Living on your own can be expensive, with estimated median income needs ranging from $39,386 in West Virginia to $58,009 in Massachusetts. These figures cover basic expenses such as housing, transportation, healthcare, taxes, and other necessities. Housing prices and taxes are major factors that contribute to the variations in income requirements across different states. For example, states like Massachusetts, California, and Hawaii have much higher estimated housing costs compared to states with lower costs of living.
Minimum wage workers often struggle to make ends meet, as the federal minimum wage of $7.25 per hour falls far short of the estimated living wage in most states. Even in states where the minimum wage is higher, it may still not be enough to cover basic expenses. In order to meet the $58,009 annual income required to get by in Massachusetts, a single individual would need to earn about $28 per hour. On the other hand, a single person in West Virginia could get by on $39,386 per year by earning approximately $19 per hour.
The analysis conducted by SmartAsset reveals the minimum income needed for a single person to cover basic expenses in each U.S. state. The figures range from $39,386 in West Virginia to $58,009 in Massachusetts, with states like California, Hawaii, and New York also requiring higher incomes. Basic expenses do not include discretionary spending, such as travel or entertainment, or investment contributions. In many cases, minimum wage workers rely on tips or must cut costs in other ways to make ends meet.
If you aspire to be a successful, confident communicator, CNBC offers an online course called Become an Effective Communicator: Master Public Speaking. This course covers topics such as speaking clearly and confidently, calming nerves, what to say and not say, and using body language techniques to make a great first impression. You can sign up for the course with a 30% introductory discount using the code EARLYBIRD until July 10, 2024. Additionally, subscribing to CNBC Make It’s newsletter provides tips and tricks for success at work, with money, and in life.
The analysis by SmartAsset emphasizes that the amount of money needed to cover basic expenses can vary significantly depending on the state of residence. Housing prices, transportation costs, healthcare expenses, taxes, and other common expenses all contribute to the overall cost of living. For single individuals, the median income needed to get by ranges from $39,386 to $58,009, with higher income requirements in states like Massachusetts, Hawaii, California, New York, and Washington.
In conclusion, the estimated living wage for single individuals in the United States varies depending on the state, with Massachusetts, Hawaii, California, New York, and Washington requiring the highest incomes to cover basic expenses. Workers earning the federal minimum wage of $7.25 per hour often struggle to make ends meet, as this amount is insufficient to cover basic expenses in most states. By understanding these income requirements and factors influencing cost of living, individuals can better plan and budget for their financial security and well-being.
