A recent analysis reveals the salary you need to earn to be “comfortable.” #financialliteracy #highschoolteacher The gist: A recent analysis from SmartAsset pegs the income that’s necessary to live “comfortably” in each U.S. state. Perhaps unsurprisingly, the income levels are…a lot. They’re above the median national household income level ($74,580) in nearly every state. Massachusetts was the most expensive, where a single adult needs to earn more than $116,000 to be comfortable (or almost $56 per hour). West Virginia was the cheapest, at $78,790 (almost $38 per hour). Classroom discussion: These types of studies or analyses are tricky, because they aren’t necessarily true—there are millions of people who live in Massachusetts and earn less than $116,000, and many of them are probably “comfortable.” But these numbers can give us a birds-eye view of costs in specific states, which may help shape earnings expectations and cost-of-living expectations for students who plan out where they’ll live and work in the future. Classroom questions: Why do you think certain states are so expensive to live in? What factors could be at play? Conversely, why are some states cheaper? What could you infer from this sort of analysis about what employers pay in these states, if anything? Does this shape how you think about certain parts of the country? Why or why not? Do these numbers seem outrageously high (or low) to you? What might be shaping that opinion?
Piper Bognar
6mo
What an interesting conversation to have with high school students! With so many different experiences and backgrounds, what is “comfortable?” What is desirable? Very thought-provoking stuff.
I Create Content on Scaling a Company through Empathetic Leadership While Operating a Finance Company.
6moWow, the numbers are super fascinating. If you asked me a few years ago if these numbers seemed high, I would say yes, but every year that goes by, these numbers just feel normal and, to some degree, feel low. With inflation, the cost of producer goods, and the increase in debt from the consumer and country all rising, while asset prices, including the stock market and housing, stay intact, and unemployment is under control. It doesn't seem far-fetched that these numbers are where they are and tbh not higher.