With the rampant inflation I haven't kept up, what is considered average and a good pay now? Assuming 1 person.
What is considered a good pay now?
NotAnAudiophile on 10/02/2022 - 21:39
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hahaha, yep.
200k+ perm, 260-280 contract
ITDepends totally on location…
When I made a lifestyle change, I dropped >60% of my income, and my main income is now $50k. I work a second job 1-2 nights a week depending on how I'm feeling for another $10ish-k, and while I don't have tremendous amounts of extravagant outings, I can take a few weeks off, pay most of the bills (including a mortgage, albeit only a relatively small one) and make sure my dog has nice things. There's something to be said for country living.
The only thing I'd change if I had a do over would be being much smarter with how I lived when I was on the bigger bucks and saving more.
Lol this thread is hilariously out of touch
100k is good, 70-90k is fine.
All relative to your expectations, lifestyle and circumstances. Some do well on 100k with a family, others "struggle" by on 300k alone. In Eastern suburbs, you'll feel poor on more than in a small town hours from the coast.
Once you've paid your home loan down and have some savings compounding to increase future net worth, everything else is personal indulgence (nothing wrong with that( and ensuring a quality of life higher than "average".
The societal trap is seeing other people with "more", and wanting it (which they may be loaned to the hilt to achieve). Like the car that costs a years salary but really 2 years after the loan is paid out, when a car that suits your current life stage is a third of a years salary, and can be owned outright with some sensible saving for a a year.
have some savings compounding to increase future net worth
mmm gotta love 1% p.a.
Depends again on your risk appetite. Over 30+ years to retiring, your risk appetite for stock boom/busts and holding steady might mean low effort things like ETF's with a high yeild/high loss can be more readily absorbed over that length of time, tailoring as you get closer to retiring to a mix or lower risk once you've acheived that growth, isn't impossible?
Also, I don't think saving when the rate is awful is a total waste, as when the rates increase (and they probably will move up and down over the next 3 decades, as they always seem to do) you'd have a chunk of money you've not blown on red 23 that will accrue interest at that better rate?
Starting early seems to be the key due to compounding, at 1%, your money doubles every 16 years (even if it loses value intrinsically due to inflation), at 2%, every 8, etc. But if you save 50k at 1%, then rates rise, you've already got 50k ready to earn the better rate? And if you manage to earn inflation plus 1%, then it grows relatively (doesn't it, I'm sure a proper financial expert can chip in here with "your math is wrong"!) :)
I'm not financial whizz (I wish I was) but paying a proper qualified advisor on how to plan long term wealth for a few hundred dollars might be worht it over several decades of investing.
(and they probably will move up and down over the next 3 decades, as they always seem to do)
Looks like the interest rate has steadily declined over the past 3 decades… The RBA (and other central banks) would need to concede that their monetary policy is not in our best interest.
I'm not financial whizz
Yep you're compounding calcs need some revising… Takes more like 70 years to double your money @ 1%.
@Mr Haj: Ha ha you're right, I was thinking of the rule of 70, but the last time I used it my bank was paying 4.7%, that's where I got 16 years to double the money! Yes at 1% I'd be long dead efore doubling it! I figure if vanguard earns at least a 1% per year increase after all fees and taxes, I'm no worse off than leaving it in the bank.
Maybe that's why I need a financial advisor!
Still think it's never a bad time to save rather than spend it on unnecessary things though!
It depends whether your salary is to just support yourself or your partner/family.
For a single person, 120k would be comfortable.
For a couple with kids, I'd say 300k would be good.Lead on question, do people get pay rises nowadays? Apart from unionised everyone get 2% a year group, I hear ppl jump ship to get a pay rise. Stay where you are, unless you workaholic 7 to 7, you ain't getting a raise.
I've got nowhere to go. If I jump ship I will probably take a 10k pay cut :(
What industry?
Had 10% raise but that was because I started lower than the market rate and boss knew we would jump ship if he didn't move it up.
yeah sounds like jump or threat of jump is the only way up
Depends on the industry… some are getting +20%, others are going backwards with inflation
what's booming? tradies?
Tech, data scientists/engineers, professional services/M&A advisers/bankers/risk professionals, lawyers, cyber security specialists, mining, trades… I’m sure there are others
Yes, got a yearly raise and a bonus end of last year.
Imo it’s about the tax brackets.
1 person.
$120k with mortgage or $45k with no mortgage; is a good salary.There's some pretty wild thoughts in this thread. I feel like some people are either trolling, or are blissfully unaware of how high their pay is.
A decent income would be anything 60k+ IMO, a "good" income is probably anything 70k+ (for a sole earner). Of course your lifestyle and dependents dictate how comfortable this may be. Many people can only dream of some of the salaries people are mentioning here as a norm.
Agreed, pretty well said I think
I'm pretty good at 80k. work 9-5, no overtime, no stress, have a mortgage and a nice car. my quality of life is high by my standards.
Plenty of time for family and friends, play golf few times a week, have the weekends to bike/hike, eat out whenever I want, and some spare money for savings and investments.
It does help considerably that I don't smoke, drink, drugs or gamble.Jesus what is with these weird bloody questions.
I'm on $75k and my wife on $63k before tax, no kid, got a mortgage and a fancy sports car bought second handed. We recently put down a deposit for a second mortgage as an investment property. No smoke or gambling. We go fancy place for dinning once per week and have no trouble meeting up with friends or families for unexpected lunch. We take small trips occasionally and big overseas once per year. Something for you to use as a guide.
the lifestyle creep would be the death of us all.
when i first started out, my goal was to retire at 85k. 10 years in, i'm making a fair bit over 100k but that feeling of contentment never arrived.
Things change, what you want and have changes throughout life.
I never saw myself collecting rare plants 5 years ago, and here I am now, funding a hobby that my 20 year old self would probably scoff at lol.
Average pay - the median
Good pay - anything above the median
Something doesn't look right in the above numbers. Are you sure you haven't mixed up the % numbers (i.e. 75% instead of 25% and 25% instead of 75%)?