes, a $60,000 salary is a great salary for most new graduates. For a family of four, the estimated cost of living is $4,900 a month. On $60,000, the average state income tax youll pay is $3,594. Now I know that all the digital nomads and the majority of the Financial Independence community will squawk at this. Therefore, you can never have enoughjust look at Elon Musk and Jeff Bezos, who still work to grow their wealth. The state you live in if youre an American. Thats a fair amount of money. Answer (1 of 372): Yes $60,000 a year is considered a reasonably good income. The answer to this question really depends on your personal circumstances. To view the purposes they believe they have legitimate interest for, or to object to this data processing use the vendor list link below. 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. In general, urban areas are far more expensive than rural ones, particularly due to access and additional amenities.