10 Cities Where a $100k Salary Has the Most Value
Many Americans would consider themselves lucky to make $100,000 a year, which is about 25% above the median household income. However, $100k might not go very far in certain parts of the United States.
A SmartAsset study revealed where a $100,000 salary stretches the furthest among the biggest cities in America.
Falling Short
To see what $100,000 is worth in different parts of the country, SmartAsset compared the after-tax income in 76 of the biggest U.S. cities and then adjusted those figures for the cost of living. These are the ten cities where money goes the farthest.
1: Memphis, Tennessee
With a cost of living almost 14% lower than the national average, $100,000 stretches the farthest in Memphis, Tennessee. After federal and local taxes, the average person with that income takes home $74,515. When adjusting for the cost of living, the earnings are worth $86,444.
2: El Paso, Texas
Texas cities are well known for being more affordable than other major locations in the country, and El Paso is no exception. Accounting for taxes and the local cost of living, a $100,000 salary is worth $84,966. The cost of living in El Paso is a low 87.7% of the national average.
3: Oklahoma City, Oklahoma
With the lowest cost of living in the study, folks in Oklahoma City can stretch their six-figure salary. After taxes, someone making $100,000 there will take home $70,302, but adjusting for the cheaper cost of living, their cash is worth $84,498.
4: Corpus Christi, Texas
Living by the coast can cost a pretty penny, but Corpus Christi is a vibrant Texas destination on the Gulf of Mexico that’s relatively affordable. People with a six-figure annual salary bring home about $83,443 after taxes and adjusting for the cost of living, which is 10.7% lower than the national average.
5: Lubbock, Texas
As the 10th most populous city in Texas, Lubbock is a thriving metropolis hub where $100,000 takes residents a long way. After taxes, a person who earns that salary in Lubbock takes home $74,515. But with a cost of living of just 89.4% of the national average, it’s actually worth about $83,350.
6: Houston, Texas
Like other Texas cities in SmartAsset’s study, Houston’s six-figure salary whittles down to $74,515 after taxes and accounting for its cost of living. Houston is the most populous city in Texas, and it comes with all the pros (and cons) of living in a major American city. SmartAsset reported that Houston’s cost of living is 91.8% of the national average.
7: San Antonio, Texas
If you make $100,000 a year, it’s safe to say you have plenty of places to choose in the Lone Star State that’ll make it all worth it. The three Texas cities of San Antonio, Fort Worth, and Arlington are tied for how much six figures are worth.
8: Fort Worth, Texas
Like San Antonio and Arlington, Texans in Fort Worth earning $100,000 per year make $74,515 in take-home pay.
9: Arlington, Texas
So, what does $74,515 in take-home pay in Arlington, San Antonio, and Fort Worth look like from a national perspective? $80,124. Can you feel jealousy coming from New Yorkers, Californians, and the like?
10: St. Louis, Missouri
Rounding out the top ten biggest US cities where $100,000 stretches the furthest is St. Louis, where the city’s low cost of living gives folks the most bang for their buck. After taxes, a $100K salary is reduced to $69,531, but those dollars go even further with the cost of living being 87% of the national average. All things considered, a $100,000 salary in St. Louis is worth about $79,921.
Deep in the Heart
Texas cities dominate SmartAsset’s list, with seven out of the top ten cities being in the Lone Star State. Texans enjoy a relatively low cost of living, and when you add no state income tax to the mix, it’s easy to see why salaries go far there.
The Big Apple
Wondering how far $100K gets you in bigger US cities? SmartAsset reported that in New York City, $100K amounts to a meager $35,791, considering taxes and the high cost of living. Needless to say, the City of Dreams ranked last in the study.
Paradise Pays
Another popular vacation spot, Honolulu, Hawaii, follows closely behind New York City. Considering the high island cost of living and taxes, a $100,000 salary is equivalent to only $36,455.
Sliced Salary
Down by the bay, residents can expect to lose much of their take-home pay. San Francisco is known for being challenging on the wallet, so it may come as little surprise that $100,000 is reduced to $36,445 when taxes and the cost of living are considered.
Capital Costs
Living in the nation’s capital will cost you big time. A $100,000 salary plummets to being worth about $44,307 in Washington, DC.
Not So Golden
Another tie presented itself in SmartAsset’s study with two popular California cities. In both Los Angeles and Long Beach, a six-figure salary is worth $44,623. Needless to say, you’ll need to earn a lot more than $100,000 to live comfortably among America’s rich and famous.
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