Many people are wondering what is a comfortable salary for a family of 4. In this article we have put together information on a comfortable salary for a family of 4. Whether you are an employer or an employee and wanting to know about a comfortable income for a family of four, then please read further.
The average cost of living in the U.S. is around $60,000 per year.
The answer to your question is: $60,000 per year.
According to the Bureau of Labor Statistics, the median household income in the U.S. was $59,039 in 2017 (the most recent year data was available). The median household income is determined by finding the amount that half of all households earn below it, and half above it, and dividing those two numbers together by 2.
So if you have a family of four—two adults, two children—you would need an annual income of approximately $60,000 to live comfortably in this country without taking on debt or dipping into savings every month.
What is a comfortable salary for a family of 4
The old idea that you need to make $100,000/year to feel comfortable is no longer true. With the right budgeting and lifestyle choices, a family of four can have a comfortable life on less than half of that.
Between $40,000 and $106,000 per year
The minimum amount of money you need to earn for a comfortable family of four, based on the cost of living in your city:
- Between $40,000 and $106,000 per year. If you want to live comfortably in the cheapest city in America—Owensboro, Kentucky—you’ll need to earn at least $40,000 per year. That’s just slightly above Alabama’s median household income; but it’s still enough to cover necessities like housing and food without much trouble. But if you want a good standard of living as well as luxuries like vacations and nice clothes, then prepare yourself for higher monthly costs and/or more demanding jobs with bigger paychecks. In New York City (the most expensive place to live), that same salary won’t even get you through the first month before eating into savings or going into debt; if this sounds like your situation then it might be time for an honest conversation about whether your family can afford another person(s) depending on their current living situation
According to the Economic Policy Institute, a family of four needs an annual combined income of between $73,000 and $240,000 before taxes to live comfortably in America’s most expensive cities.
According to the Economic Policy Institute, a family of four needs an annual combined income of between $73,000 and $240,000 before taxes to live comfortably in America’s most expensive cities. That means that if you’re not making that much money as a household in New York City or San Francisco, your family will have to downgrade their lifestyle quite a bit. If you live elsewhere in the country (and even if you don’t), however, it’s possible to get by with much less.
To determine how much money your family needs for an acceptable standard of living, consider these factors:
- The cost of living
- Your debt profile (what we’ll call “debt load”)
- The number of people who depend on your income
A middle-class lifestyle is a financial goal for many Americans.
In the United States, a middle-class lifestyle is defined as one that provides a sense of financial stability and security. In this context, it’s not just about how much you earn; it’s about having enough money to pay your bills, save for retirement and provide for your family.
The concept of a middle class is often misunderstood to mean only the wealthiest or poorest Americans, but the middle class actually spans a considerable range of income levels. The Pew Research Center defines it as “a group of people who fall between upper-income and lower-income households.”
According to Pew’s analysis: “The lower boundary of the middle class (based on household size) stands at $41,641 in annual income for a family/household consisting of two adults with one child under 18 years old.”
This bracket varies depending on where you live and other factors, such as the number of children in your family.
The cost of living varies from city to city, so the salary you need to live comfortably will vary based on where you live. For instance, if you have kids, the cost of raising children will be higher in certain cities than others.
The salary needed for a comfortable lifestyle also varies depending on your child’s age and number of children. For example, it will cost more for a family with an infant than for a couple with no children. The same is true when comparing families with older children versus couples without kids at all; single-person households are generally cheaper overall than dual-income households because there are fewer mouths to feed! And don’t forget that your own standard of living also impacts how much money you need! If you want to go out often and see concerts and museums or shop at fancy stores like Whole Foods Market®, then consider working longer hours and earning more money each year (or perhaps even changing jobs).
The actual amount that families need to maintain a middle-class lifestyle depends on location.
The actual amount that families need to maintain a middle-class lifestyle depends on location. The cost of living in cities is higher than in rural areas, and the cost of living in New York City is higher than most other places.
Because of this, you may have to adjust your budget depending on where you live. If you live in an urban area with high housing costs and transportation fees, your salary will need to be higher than if you’re located somewhere more rural where homes are less expensive and gas prices are lower.
$73,000 is estimated to be the minimum amount that any family of four living in an American city needs to be considered financially comfortable.
According to a study by the United Way, $73,000 is estimated to be the minimum amount that any family of four living in an American city needs to be considered financially comfortable. The amount of money needed to live comfortably depends on where you live and how many people are in your family. If you’re an adult who’s single and has no kids, there isn’t much difference between being financially comfortable and being rich—you’d have enough money for anything you could ever want or dream of. However, if there are more adults or children in your family than just yourself, then it gets a little trickier because every person adds another set of expenses (rent/housing/food).
Having a household income above this amount allows families to afford a comfortable lifestyle in many cities.
The amount of money needed to live comfortably varies by location, family size and lifestyle. For example, in a large city like New York City with a cost of living that is 84% above the national average, it takes more than $100,000 per year to live comfortably according to our data. However, in San Jose—the top-ranked city for annual income—a household would need just $60,000 per year in order to maintain their current lifestyle.
The table below shows how much households need at various locations:
With the average American family of four earning about $85,000 a year and spending $40,000 on living expenses, it seems like the best way to get ahead financially is by earning more money. But there are other factors at play: families who live in different parts of the country or who have children with special needs may not be able to afford those high costs. As we’ve seen, it’s important that you take into account all aspects of your lifestyle before deciding how much income will allow you and your family members to thrive.
Once again: welcome back! We hope this article helped shed some light on how much money you should make in order to be comfortable. Remember that salary isn’t everything–there are many ways you can improve your quality of life without increasing your income.