Here’s the Income It Takes to Live Comfortably in Each U.S. State – 2024 Study (2024)

FAQs

How much do you need to make to live comfortably in 2024? ›

The findings are eye-opening: to lead a comfortable life in a major U.S. city, an individual needs to earn, on average, an annual pre-tax salary of $96,500. This takes into account necessities, debt obligations, and investments for the future.

While California ranks third-most expensive for a single adult to live comfortably at $113,652, it only ranks fifth-most expensive for two working adults raising two children. The total family income should be at least $276,724 in the latter case.

According to the report, single adults need about $88,317 to live comfortably and families of four need $200,762.

The median household income across all 345 cities is $77,345, making middle-class income limits fall between $51,558 and $154,590. On a state level, it takes the most money to be middle class in New Jersey.

Well, it depends. A $40,000 salary may be sufficient for an individual in a low-cost area, but it may not be enough for a family to live comfortably in most parts of the US. Rising inflation has made it more challenging to live on a $40,000 salary, but it still exceeds the poverty threshold for families.

The majority of respondents (nearly 70%) felt that they would not need more than $95,000 to feel happy. Despite the high costs of living in areas across the country, most people answered that they could make a salary under the national average and still be content.

But the state where workers earn the highest median annual wage is actually Massachusetts, where the median income as of 2023 is about $60,690, according to the Bureau of Labor Statistics. Workers in the District of Columbia have a higher annual median wage at $84,450, but Massachusetts is the highest-earning state.

According to research from MIT, the living wage in the United States was $25.02 per hour ($104,077.70 per year) before taxes per year in 2022 for a family of four (two working adults with two children). That's an increase from $24.16 ($100,498.60 per year) in 2021.

What's considered a “good” salary in Texas depends on your household size and lifestyle, but most Texans make between $45,000 and $100,000 annually. Texas cities have differing costs of living, of course — Austin is much pricier than Amarillo — so where you live in the Lone Star State also matters.

What is a good salary to live comfortably in Florida? ›

A decent salary — one that allows for necessities, fun, and savings — might start around $69,000 for a single, childless person in Florida and $94,500 for a couple. Why those figures? Using the 50/30/20 budget method, start with what MIT calls a living wage in Florida, which covers basic needs (50% of a salary).

The data used in the study analyzed the cost of living in each city as of 2024. In some California cities, like Bakersfield and Fresno, a single person would need to make at least $89,190 to “live comfortably,” the data shows.

Where you rank by income. According to the Census Bureau's Income in the United States: 2022 report, the median household income is $74,580 (a 2.3% decline from 2021), while household income levels for each class level are as follows: Lower class: less than or equal to $30,000. Lower-middle class: $30,001 – $58,020.

In 2020, according to Pew Research Center analysis, the median for upper income households was around $220,000 and the median for middle income households was slightly above $90,000.

“A salary range of $80,001 to $95,000 is more reasonable for living comfortably, this aligns more closely with the reality in high-cost living areas.”

An individual needs $96,500, on average, to live comfortably in a major U.S. city. That figure is even higher for families, who need to earn an average combined income of about $235,000 to support two adults and two children.

It is possible to live individually on a $20,000 income, but you will likely only be able to afford the items on your basic living expenses list if you aren't able to supplement your income.

If you earn $50,000 a year in San Francisco or New York, you undoubtedly will need a roommate — or three — to make ends meet. But in many cities in the United States, $50,000 a year is plenty to live on.

SmartAsset extrapolated the income needed for a 50/30/20 budget based on the cost of necessities, using data from the MIT Living Wage Calculator. Here's a look how much income a family of four needs to live comfortably in the 20 most expensive U.S. cities: San Francisco: $339,123. San Jose, California: $334,547.