How Much is Six Figures?



When most individuals hear the phrase “six figures,” they instantly consider an enormous wage. In spite of everything, six-figure incomes are sometimes related to high-powered jobs within the business world or top-tier professionals like docs and legal professionals. 

And have you learnt 18% of American people are six-figure earners, in accordance with Zippia? That’s some huge cash an individual might earn in a yr!

So, what precisely does it imply to make six figures? Is it as profitable as everybody thinks?

On this article, we’ll discover what precisely goes into making a six-figure earnings and the forms of jobs that may present an annual wage on this vary.

We’ll additionally discover different methods to extend your earnings if you have already got a job that pays nicely however is just not fairly sufficient for the life-style you need.

How A lot Is a Six-figure Wage?

Incomes a six-figure wage means you make an annual earnings between $100,000 and $999,999, which is much above the common wage of $53,490, in accordance with the Bureau of Labor Statistics (BLS). That’s an enormous distinction, regardless of the way you take a look at it!

This quantity is predicated on gross earnings, which is earlier than taxes and different deductions are taken out.

In case your gross wage is $110,000 per yr, however your take-home pay is $80,000, you may nonetheless say you earn a six-figure wage. Nevertheless, it’s necessary to notice {that a} six-figure wage can cowl a variety of incomes and life starting from middle-class to millionaire standing. 

To be extra particular, some folks could point out whether or not their six-figure earnings is low, mid, or excessive as follows:

Low six-figure wage: $100,000 to $350,000
Mid-six-figure wage: $350,000 to $700,000
Excessive six-figure wage: $700,000 to $999,999.
A number of six figures wage: $200,000 to $999,999


People incomes greater than $900,000 are among the many high 1% of earnings earners in america.

How A lot Can I Make a Month, Week, Day, or Hour in 6 Figures?

How A lot Is 6 Figures Month-to-month?

To find out the month-to-month earnings of a six-figure annual wage, divide the yearly quantity by 12. Observe that this can give a variety of values. Nevertheless, the smallest month-to-month earnings to earn a six-figure wage could be $8,333.33.

$100,000 per yr / 12 months = $8,333.33 per 30 days

Understand that after taxes, the quantity you obtain can be decreased to a five-figure sum.

This query might have a distinct angle should you earn 6 figures per 30 days. Then your annual earnings can be a minimal of $1,200,000 or extra.

How A lot Is 6 Figures a Week?

If we have been to divide the six-figure annual wage by 52 weeks, then the minimal weekly earnings could be $1,923.08.

$100,000 per yr / 52 weeks = $1,923.08 per week

On the identical time, should you earn 6 figures per week, your annual earnings can be a minimal of $5,200,000 or extra.

How A lot Is 6 Figures a Day?

Try the calculations:

  • $100,000 per yr / twelve months = $273.97 per day

Assuming you’re taking weekends and U.S. holidays off, let’s calculate how a lot you would want to earn per day to make $100,000 per yr. The quantity comes out to be:

  • $100,000 per yr / 262 days = $381.68 per day

This may be thought-about at least quantity to purpose for should you want incomes a six-figure wage with out overworking your self.

How A lot Is 6 Figures an Hour?

To earn a six-figure annual earnings whereas engaged on all common US workdays, you might want to make not less than $381.68 per day or $47.71 per hour (assuming you’re employed eight hours per day). Even should you work extra time or part-time, you continue to want to keep up a mean hourly wage of $47.71 to attain this purpose.

How A lot Is 6 Figures After Taxes?

Your gross earnings determines the variety of figures you earn. As an example, an earnings of $110,000 per yr will probably be decreased to a five-figure web earnings after taxes.

Elements that may considerably have an effect on the tax payments of six-figure earners embrace:

  • Marital standing (married or single)
  • Dependents (whether or not or not you may have them)
  • Tax deductions (commonplace deduction or itemized deductions)
  • Tax credit (whether or not or not you may have any)
  • Funding earnings (dividend earnings or long-term capital good points)

Though every state has its personal tax legal guidelines, a six-figure wage may be whittled all the way down to anyplace between $76,096 and $68,308 after taxes a. This determine will rely on the place you reside and your tax scenario.

Moreover, except for earnings tax, FICA taxes for Social Safety and Medicare additionally deducts 7.65%. This means that your ultimate take-home wage could go down by 32-38% in comparison with your gross pay.

Subsequently, to make sure that you obtain a six-figure earnings after taxes and deductions, you have to purpose for six-figure jobs that pay a gross wage of not less than $150,000 a yr. It will give you an after-tax earnings of at least $100,000 per yr.

TIP: You possibly can cut back your tax funds by selecting to allocate a few of your wage into tax-advantaged accounts like a 401(ok) or a Well being Financial savings Account.

How Can I Earn 6 Figures?

The actual reply to this query is dependent upon your perspective of a six-figure job.

Some folks would possibly be capable to make the identical sum of money by working part-time or freelancing, whereas some could require a full-time job.

Many individuals obtain their six-figure salaries by a mix of onerous work, ability improvement, networking, and different methods.

Listed below are some suggestions and options that may aid you obtain a six-figure earnings:

Create A number of Streams of Revenue

It’s possible you’ll wish to spend money on totally different earnings sources, similar to shares, rental properties, and aspect companies, to diversify your earnings. This might help you generate a passive earnings that will increase progressively.

Listed below are some examples of extra earnings sources other than conventional jobs:

  • Begin a web based service-based business
  • Freelance your abilities
  • Promote services or products on the aspect
  • Purchase digital belongings

Negotiate Wage Will increase

For those who’re employed, use your successes at work to barter the next wage together with your present employer or swap jobs for higher pay and advantages.

In relation to wage negotiations, preparation is vital. Listed below are some suggestions that will help you get probably the most out of your dialog together with your employer

  • Analysis wage ranges: Discover out what different professionals in your area usually earn. Realizing the market price will aid you make an knowledgeable determination and provide you with leverage within the negotiation course of.
  • Be ready: Give you concrete proof of your contributions to the corporate, similar to elevated effectivity or value financial savings, that show your worth.
  • Use efficient communication strategies: Converse confidently however respectfully and make sure to pay attention fastidiously through the negotiation course of. Give attention to phrases similar to “I’d like to debate my wage” slightly than “I want a elevate,” which might put strain on the opposite celebration.
  • Time it proper: It’s finest to provoke a wage negotiation once you’re making an attempt to maneuver into a brand new position or after efficiently finishing an necessary mission or purpose for the corporate. Keep away from negotiating at occasions when there could also be damaging sentiment in direction of you (for instance, should you simply obtained criticism from administration).

Be Sensible About Your Funds

As a substitute of splurging on materials objects, allocate your funds in direction of investments that may generate a number of earnings streams and supply long-term monetary safety.

Develop Specialised Skillsets

Studying new applied sciences or turning into an knowledgeable in particular fields (similar to programming, advertising, and gross sales) can open up many alternatives for high-paying jobs.

Take Calculated Dangers

Make clever investments similar to beginning a business (or an extra one if you have already got one). Investing in your self is all the time a good way to earn cash whereas growing precious ability units that you should use later.

Jobs that Pay 6 Figures

Listed below are a few of the most in-demand jobs with salaries of $100,000 or extra a yr.

  • finance Supervisor
  • Police Officer
  • Petroleum Engineer
  • Govt Chef
  • Nuclear Energy Reactor Operator
  • Software program Developer
  • Actual Property Dealer
  • Data Expertise Supervisor
  • Actuary
  • Laptop Community Architect
  • Salesperson
  • Air Site visitors Controller
  • Dental Hygienist
  • Doctor
  • Radiation Therapist
  • Dentist
  • Pharmacist
  • Lawyer
  • Physicist

How To Maximize 6 Figures?

Ah…in case you are already incomes 6 figures or near it, congratulations, you’re within the higher echelons of earners. Nonetheless, it is very important keep good cash habits and be intentional together with your funds, even should you earn a six-figure earnings. Neglecting this facet could make your earnings seem smaller than it truly is.

To maximise your earnings at this stage, deal with monetary planning and budgeting, in addition to on enhancing your abilities and information.

Listed below are some useful monetary habits that may permit you to effectively handle your earnings of six figures and take advantage of out of each greenback you earn.

Observe a Finances

Making a price range is an important step in setting your self up for achievement in the case of reaching your monetary targets. A price range will aid you achieve readability in your earnings and bills, prioritize the place your cash ought to go, and aid you create a plan of motion.

When making a price range, step one is to find out your web take-home pay. Let’s assume that this quantity is $65,000 per yr or $5,416 per 30 days. From there, you should use Dave Ramsey’s really helpful percentages as a information to planning out how you’d break down your month-to-month earnings:

Class Proportion
Housing-related bills 25%
Transportation prices 10%
Meals and eating bills 10%
Utilities and different vital providers 10%
Financial savings and investments 10%
Miscellaneous expenditures 10%
Well being and insurance coverage 15%
Debt reimbursement 10%
Whole 100%

Observe: It’s necessary to keep in mind that everybody’s monetary scenario is totally different, so be at liberty to regulate the chances relying on what works finest for you – so long as the entire classes add as much as 100%, each greenback spent can be accounted for.

Construct Financial savings

The time period “lower your expenses” is considerably cliché, nevertheless it’s necessary to place apart cash for financial savings and investments. Even in case you are bringing in a six-figure wage, it’s nonetheless necessary to dwell inside your means and lower your expenses. Listed below are some tricks to get you began:

  • Make financial savings a precedence by allocating 10% of your earnings as quickly as doable. Arrange an automated switch out of your checking to financial savings account each payday.
  • As soon as money owed are cleared, purpose for 15-20% of your earnings, which is the really helpful price for retirement funds.
  • Hold your financial savings in a web based account for max return on rates of interest.

Pay Off Debt ASAP

Regardless of how a lot cash you make, extreme debt may be detrimental to your monetary, psychological, and emotional well being. In case your purpose is to maximise 6 figures in earnings, then it’s necessary that you simply make paying off your money owed a high precedence.

Begin by specializing in high-interest bank card balances and automobile loans as a result of each greenback of curiosity you pay is simply cash down the drain. After these are taken care of, it is best to work on paying off pupil loans, private loans, and mortgages.

When you’ve eradicated all of your debt funds, then you can begin placing extra into financial savings and investments for retirement functions and in the end start rising your wealth even additional.

Keep away from Luxurious Way of life and Reduce Bills

One of the vital widespread pitfalls is life-style creep—the concept elevated earnings results in elevated spending. You could resist the urge to purchase greater than vital.

Listed below are just some concepts for avoiding life-style creep and reducing bills:

  • Store round for decrease insurance coverage premiums and refinance mortgages when doable. Mortgage refinancing can typically yield considerably decrease rates of interest, releasing up extra money every month.
  • Cancel any month-to-month subscriptions you don’t use regularly (gymnasium, newspaper, cable, and so forth.). This might help cut back your month-to-month payments considerably over time.
  • When shopping for one thing, comparability store for the very best offers and preserve vitality the place doable so as to cut back your utility invoice.
  • Take into account getting a cheaper cellular phone plan or an older automobile that’s paid off. And at last, create meal plans for residence dinners as an alternative of consuming out – this can assist save a major sum of money each month.

Make investments Your Cash To Develop It

One efficient method to extend your earnings is to take a position your cash for long-term advantages. Nevertheless, this requires planning forward and sacrificing current spending for future earnings.

Investing neatly is essential should you purpose to retire comfortably and have ample help for 30 years throughout your previous age, so it’s necessary to take the time and assess your funding choices.

What Would a 6-Determine Way of life Look Like?

For those who make six figures, you possibly can have a significantly better life-style in comparison with the nationwide common wage of slightly over $52,000 a yr within the U.S. Doubling your present earnings could be vital to achieve a six-figure wage.

Your take-home pay can present a snug life-style even after taxes, however this is dependent upon numerous elements similar to:

  • The place you reside: Housing prices in sure cities similar to San Francisco, Washington D.C., New York Metropolis, and Honolulu almost demand a six-figure wage simply to get by. For those who select a location with a decrease value of dwelling, this could make affording a pleasant home simpler.
  • Your healthcare prices: Many people wrestle with the ever-increasing medical insurance prices and medical bills related to critical diseases or persistent circumstances.
  • How a lot debt you may have: If in case you have important debt, it might be tough to remain underneath your price range even should you make six figures.
  • The scale of your loved ones: Having youngsters or offering for an growing old mother or father can imply having much less disposable earnings every month as a result of extra bills like childcare or assisted dwelling care.
  • Your tax bracket: Investing in the fitting retirement plans and different tax-advantaged accounts might help cut back your taxes and depart extra money in your pocket every month.
  • Your spending habits: Dwelling inside your means is vital to having fun with the life-style that comes with making six figures with out being consumed by life-style creep.

Conclusion – Making 6-7 Figures

Incomes a six-figure wage may be an unimaginable alternative to dwell comfortably and supply monetary safety for your self and your loved ones.

Nevertheless, it’s necessary to keep in mind that budgeting, investing neatly, lowering life-style inflation, avoiding overspending, and planning for the long run are important if you wish to ensure you stay inside your means with a six-figure earnings.

With correct administration of funds, those that have achieved this milestone will discover themselves on their manner towards reaching monetary freedom.

FAQs – How A lot is Six Figures

What do “figures” imply in cash?

In relation to cash, “figures” refers back to the variety of digits in a quantity. Often, figures check with an annual wage until in any other case acknowledged. For instance, a one-figure quantity is one digit lengthy — like 7. A two-figure quantity has two digits — like 45. A 3-figure quantity has three digits — like 365. And a six-figure quantity has six digits — like 123,456. For seven figures and up, the phrases “thousands and thousands” or “billions” are often used.

What’s a six-figure job?

A six-figure job is a job that pays an annual wage of not less than $100,000. Such jobs usually require specialised abilities and sometimes embrace managerial positions in numerous industries. Many tech jobs can simply pay a six-figure wage, and a few executives could even get a good or eight-figure wage.

What’s the distinction between a 6-figure wage and a 6-figure earnings?

A six-figure wage refers to a full-time job that pays an annual wage of not less than $100,000. However, a 6-figure earnings contains all sources of earnings, together with wage, investments, business income, aspect hustles, and extra. Your whole 6-figure earnings might be a mix of your wage and different sources of cash.

What share of the U.S. makes 6 figures?

Zippia stories that round 18% of People earn a six-figure earnings, with 15% of these making between $100,000 and $150,000.

What’s the distinction between 6 figures and seven figures?

The distinction between 6 and seven figures is the variety of digits within the quantity. A six-figure quantity has six digits — like 123,456. A seven-figure quantity has seven digits — like 1,234,567.

Can you reside comfortably on a 6-figure wage?

Sure, relying in your spending habits and site. With a six-figure wage, you may often afford a snug life-style should you dwell inside your means, make investments intelligently, and plan in your future. Nevertheless, the price of dwelling in sure cities could require a good greater earnings to remain snug.

Is 6 figures some huge cash?

It actually may be! The newest BLS statistics reveal that the median weekly earnings of full-time American employees is $1,003, which provides as much as an annual wage of $52,156. Relying on the place you reside, incomes a wage of $100,000 per yr might present a really snug life-style as it could be a 92% improve from the median wage.

A regarding survey reveals that 60% of millennials who earn a six-figure earnings wrestle to make ends meet and haven’t any financial savings or plans to repay their money owed. This is perhaps as a result of life-style inflation and overspending.