$65,000 Salary | Is That Good?


Earning $65,000 per year and want to know how you stack up compared to other income earners? Well, look no further than here.

This article provides a straight-shot analysis on how $65,000 per year matches up against other salaries in the United States, and even around the world. 

A $65,000 per year salary is a solid salary amongst full time workers in the United States. From a household perspective, it falls slightly below the 2020 Census median house hold income, making it higher than roughly half of all others, however it soars above the average global income.

An individual making $65,000 per year in the United States has great potential to live a comfortable life with room left over to save for retirement. 

How Much is $65,000 Per Year?

Big round numbers tend to fall into the abstract, so it’s important to crack the surface and break down $65,000 into practical, useful information.

What does $65,000 per month look like? From a more detailed standpoint, what does $65k look like per week or hour? 

First, it’s important to remember that taxes are the initial haircut the income receives annually. Depending on where the earner lives, $65,000 is subject to a tax of approximately $12,260. The remaining annual net pay of $52,740 then comes out to $4,395 net monthly, or about a net $1,014 per week (or before taxes, $1,250 gross pay).

The gross hourly rate is $31.25, with a net hourly rate of $25.35. But of course, take these numbers as a general guide, factors such as the state you live in will play a major role in what you owe in taxes.

Recommended Financial Geek Article: Is Making $30 Per Hour Good Money?

How Does $65,000 Per Year Compare?

Workers without a high school diploma (or a high school diploma and no college) will usually make salaries ranging from approximately $32,000 to $40,000 per year. Those with a bachelor’s degree have an average salary of about $67,860 per year.

Earners with graduate or doctorate degrees can earn up to and over $98,000 per year, and professionals with law degrees or medical licenses may earn well into several hundred thousand dollars per year, with hourly rates in the $200-850 range (Or more! Can you imagine?). 

It’s also important to mention small business owners, as not everyone is an “employee.” The average small business owner salary hovers around the $60,000 per year mark, although it is certainly lower for newer business owners and higher for more established and successful entrepreneurs.

And of course it’s no secret that the top tier of CEOs and other high-level executives make enormous salaries, many consisting of millions per year. But these are outliers for sure, and might skew the averages. Regardless, it’s easy to see that no matter what source is cited, the available sources all place $65,000 per year somewhere in the average of all available salaries, including those of small business owners. 

Photo Credit: CNN Business

$65,000 from a The Global Perspective

Rather than only look at a $65,000 per year salary from an American perspective, it’s helpful to take a quick peek from a world view. Of course, one can’t merely look at global salaries from the value of an American dollar as the world doesn’t operate solely on US currency.

Exchange rates are used to develop what are called Purchasing Power Parity (PPP) dollars, which are equal to $1 of US currency.

Using this basis, the average global salary is $1,480 PPP per month, or $18,000 per year. This is a rough estimate, as information is scantily available from many countries. Plus, millions of people around the world live on less than two dollars per day. But it’s still clear that $65,000 per year is way above the global average salary. 

To learn more about the higher levels of income around the US, check out a similar article I wrote a few months ago titled Is $100k a Good Salary? [In the US].

What Type of Jobs Pay $65,000 Per Year?

As an example, the sales industry boasts many jobs that allow salespersons to start at a base pay and then make commissions allowing them to earn much more then $65,000 per year.

And trends now suggest that many sales jobs will be more focused on remote work spaces, in-home offices, and utilization of more on-line services. Whether it’s from home or the office, the list of available jobs paying $65k per year is extensive and varied.

Vascular and ultrasound technologists require an associate’s or two-year degree and can make up to between $65,000 and $70,000 per year. Many police officers also earn salaries around $65,000. To become a police officer, depending on the location, an applicant may need a high school diploma, some college, or a bachelor’s degree. 

With all that said, it’s also important to keep looking outside the box at jobs one might never think about.

Window film installers in California can bring in anywhere from $65,000 per year to $85,000 per year (Who would of thought). An individual could bring in $65k per year managing a car wash or doing outside sales calls or even managing vacation properties.

Recommended Financial Geek Article: 9 Legit Ways You Can Make $1,500 a Month From Home

Of course, most entry-level jobs start below the $65,000 per year mark, but with time, you can of course increase your salary to $65k or more.

Quick Tip: Consider a job as a film and video editor, a conservation scientist, and even an avionics technician. 

What Does $65,000 Per Year Buy?

Earning $65k is equivalent to a comfortable living, but from an individual standpoint, there are several factors to consider. One’s geographic location plays a huge role, because some states are much more expensive to live in than others. $65,000 per year will not buy you a largely comfortable lifestyle in Hawaii, but it may be more than enough money in Arkansas. 

After geography, a person needs to consider family size. If your income is not likely to rise above $65,000 per year, it’s important to either have a spouse or partner’s income to rely on if you want a large family.

The cost of living for an individual in America ranges from $3,000-$5000 per month, while a family of 4 or more could spend about $7000- $9,000 per month on living expenses. Knowing that $65k per year breaks down to $4,395 monthly, it would clearly be hard for a single-income family of 5 to live comfortably on $65,000 per year, even if they spent there money wisely.

Of course, personal desires and dreams all play a role in this equation.

A person who wants to travel and live a culture-rich life need to plan carefully in order to live solely on a $65,000 per year salary. At this salary, a person can afford a home well over $250,000, provided they have a good credit score and low debts. Additionally, this same person can afford a decent automobile and basic necessities, provided they keep their other debts low. 

The Bottom Line: $65,000 Per Year is a Good Salary

While this salary will not ever qualify as “super rich,” with careful planning and smart financial decisions, a salary of $65,000 per year will allow any individual to live quite comfortably.

This salary also puts the earner in a category above roughly half all other US earners, and well above the global average salary. So make sure to always keep things in perspective.

I hope you’ve enjoyed this article folks, and of course, come back anytime.

Geek, out!

Noel

Noel is the founder and main contributor for his blog - Noel's passion for personal finance has helped him amass over 600k readers to his Financial Geek blog.

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