Study pinpoints salary required to 'live comfortably' in Boston area
BOSTON - How much do you need to make in order to live well in the Boston area?
A new report from SmartAsset says a single person in the Boston-Cambridge-Newton metro area has to pull in a salary of almost $80,000 a year to "live comfortably." The study is based on a theoretical budget where a person spends half their income on needs, 30% on "wants" and the rest on savings or repaying debt.
"A single person needs to earn $78,752 after taxes in order to cover basic living expenses ($39,376) and still devote half of their earnings to wants and saving/debt," the report for Boston states. "Following the 50/30/20 budget, a person living comfortably would allocate $23,626 for discretionary spending and $15,750 to savings or debt payments."
According to SmartAsset, the Boston metropolitan area extending into southern New Hampshire ranks third on its list of the most expensive metro areas. The only spots ahead of Boston are the San Francisco area and the San Diego area in California. New York is fourth, followed by Seattle.
The report used MIT's Living Wage Calculator to come up with the basic cost of living for a single person with no kids.
Americans living in one of the 25 metro areas studied needed on average $68,499 after taxes to live comfortably. The St. Louis area was determined to be most affordable, with residents there requiring a salary of $57,446.
Click here for the full report.
