How much an hour is $ 60000 a year?
That’s the first question people often want to work out when they see annual salary figures.
Not all jobs pay monthly, so it’s important to know what a $ 60000 salary’s take-home pay will turn out to be, whether it’s paid to you hourly, weekly, biweekly, or monthly.
So how do we work that out?
What kinds of jobs pay that salary or hourly rate? Do I need a college degree to achieve that salary? What type of lifestyle would this income support?
So many questions, so let’s get them answered!
Table Of Contents
- $ 60000 A Year Is How Much An Hour?
- Is $ 60000 A Year A Good Income?
- How Much A Month Is $ 60000 A Year, After Taxes?
- How Much Biweekly Is $ 60000 A Year?
- $ 60000 A Year Is How Much A Week?
- $ 60000 A Year Is How Much A Day?
- How To Budget With $ 60000 A Year
- Jobs That Pay $ 60000 A Year
- $60 Thousand A Year Is How Much An Hour?
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- I Need Money Right Now! 25 Quick Ways To Make Extra Money
- What To Do With $50K: Essential Tips To Protect And Grow Your Money
- Advantages And Disadvantages Of Budgeting (A Quick Guide)
1. $ 60000 A Year Is How Much An Hour?
Getting into the breakdown of these figures is simply about going right back to the basic maths, so let’s work out how much an hour is $60,000 a year.
We’ll stick to the assumption that we’re working an average of 40 hours a week for all 52 weeks each year, which equals 2,080 hours worked every year.
Let’s also assume that we work 260 working days per year.
That comes out at:
- $5,000 a month
- $2,307 biweekly
- $1,153.84 a week
- $230.80 a day
- $28.85 an hour
$60,000 ÷ 12 months = $5,000 a month
$60,000 ÷ 26 weeks = $2,307 biweekly
$60,000 ÷ 52 weeks = $1,153.84 a week
$60,000 ÷ 260 days = $230.80 a day
$60,000 ÷ 2,080 hours per year = $28.85 an hour
So to answer our key question – how much an hour is $60,000 a year?
It’s $28.85 an hour!
2.Is $ 60000 A Year A Good Income?
These types of questions are so subjective, because they depend on several factors including where you live, your regular expenditure, your required standard of living, the number of people in your household, and so on.
If you shop at exclusive, high-end boutiques, eat out for every meal, and live in expensive accommodation, a $60k salary per hour probably won’t meet your needs!
But if you can budget well and live within your income, then $ 60000 a year could work well for you.
According to the US Bureau of Labor Statistics, the average salary in the US in 2021 is $53,490.
Have a read of this article from GO Banking Rates that lets you see the average income and cost of living in all 52 US states.
Remember that expenditure as a single person can potentially be significantly less than somebody who has a family that includes children.
I believe that budgeting is vital, whatever your income level.
It enables you to manage your bills and expenditure carefully, create savings to cover emergencies or unexpected costs and make the most of your residual income.
We’ll cover budgeting in a later section, so make sure you keep reading to the end!
3.How Much A Month Is $60,000 A Year, After Taxes?
When we work out $60,000 a year is how much after taxes, we must remember that taxation is dealt with differently from one country to the next.
And in the case of the US, taxation varies from state to state.
In simple terms, $60,000 a year in the US works out to be between $47,900–$52,500, depending on which US state you live in.
That’s a significant difference between those two amounts!
If you have the option to be location-independent in the US, it can definitely help to move to one of the nine US states with no state income taxes!
And where are those states, I hear you say!
- New Hampshire,
- South Dakota,
- Wyoming (Investopedia).
But of course, it’s vital to take all expenses and income-generating opportunities into account, before packing up and relocating!
What taxation is levied on your income?
In the US, you pay:
Pre-tax income is known as ‘gross’ income and refers to your total income before any deductions or expenditure.
Net income is your take-home pay – the money that you have left once you have paid deductibles, including those in the list above.
Your taxed income is worked out using a formula issued by the Internal Revenue Service (IRS) and is proportionate to your income. All workers in the US pay federal income tax, with states determining their rate of state income tax.
There are seven federal tax brackets in the US in 2021:
- 10% tax on earnings up to $9,950
- 12% tax on earnings between $9,951 to $40,525
- 22% tax on earnings between $40,526 to $86,375
- 24% tax on earnings between $86,376 to $164,925
- 32% tax on earnings between $164,926 to $209,425
- 35% tax on earnings between $209,426 to $523,600
- 37% tax on earnings over $523,600
Please note that you would not be taxed at 22% on your total earnings of $60,000. Marginal Tax Rates mean that your rate of taxation increases as your income increases:
- On your earnings up to $995, you pay 10% tax
- Between $9,951 – $40,525, you pay 12% tax
- Between $40,526 – $45,000, you pay 22% tax
Make sure you do all necessary calculations towards your income tax in plenty of time!
You can find the quarterly payment dates for US earners on the IRS website. Payments are calculated and submitted quarterly for US earners.
[In the UK, taxation is standard across the country, according to your income and is handled differently than in the US.
All the details can be found on the website of HMRC – the taxation branch of the UK government.]
4.How Much Biweekly Is $ 60000 A Year?
When your job pays you biweekly, it means you receive your wages on the same day of the week, every other week. Payments are made 26 times in the year and your biweekly income on a $ 60000 salary would be $2,307.
NB. Biweekly (every two weeks) payment is not the same as bimonthly (twice a month).
5. $ 60000 A Year Is How Much A Week?
A $60k salary hourly works out at $1,153.84 a week.
It does what it says on the tin!
You get paid that set amount every week, on the same day. And remember that weekly income is your gross weekly pay, before deductions.
6. $60,000 A Year Is How Much A Day?
Earlier we asked how much hourly is $ 60000 a year and calculated 260 days of work to come out at $230.80 a day, before deductibles.
7. How To Budget With $ 60000 A Year
Remember earlier I told you that I place a high value on budgeting?
It’s important to know what regular outgoings you have in relation to your monthly income. This way you can keep on top of your spending, saving, and investing.
It’s helpful to read around a little before you choose a budgeting system, to make sure that it suits your income level and lifestyle. Ultimately how you set up and manage your budget is completely individual to your income and circumstances.
There are so many schools of thought when it comes to budgeting. To start us off, these are a few of my budgeting-related articles:
- Advantages And Disadvantages Of Budgeting (A Quick Guide)
- What Is The Purpose Of A Budget? [ Reason #8 Will Surprise You]
- Dave Ramsey Budget Percentages [2021 Update]
And here’s some additional reading on budgeting approaches:
What key categories do you need to make sure you include in your budget? I would start with:
- Accommodation costs
- Food and household (e.g. toiletries) spending
- Relevant insurance
- Child care costs
- Travelling/commuting expenses
- Borrowing repayments
Let’s go back to our earlier calculation that a $60,000 salary after taxes would see you come home with an annual income of between $47,900–$52,500.
Let’s take the lowest number for our model. So $47,900 would be monthly net earnings of $3,991.66.
- Aim for your rent or mortgage to be around 25% of your monthly income.
- Your remaining household expenses (utilities, food) should be no more than 25% of your monthly income.
- Make sure to plan to put away savings each month – 15-20% per month.
- Prioritise paying off any debt as quickly as possible.
But this is where it falls to you to decide what percentages you’re comfortable with.
Taking those guidelines and applying them to our monthly income of $3,991.66:
- Rent/mortgage at 25% = $997.92
- Household expenses at 25% = $997.92
- Savings at 20% = $798.33
Income remaining = $1,196.95
You need to allocate that remaining income between your other expenses such as paying off any debts you have, vacation costs, leisure activities, eating out, and so on.
The key part of a budget is to be crystal clear about your income, along with your detailed current outgoings.
Then you can see exactly what you have remaining at any given point and allocate it accordingly.
Over your first month using a new budget, go through your budget and your expenditure with a fine tooth comb every week and tweak each element as needed.
This ensures that you aren’t missing anything by over or underestimating and ultimately going over your budget.
You’ll find some excellent free budgeting tools online. Start by taking a look at:
- The 7 Best Budget Apps for 2021
- Free Budget Planner Worksheet
- NerdWallet’s Online Budget Calculator
- Cash Float’s The Best 9 Budgeting Books To Read
- 10 Best Budget Planners To Take Control Of Your Finances Now!
Find a budget tool that you like the look of and give it a go!
8. Jobs That Pay $60,000 A Year
A significant number of jobs that pay $60,000 a year will require some kind of further study beyond high school.
These could be corporate roles, senior office jobs, healthcare professionals, and teachers.
Some of these include:
- School Psychologist – $62,350
- Chiropractor – $61,740
- Insurance Underwriter – $61,520
- Delivery Driver – $61,000
- Tax Accountant – $60,220
- Ultrasound Technician – $61,360
- Customer Service Manager – $60,330
- Data Analyst – $61,200
Going back to our initial question of how much an hour is $ 60000 a year, jobs that pay that hourly rate:
- Multimedia Artist – $30.20/hour
- Loan Officer – $30.39/hour
- Court Mediator – $30.41/hour
- Physical Therapist Assistant – $28.14/hour
And don’t forget there are plenty of remote working jobs that can see you bringing in upwards of $ 60000 a year!
Check out the tabs in the top ‘Making Money’ drop-down menu to find out how to get started!
9. $60 Thousand A Year Is How Much An Hour?
So now we know the answer to our question of how much an hour is $ 60000 a year – $28.85 an hour.
We’ve looked at how to break down the annual salary, what you would be paying in tax, the types of jobs that pay those sums, how to budget for that income, as well as linked to some fabulous articles to continue your learning on this topic.
I highly recommend researching and creating your unique budget to maximise your use of your income, however much that may be.
Drop me a comment below about which budgeting tool you use, or any top tips you may have to share!
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