Whether you’ve just gotten a raise or a new job that pays $60,000/year, you’re likely wondering, ‘is this a good salary?’
We’ll dive into all aspects of making 60K per year — from how much it is per week to how much it is after taxes, and everything in between.
Is $60,000 A Good Salary?
Whether $60,000 is a good salary depends on where you live (more on that later in this article).
But, compared to the national average of $53,490, it’s a decent wage that should provide a comfortable lifestyle in most American cities.
How Much Do I Make A Week If I Earn $60K A Year?
If we assume you’ll be working 40 hours per week at $60,000/year, all you have to do to figure out your weekly pay is divide your salary by 52.
In this case, we’ll divide 60,000 by 52, which gives us$1,154 per week. Of course, this is before federal and state taxes, insurance, and other benefits.
$60,000 A Year Is How Much Biweekly?
Now, to figure out how much you will make every two weeks — the amount that’s paid in the average paycheck — simply take your average weekly pay and double it. So, $1,154 times two is$2,308.
Or simply divide $60,000 by 26 weeks and you’ll arrive at the same figure, which is $2308.
How Much Do I Make A Month If I Earn $60K A Year?
Calculating the monthly pay of a $60,000 salary is also quite simple.
Take your annual salary ($60,000) and divide by 12 months =$5,000.
So, if you make $60,000/year, your monthly pre-tax earnings will be $5,000.
How Much Is $30 An Hour Annually?
Perhaps your new job pays an hourly wage rather than a salary, and you would like to see what your annual earnings will be. In this case, if you’re making $30/hour at 40 hours per week, you multiply 40 by 52 (the number of weeks in a year), which is 2,080.
Now, we’ll take your working hours per year (2,080) and multiply it by $30, which equals$62,400. Depending on your company’s paid-time-off (PTO) policies, holidays, and overtime, you can expect to make somewhere around $60,000-$62,400 per year at $30/hour.
$60K A Year Is How Much An Hour After Taxes?
Tax rates vary by state. But, let’s say you live in a state with a 4% state tax rate, plus the 12% federal tax rate. You’ll also have to figure in social security and Medicare taxes — 7.65%.
Now, let’s do the math.
Take your gross annual salary of $60,000 and subtract:
- Federal taxes (12%): $7,200
- State taxes (4%): $2,400
- Social Security and Medicare (7.65%): $4,590
That leaves you with a take-home salary of $45,810 — more than $14,000 less than what you would expect!
But, we’re not done yet. We have to convert that to an hourly wage.
Remember, we already calculated 2,080 hours for the year. So, divide the take-home salary of $45,810 by 2,080, and your hourly pay after taxes is $22.02/hour.
Can You Live On $60K A Year?
The answer to whether you can live on $60K a year depends on where you live. First, we’ll look at some cities where you can absolutely live comfortably on $60K/year.
Best Places To Live With A $60K Salary
- Median income:$27,854
Cleveland comes in at the number one best place to live on a 60K salary. The average person in Cleveland earns just above $27,000 per year, meaning a $60K salary will go a long way in Cleveland. The typical home value in Cleveland is $97,439. So, with a $60K salary, you’ll also be able to get an above-average home.
- Median income:$49,478
The number two spot where you can live comfortably on $60K is also in Ohio. In Columbus, the average income is $67,207, which is significantly higher than in Cleveland. But, it is still in the 60K range. The capital of Ohio is one of the most affordable cities in the Buckeye State. The average house in Columbus costs$214,828.
Colorado Springs, Colorado
- Median income:$58,158
If you’re looking for gorgeous views and plenty of outdoor activities, Colorado Springs may be the perfect spot. What’s more, The Springs is quite affordable. In fact, the average salary sits right around $60K at $60,988 a year. The average home in Colorado Springs costs $434,231 — a 29% increase over the past year. A house for that much may be stretching it on a $60K salary, so it might be a good idea to rent until the housing market cools back down.
El Paso, Texas
- Median income: $44,431
Texas is known for its great cost of living, and El Paso takes the cake for affordability. The average home costs $173,839 in El Paso, which means a $60K salary would go quite as far in terms of housing budget and everyday expenses.
Worst Places To Live With A $60K Salary
New York City, New York
- Median income:$80,000
NYC’s average earner makes around$80K/year, so a $60K salary would fall quite short in terms of living comfortably. Everything in NYC costs more, from the city’s notoriously high tax rate to parking costs, food, and housing.
The average person pays $4,072 per month for rent — meaning you would not have much leftover for other living expenses on a $60K salary.
Even if you wanted to move out of the city for more space and to escape Manhattan rent prices, you would find average housing costs to be $728,404, making the Empire State quite unaffordable.
- Median income: $78,000
The average employee makes $78,000in the nation’s capital. Washington, D.C. is also experiencing an affordable housing crisis — the average rent is$2,160/month, and the average house costs$698,414, making D.C. another hard place to live comfortably on a salary of $60K.
Los Angeles, California
- Median income:$78,000
The average salary in Los Angeles, California, is also $78,000. But in some of the posher neighborhoods, like Bel Air, people earn an average of$207,000 per year.
The average home in L.A. costs a whopping$913,754, making home ownership virtually out of the question for anyone who earns $60K/year. Renting is a bit more affordable — yet the average renter still pays $2,518/month.
How Much Is $60K A Year Compared To All Americans?
According to the latest data from the United States Bureau of Labor Statistics (BLS), the annual medium full-time salary in the U.S. is $53,490. So, a $60K salary is pretty well above that marker. If you make $60K/year, you are earning more than the average American.
What Types Of Jobs Pay $60,000 A Year?
Jobs that pay around $60,000/year include:
- Electrical engineer
- Public relations specialist
- Respiratory therapist
- HR specialist
- Truck driver (no experience)
- Landscape architect
- Business development representative
- Construction manager
- Real estate agent
- Web developer
- Registered nurse (RN)
- Dental hygienist
How To Make More Than $60K A Year
If you’re looking to advance your career and make more than $60K/year, here are some tips:
- Gain on-the-job experience. Go above and beyond to learn as much as you can every day and talk to people in different roles. Eventually, your hard work will pay off in terms of a promotion or having enough experience to advance to a higher-paying role.
- Go (back) to school to earn a bachelor’s degree, MBA, or other specialized degree.
- Start a side-hustle. Turn your passion into a business to earn some extra cash.
- Work overtime. Try to pick up some extra hours and earnings by volunteering to work late, early, or on weekends. Just make sure you’ll be paid for your time!
- Start freelancing. We live in a creator economy, where all you need is a laptop and a few other digital tools to start earning money as a freelancer.
Make Your Money Work Harder Than You Do By Investing
Another way to earn more than $60K/year is to make your money work harder and start investing. Investing in dividend-paying stocks will offer you a regular income. You can do this on the side, or if you get good enough at it, you can do this for full-time income. The possibilities are endless.
Dividend stocks work by regularly distributing a portion of the company’s earnings to investors. What’s more, companies that pay dividends are generally well-established, meaning dividend stocks may also add some stability to your stock portfolio — a win-win for investors.
There are two main ways to begin investing in dividend stocks:
- Through mutual funds, like index funds or exchange-traded funds that hold dividend stocks.
- By purchasing individual dividend stocks.
Some of the highest-dividend-producing stocks include:
- NPK — National Presto Industries Inc. (7.52% dividend yield)
- OKE — ONEOK Inc. (5.88%)
- PM — Philip Morris International Inc. (5.29%)
- PSX — Phillips 66 (4.92%)
- CVX — Chevron Corp. (4.68%)
- KMB — Kimberly-Clark Corp. (3.52%)
- SJM — J.M. Smucker Co. (3.22%)
- HAS — Hasbro, Inc. (2.84%)
- EQR — Equity Residential (2.79%)
For more information on how you can make your money work smarter, don’t hesitate to reach out to us today. We are full of knowledge and resources to point you in the right direction.
The author has no position in any of the stocks mentioned. Financhill has a disclosure policy. This post may contain affiliate links or links from our sponsors.