The answer depends on your personal circumstances.
If you’re a single person living in Manhattan, then $60,000 is likely a great salary. If you have a family and need to move to the suburbs, it may not be enough. If you want to live in Brooklyn but commute into Manhattan each day, then it might be too much for you to pay for rent and transportation.
In short: It depends on where you live and what kind of life you want to lead.
Is 60000 A Good Salary In New York
Yes, $60,000 is a good salary. In the United States, the average annual personal salary is $63,214, meaning that a $60,000 salary is perfectly normal and healthy.
Of course, the quality of a $60,000 salary will also depend on several factors. This can include factors like your age, location, taxes, lifestyle, family status, and more. Just think – living off $60,000 annually is much harder in San Fransico than it would be in North Dakota.
With that in mind, let’s cover everything you should consider when assessing the quality of a $60,000 salary.
IS $60,000 A GOOD SALARY?
As mentioned, there are many things to consider when you want to know whether or not your $60,000 salary is good. While some of these factors may feel more intuitive than others, they’ll all have an effect on you.
Consider the following:
- Cost of Living. The United States is a big country, and where you live can have a profound effect on your cost of living. In general, urban areas are far more expensive than rural ones, particularly due to access and additional amenities.However, certain areas are also far more expensive than others, which can have complicated explanations. Here are some popular locations and their cost of living compared (by the average salary you’d need to live comfortably):
- Charlotte, NC (urban): $62,022
- New York City, NY (urban): $83,232
- Socorro, TX (suburban): $33,062
- Clayton, MO (suburban): $106,611
- Cape Charles, VA (rural): $32,760
- Yankton, SD (rural): $50,357
- Taxes. Another important aspect of your location are taxes, as certain states and cities can be drastically different. For example, states like South Dakota and Wyoming have no income tax. 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)On the other hand, certain states have very high taxes. New York and Hawaii’s tax burdens are double that of Wyoming’s, at rates of 12.79% and 12.19%.
- Lifestyle. Of course, your own everyday decisions can affect the quality of your $60,000 salary. For example, If you like to eat out and party regularly, as opposed to clipping coupons and making food at home, you’ll likely need more money coming in.If you’re not sure how you’re lifestyle will affect your disposable income, try creating a list of your regular expenses and running some calculations.
- Career Level. Depending on the job you take, $60,000 might be an excellent entry salary. 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. Therefore, a starting salary of $60,000 for a teacher would be excellent.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.
- Age. 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. The average 15-24-year-old only makes half that of the average 45-54-year-old ($43,500 to $84,400).
There are other factors of course, but overall, these are some of the most prominent. Remember that one of these factors can be more relevant to your situation than others, but all of them play a role in determining whether or not your $60,000 salary is good.
BUDGETING ADVICE FOR A $60,000 SALARY
Due to the fact that the quality of a $60,000 salary can change depending on your circumstances, it’s good to analyze your situation. Here are some common questions you might have about a $60,000 salary answered:
IS $60,000 A GOOD SALARY FOR A SINGLE PERSON?
Yes, a $60,000 salary is typically good for a single person. The average personal salary in the U.S. is $63,214, meaning that $60,000 is a healthy amount. Of course, this also depends on your location, age, etc., but as a single person, you should be able to live comfortably in most places.
IS $60,000 A GOOD SALARY WHEN YOU HAVE ROOMMATES?
Yes, a $60,000 salary is typically a great salary when you have roommates. Assuming that your roommates work their own jobs, buy their own food, help pay rent, or offer any other kind of financial assistance, you might even be in a better situation than if you were living alone. Just remember to pick good roommates if you can.
IS $60,000 A GOOD SALARY FOR A FAMILY?
$60,000 can be a good salary for a family. It depends on the size of your family. If you’re married with no children, but you’re supporting both you and your partner, you’ll probably be able to manage with a $60,000 salary. In that scenario, keep in mind that your rent cost will likely stay the same, and only your food and utility costs will see major increases.
On the other hand, a $60,000 salary can start to become dicey when you add children to the equation. The average child costs $14,846 per year to take care of in the U.S. Undoubtedly, those expenses will start to eat away at your salary and might make it more difficult to live comfortably with $60,000.
IS $60,000 A GOOD SALARY FOR A NEW GRADUATE?
Yes, a $60,000 salary is a great salary for most new graduates. The average salary for new college grads is $55,260, with many jobs paying as low as $40,000 for entry-level positions. With that in mind, a $60,000 salary is a great start for most college grads.
Keep in mind that this can be situational, as high-paying jobs (doctors, aerospace engineering, etc.), should pay more than $60,000, even entry-level. No one who goes through medical school for 8+ years is going to want to have a starting salary of $60,000.
FINAL THOUGHTS
Overall, a $60,000 salary is perfectly healthy for your average individual American. You should be able to live in most places, and if you’re a young new graduate, you can expect to make more in the future.
The only time you should be concerned about a $60,000 salary is if you have children, and/or live in one of the most expensive locations in the U.S. Unfortunately either of these factors will raise your cost of living rather significantly.
