MIT’s Living Wage database and calculator tracks the minimum income a single person needs (before taxes) to handle food, housing, transportation, healthcare, internet, mobile, civic engagement, and other expenses without going into poverty or relying on outside help (e.g., government aid or charity) to get by in every state in the United States. It doesn’t include restaurant meals, entertainment, or vacations. SmartAsset recently examined the MIT data to determine the basic incomes needed for both singles and various family types. We thought this information could be useful to entry-level marketers in order to help them better understand, navigate, and negotiate job salary and offers.
A living wage ensures that workers can afford a basic standard of living. It represents the minimum income necessary for an individual or family to meet their essential needs, including food, housing, healthcare, transportation, education, and other essential and basic expenses, without relying on government assistance or working excessive hours. The living wage is distinct from the minimum wage, which is a legally mandated minimum level of compensation set by governments. While the minimum wage aims to provide a basic level of income, it often falls short of meeting the actual cost of living, particularly in areas with high housing and living expenses. The living wage is designed to provide a minimum wage level that allows workers to maintain a modest but dignified standard of living without relying on public assistance or working multiple jobs.
The Minimum Income a Single Person Needs to Cover Their Basic Needs In Every US State, Before Taxes (2024):
Alabama: $41,911
Alaska: $48,375
Arizona: $48,677
Arkansas: $39,724
California: $56,825
Colorado: $51,644
Connecticut: $50,194
Delaware: $47,064
Florida: $46,645
Georgia: $48,448
Hawaii: $56,841
Idaho: $44,366
Illinois: $47,559
Indiana: $42,510
Iowa: $41,678
Kansas: $42,337
Kentucky: $40,355
Louisiana: $41,233
Maine: $45,844
Maryland: $51,460
Massachusetts: $58,009
Michigan: $42,187
Minnesota: $44,626
Mississippi: $41,361
Missouri: $42,024
Montana: $42,374
Nebraska: $41,849
Nevada: $46,727
New Hampshire: $49,045
New Jersey: $51,504
New Mexico: $41,807
New York: $55,878
North Carolina: $44,848
North Dakota: $40,262
Ohio: $40,359
Oklahoma: $40,211
Oregon: $50,553
Pennsylvania: $45,661
Rhode Island: $50,418
South Carolina: $44,152
South Dakota: $40,718
Tennessee: $43,196
Texas: $43,508
Utah: $46,850
Vermont: $47,892
Virginia: $49,973
Washington: $53,242
West Virginia: $39,386
Wisconsin: $42,062
Wyoming: $43,823
The Minimum Salary to Be Happy
GoBankingRates went beyond the basic living wage, basing their research on a Purdue University study that looked at the minimum cost of living salary an individual needs to “be happy” — factoring in quality of life, entertainment, restaurant meals, and vacations — based on a Purdue University research study in 2018 that found that for the US, nationally, $95,000 in annual income was required to be happy, $60,000 – $75,000 for emotional well-being, and $105,000 for life evaluation.
The states with the highest income to be happy are:
- (San Francisco was highest, with other CA cities also being very high) California: $256,200
- (NYC) New York: $177,030
- (Boston) Massachusetts: $161,070
The states with the lowest income to be happy are:
- (Memphis) Tennessee: $81,375
- (El Paso) Texas: $86,100
- (Oklahoma City and Tulsa) Oklahoma: $88,620
Here is the full list of 45 cities sorted from the highest salary to be happy to the lowest:
- San Francisco, California: $256,200
- San Jose, California: $225,750
- Oakland, California: $185,325
- Los Angeles, California: $185,010
- New York, New York: $177,030
- Seattle, Washington: $176,190
- San Diego, California: $168,420
- Long Beach, California: $167,055
- Boston, Massachusetts: $161,070
- Washington, D.C.: $158,130
- Portland, Oregon: $139,020
- Austin, Texas: $135,870
- Denver, Colorado: $134,190
- Miami, Florida: $128,520
- Sacramento, California: $127,680
- Las Vegas, Nevada: $116,550
- Atlanta, Georgia: $114,870
- Phoenix, Arizona: $114,135
- Minneapolis, Minnesota: $110,250 and Philadelphia, Pennsylvania: $110,250
- Mesa, Arizona: $113,820
- Colorado Springs, Colorado: $113,715
- Chicago, Illinois: $112,770
- Fresno, California: $108,465 and Virginia Beach, Virginia: $108,465
- Nashville, Tennessee: $108,255
- Raleigh, North Carolina: $107,520
- Dallas, Texas: $106,050
- Fort Worth, Texas: $105,210
- Charlotte, North Carolina: $104,685
- Tucson, Arizona: $100,485
- Houston, Texas: $100,275
- Jacksonville, Florida: $98,910
- Albuquerque, New Mexico: $95,340
- Omaha, Nebraska: $94,290 and San Antonio, Texas: $94,290
- Louisville, Kentucky: $94,185
- Indianapolis, Indiana: $92,295 and Kansas City, Missouri: $92,295
- Columbus, Ohio: $90,720
- Milwaukee, Wisconsin: $88,935
- Oklahoma City, Oklahoma: $88,620 and Tulsa, Oklahoma: $86,520
- El Paso, Texas: $86,100
- Memphis, Tennessee: $81,375
