So, can I survive and save some money earning 72k in California?
22 comments
To directly answer the question:
The median household income for California is $60833(http://quickfacts.census.gov/qfd/states/06000.html). The average household has 2.89 people. As a single person, you have more money to spend than most families in the state. The odds of your survival are high.
To answer your implicit question: I think you are asking "Can I survive and save some money earning 72K in California while keeping up with the Joneses(tech-savvy urbanites in Silicon Valley or LA tech scene). Yes you can. In fact, I rented a room in a large house in SV with full access to everything(kitchen, living room, backyard, bathroom etc...) for under $900/month. My roommates were people from LinkedIn, Cisco, etc... Worst case food scenario is you spend $15/meal, 3meals/day, and 31 days/month... $1400/month food. Add $100/month bill for your iDevice. Add $100/month for a monthly public transportation pass. Add $1000/month for the do-whatever-the-fuck-I-want fund.
With these covered, you are spending $3500/month, or $42000/year.
Assume your take home will be $50k post-tax. You are saving about 8k/year and living a pretty lavish life for an austere single person.
To answer your implicit question: I think you are asking "Can I survive and save some money earning 72K in California while keeping up with the Joneses(tech-savvy urbanites in Silicon Valley or LA tech scene). Yes you can. In fact, I rented a room in a large house in SV with full access to everything(kitchen, living room, backyard, bathroom etc...) for under $900/month. My roommates were people from LinkedIn, Cisco, etc... Worst case food scenario is you spend $15/meal, 3meals/day, and 31 days/month... $1400/month food. Add $100/month bill for your iDevice. Add $100/month for a monthly public transportation pass. Add $1000/month for the do-whatever-the-fuck-I-want fund.
With these covered, you are spending $3500/month, or $42000/year.
Assume your take home will be $50k post-tax. You are saving about 8k/year and living a pretty lavish life for an austere single person.
I find it hard to believe someone couldn't even survive on $72,000 per year, even in the most expensive areas of America, surely this affords you a certain level of luxury too?
To put my response in to context, I currently earn the equivalent of $6,350 per year in wages in the UK, plus $3000 in government benefits to make sure I'm not homeless and I manage to survive. Sure, I can't always afford to eat (I have enough food in for 4 more days, but don't get paid for 6) but I'm surviving, I guess people are just used to different levels of survival.
To put my response in to context, I currently earn the equivalent of $6,350 per year in wages in the UK, plus $3000 in government benefits to make sure I'm not homeless and I manage to survive. Sure, I can't always afford to eat (I have enough food in for 4 more days, but don't get paid for 6) but I'm surviving, I guess people are just used to different levels of survival.
Really? $6k per year in the UK seems a bit too low. Thats what a junior programmer in Bangladesh (where I live) makes.
I always assumed that salaries for programmers (even without any academic degrees) would be much higher in first-world nations.
I always assumed that salaries for programmers (even without any academic degrees) would be much higher in first-world nations.
Actually I'm surprised he got employed without a degree. From anecdotal experience, in the UK a degree is expected for most programming jobs; the rest will require formal qualifications of other means.
It wasn't easy, I went through a lot of rejection before I finally found this job.
Unfortunately it's my first job as a programmer (though not by any measure my first job) so I have to settle for less than what others get to get in to the business and make myself more credible and hire-able. I have adapted well though and I have the hope that things will be better soon.
Is that full time work? I really hope that it isn't as £3,992 a year, even for a junior is outrageous and well below the minimum wage. We currently have an intern working for us part time and he is on far more than that.
Unfortunately, it is around that, my maths was a little off, it's £4,100 per year.
Is it full time, as in 5 days a week?
Yeah, I work 30 hours + some overtime, 5 days a week, 6 hours a day, plus 2 hours travelling each way (on a bus pass which costs me around 850 pounds per year).
I have just looked at your previous posts and see you are on some sort of apprenticeship. I guess this enables your employer to pay you below minimum wage somehow.
Yeah, it's a strange one though - I was already freelancing for two years when I came in to this job, but couldn't find a job elsewhere without a degree in the time scale I had (I was jobless, broke and homeless at one point in the last 9 months) so I had to find any job I could in the field (I was determined, I came back to the UK to work in tech, I was going to do it, there was no compromise) and ultimately found this apprenticeship.
It's a decent arrangement, he expected a tech illiterate teenager and instead got an experienced PHP programmer with Adwords and Analytics qualifications.
It's a decent arrangement, he expected a tech illiterate teenager and instead got an experienced PHP programmer with Adwords and Analytics qualifications.
You definitely can but its going to be harder to be honest...
72k is going to essentially be 50k after taxes.
Housing will likely be between 1-2k per month. 1k Id say really is pretty close to the minimum currently (unfortunately) and would probably involve sharing an apartment. So if housing is 15-20k per year you've got 30-35k left for everything else which is 2-3k/mo for everything from insurance to 401k to food to electricity and all those things are somewhat more expensive as well and it goes pretty fast. You definitely are far from struggling but most likely wont be a able to be a power saver.
In my experience the costs were not worth it but many people stay for the job opportunities. For me making a good salary but not being able to save a lot seemed like being on an endless treadmill. The hope is that you get some stock options that materialize but it can be a tough place to optimize savings on salary alone. There are always lots of exciting work opportunities to pick from though.
72k is going to essentially be 50k after taxes.
Housing will likely be between 1-2k per month. 1k Id say really is pretty close to the minimum currently (unfortunately) and would probably involve sharing an apartment. So if housing is 15-20k per year you've got 30-35k left for everything else which is 2-3k/mo for everything from insurance to 401k to food to electricity and all those things are somewhat more expensive as well and it goes pretty fast. You definitely are far from struggling but most likely wont be a able to be a power saver.
In my experience the costs were not worth it but many people stay for the job opportunities. For me making a good salary but not being able to save a lot seemed like being on an endless treadmill. The hope is that you get some stock options that materialize but it can be a tough place to optimize savings on salary alone. There are always lots of exciting work opportunities to pick from though.
The best paycheck calculator I've found: http://www.adp.com/tools-and-resources/calculators-and-tools...
ADP's main business is doing payroll so it's a very accurate calculator.
ADP's main business is doing payroll so it's a very accurate calculator.
It really depends on which city you live in. 72k is more than enough for most small cities. Where would you live?
Mountain View
Don't listen to the other guy. Having lived in Mountain View not to long ago, I assure you you can survive there with $72,000 a year.
But CA is known for being an expensive place to live. So could you help me to estimate this? Also, is there a gov site where I can calculate the taxes I'm going to pay?
I'm single by the way.
Thanks guys.