Compare Your Salary to the Median Salary in Your State
If you’ve ever wondered how much your salary compares to the median salary in your state, then there’s some new research out from financial experts that answers your question. With inflation rising steadily over the past decade, it’s goes without saying that $10 doesn’t buy you what it did a few years ago. So, median salaries have certainly shifted over the years. That median salary also differs a lot depending on your state. So, here’s a tally of the latest median salaries, so you can compare your salary to the median salary in your state.
Your Salary vs. the Median Salary in Your State
The experts at SmartAsset.com have put together some research on the median salary in every state in America. They note that in general, living outside of big cities is more reasonable when it comes to spending for most Americans. However, they say that inflation has impacted all Americans, not just those in big cities, even though inflation has been slowing. “If you aspire to maintain a comfortable lifestyle, the 50/30/20 budget rule recommends spending approximately 50% of your income on basic needs like food and housing, 30% on wants and putting away the remainder toward savings or paying off debt,” they mention. So, with that information, the experts at SmartAsset.com used that 50/30/20 budget rule, including Labor Bureau data, to figure out the cost of living data in every U.S. state and determine how much income a single adult requires to live comfortably. They also calculated that figure for two working adults raising two children.
What SmartAsset found was that the most expensive state to live comfortably in is Massachusetts. There, “a single adult needs to make at least $116,022 to cover basics, wants and savings in Massachusetts, or $55.78 per hour.” That’s such a high figure. If you’re a family of four, that number jumps to $301,184. Yikes. The least expensive state for a single adult is actually West Virginia, at $78,790 per year or an estimated $37.88 per hour pre-tax. The cheapest state to raise a family, with that four-adult family figure, is Mississippi, where a family needs $177,798 to live comfortably and cover those basic needs, desires and savings goals.
So, when it comes to a single person, Massachusetts is the most expensive state to live comfortably in at $116,022 per year. Hawaii is No. 2 at $113,693, and California is No. 3 at $113,651. Looking down the list, New Jersey is No. 7 on that list at $103,002 per year; and Georgia is No. 15 at $96,886. Other figures include Michigan at around $84,000 per year; Pennsylvania at $91,000; Delaware at $94,000; Nevada and Florida at $93,000; North Carolina at $90,000; and South Carolina at $88,000. I find these numbers fascinating. Find the full list of median incomes for singles at this location and families at this spot. Reach out to me with your thoughts, too.
Simple Habits of Millionaires, According to Experts
They Buy Their Cars (Instead of Leasing) and Keep Them As Long As Possible
Cars lose their value quickly. That’s why buying a used car is usually much less expensive than a new car. The second that car is off the lot, it’s considered used and drops in value thousands, even with just another mile on the car. That said, according to CNBC.com, wealthy people buy, don’t lease, their cars and keep them long-term. That way, they can save money between car purchases.
They Buy Their Cars and Keep Them
They Delay the Pleasure of Having the Finer Things in Life
According to RamseySolutions.com, “Millionaires spend most of their lives sacrificing temporary pleasures for long-term success. They have no problem buying an older used car, living in a modest neighborhood, and wearing inexpensive clothes. They don’t care about keeping up with the Joneses.” So, instead of picking up all the hot, expensive new stuff, wait it out.
They Delay Pleasure
They Educate Themselves on Money
If you’re a newbie to financial planning, listen to some podcasts on the subject or find a helpful book. Finance.yahoo.com says, “knowing how to become a millionaire isn’t innate, even for most wealthy people.” Research from certified financial planner and CPA Tom Corley shows that “63 percent of wealthy people listen to audio books during their commute to work versus 5 percent of poor people,” says Finance.yahoo.com.
They Educate Themselves on Money
They Network and Meet New People
In the same Finance.yahoo.com story, Corley says that networking is huge when it comes to becoming a millionaire. “On his Rich Habits blog, Corley revealed 79 percent of wealthy individuals network at least five hours per month, compared with only 16 percent of poor people,” they explain. So, get out there, and meet new people who could make up your network.
They Network
They Live Below, Not Within or Above, Their Means
Millionaires are frugal. They don’t splurge like you might expect. According to RamseySolutions.com’s The National Study of Millionaires, nearly half of millionaires in their poll said they save at least 16% of their monthly income. They often use it for an emergency fund or liquid cash.
They Live Below Their Means
They Make Use of Their Money By Investing
CNBC.com’s Select asked Faron Daugs, certified financial planner, founder and CEO at Harrison Wallace Financial Group, “about the financial habits his wealthiest clients all share that could apply to the average person.” One big thing he mentioned was building up emergency funds and then investing. “Daugs says his clients have organized investment plans, whether its in stocks, bonds or exchange-traded funds (ETFs),” CNBC explains. He also recommends having a “monthly or bi-monthly automatic transfer of cash from your checking account into an investment account.”
They Invest
They Invest in Particular Things
According to Fool.com, the wealthy “invest in stocks, real estate, and their own businesses.” They add that, “Millionaires put their money into appreciating assets (assets that can grow in value).” Also, “people with net worths of $1 million or higher tend to have more of their money” in stocks and mutual funds; real estate; and business interests.
They Invest in Specific Things
They Look at the Bright Side
Whatever your financial situation, look at the bright side. Look for opportunities for working with what you have and growing your nest egg. Reach out to experts in the financial field if you’re really stumped and see how they can make your financial dreams come true.
They Stay Positive
Don't Give Up
Wherever you are on your financial journey, don’t give up. It can be temping to just throw everything to the wind, but if you take a more level-headed approach, you’ll have a better chance of coming out successful. Good luck on your financial journey.
They Keep Trying
