Hitting a six-figure wage has lengthy been seen as a marker of monetary success. However with the ever-rising price of residing, $100,000 can fall far in need of monetary safety in most of the nation’s largest cities.
In actual fact, within the priciest locales — New York, San Francisco and Honolulu — $100,000 will get one the identical high quality of life as somebody making $36,000 nearly anyplace else within the nation, in response to a brand new evaluation from personal-finance web site SmartAsset.
For the report, SmartAsset used its paycheck calculator to take away state, federal and native taxes from a $100,000 wage, then adjusted the rest primarily based on every metropolis’s relative price of residing.
The winner? Memphis, Tennessee, the place a six-figure earner would have the equal of $86,000 left after taxes.
Tennessee would not have private revenue taxes, leaving the hypothetical employee with $74,500 after federal taxes are taken out, however Memphis’ ultra-low price of residing makes that equal to take-home pay of $86,400 elsewhere within the nation.
In fact, most locals make far lower than that quantity, with the median family within the Memphis metro space incomes simply $55,000.
Texas was one other main winner in SmartAsset’s rankings, holding seven of the highest 10 least expensive cities within the calculation: El Paso, Corpus Christi, Lubbock, Houston, San Antonio, Fort Value and Arlington.
On the opposite finish of the spectrum, New York ranked lifeless final in affordability, with a $100,000 wage within the Huge Apple equal to simply $36,000 in take-home pay elsewhere within the nation.
California options closely on the least-affordable listing, with the ten worst cities together with San Francisco, Los Angeles, Lengthy Seaside, San Diego and Oakland. About 4 in 10 households within the state make over $100,000, census knowledge present, however the value of housing within the state has skyrocketed to the purpose the place a four-person household making six figures qualifies for federal assistance in San Francisco and different elements of the Bay Space.
