14 US states where you need to earn more than $70k to make ends meet

The good side is that people who live in these states tend to earn higher wages.

Photo: Dmitriy Utlanov/Shutterstock

In some states, people could need up to $70,000 a year to cover basic costs for a monthaccording to a new analysis from personal finance website GOBankingRates.

The median annual salary, which is the minimum amount you need to cover expenses while saving for retirement, is $61,617 per household in the US.

Nevertheless, in the 14 states where you need a higher salary, you should earn $70,000 or more to break even. Out of 50 states, the highest living wage is $132,912 in Hawaii and the lowest is $51,754 in Mississippi.

Here are the 14 states where you need higher wages to make ends meet:

1. Hawaii: $132,912
2. New York: $101,995
3. California: $94,778
4. Massachusetts: $86,480
5. Alaska: $85,083
6. Oregon: $82,926
7. Maryland: $82,475
8. Vermont: $78,561
9. Connecticut: $76,014
10. Washington: $73,465
11. Maine: $73,200
12. New Jersey: $72,773
13. New Hampshire: $72,235
14. Rhode Island: $71,334 Dollars

These states typically have higher costs for housing, taxes, food, health care, utilities, and transportation.

Compared to other states, the Hawaiian Islands have a limited supply of land and higher costs of importing goods, which explains why it ranks #1.

The silver lining is that, in general, people who live in these states tend to earn higher wages. The 15 highest-ranking states for wages have household incomes above the national average of $65,712, with the exception of Maine, which is $63,440, according to 2020 data released by the St. Louis Fed.

Most of these states have a median household income in the range of $70,000 to $90,000, with Maryland’s median household income of $94,384 being the highest.

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