A good salary is one of life’s necessities. However, a good salary might be the last thing on your mind when you are struggling to make ends meet. For many Americans, this means living paycheck to paycheck. The recession has put an end to 37 million jobs in just 18 months. As a result, people are starting to reassess their living situations.
To get a handle on what constitutes a good salary, you first need to figure out what a good salary actually is. There are several factors to consider, including location, local job demands, and tax rate. If you are lucky enough to live in the Bay Area or the Silicon Valley, you can expect to earn well above average wages. But if you are a commuter from Detroit, your lifestyle will likely be on the dime.
While it might be difficult to pinpoint a specific salary, you can find out by using a salary calculator. This is especially useful if you have recently relocated to a new city, and are comparing apples to apples.
What is a Livable Salary in the US?
A livable salary in the US is a pre-tax income amount that is enough to cover all of a family’s basic needs. It includes housing, food, insurance, and taxes. The number of adults in a family, their family’s composition, and the cost of living in a specific state can all affect the value of a living wage.
Living wage estimates are based on a “50/30/20” budgeting rule that allocates 50% of a worker’s income to necessities, 30% to non-necessities, and 20% to savings. In a study of annual living wages in each state, GOBankingRates found that the average annual salary for workers in the United States is $60,000.
However, the cost of living varies significantly from place to place. For example, in some areas, a family with two adults and a kid can live comfortably with just $65,321 a year. In other places, a family with just one adult and no kids will need $95,724 a year to do so.
In the United States, a living wage is defined as the pre-tax income that is needed to support a family’s basic needs, without government subsidies. This is different from the minimum wage, which is a legal minimum.
Is $70000 a Good Salary?
The question of what is a good price to pay for a quality life? This is especially true in the context of a healthy financial plan. It is no secret that a 401k, pension and health care plan is the single most important contributor to your overall success as a working adult. A nice job in a great city is not out of the question, but it’s not the worst case scenario. If a job change or two is on the docket, you might be in a better position to negotiate the best possible deal. Similarly, the best time to resign from your job is not the worst thing in the world. Taking stock of the aforementioned factors will help you land the dream job of your dreams, and the family sized apartment you’ve always wanted. Luckily for the lucky winners, the most desirable job isn’t far off the beaten path, but you’ll still be able to parlay your newfound prosperity into a life that you will cherish.
What Salary is Middle Class?
Middle class is a term that can be difficult to define. Generally, a person is considered to be in the middle class if they earn a salary between $50 and $90k a year. But the definition can vary based on many factors such as location and family size.
The Pew Research Center defines middle income as two-thirds to twice the national median household income. It also adjusts its data to reflect the cost of living in different parts of the country.
Historically, the middle class has been a large portion of the population, but in recent years it has been shrinking. This is caused by the increasing cost of living and the growing gap between the wealthy and the poor.
A middle class household of three would have to make between $53,413 and $106,827 a year to qualify for the middle income. For a four-person household, the income range is $46,960 to $140,900.
Some researchers, such as Pew, use the definition of “two-thirds to double the national median income”. Other experts define the income as “50% to 90% of the national median income” and consider a family that earns less than that to be in the lower-middle class.
Is 70K a Year Middle Class?
Depending on where you live, the amount of money you need to live can vary greatly. However, one thing is for sure – there are some basic needs that you need to meet.
If you are living in a high-cost-of-living area, then you will need to make some sacrifices. You may need to cut back on fun spending, such as vacations, and save some money.
On the other hand, if you live in a low-cost-of-living area, you will be able to spend more on a higher-class lifestyle. Using the Pew Research Center’s tools, you can determine how much you need to earn to maintain your lifestyle.
Generally, a household of four earning less than $175,000 a year is considered middle class. A family of three with a combined income of $48,000 – $145,000 is considered middle-class.
Compared with previous generations, middle class families are facing more financial pressures. This is particularly true when it comes to education costs, housing costs, and health care. Moreover, many middle class households have been working longer than past generations.
What Salary is Upper Middle Class?
The middle class in America has been shrinking in recent years. The Pew Research Center estimates that a family of four must earn between $60,000 and $180,000 annually to qualify.
In the US, the median income was $70,784 in 2021. However, the cost of living varies drastically in different states. A household of three must make between $51,962 and $155,902 to be considered middle class.
There are many factors that determine the class status of an individual. Some of these include age, education level, marital status, race, and income before taxes. An income calculator will help you find out where you fall within this range.
Generally, to be considered middle class, you must have a secure job and have a bank account. However, the size of your family plays an important role.
If you are a graduate student, you might receive a modest graduate student stipend of about $20,000. This may not be enough to qualify you as an upper middle class salary, but it can keep you out of debt and allow you to live comfortably.
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