Perhaps you’ve got simply come throughout a job advert or been provided a job that prices $19 an hour and it is time to investigate the numbers.
$19 an hour is how a lot a yr? What about per 30 days, week and day? How a lot do you’ve got left after taxes? Is $19 an hour as a freelancer any totally different than being a W-2 worker for an organization? Let’s dive into these questions and extra data on how properly you may do with a $19 an hour job.
$19 an hour is how a lot a yr
For example you’re employed full-time, which is 8 hours a day, 5 days per week, 52 weeks a yr (together with paid trip time). We will use a easy multiplication to calculate how $19/hour provides up over every time interval:
- Every day: $19 x 8 hours = $152 per day
- Weekly: $152 per day x 5 days = $760 per week
- Month-to-month: $760 per week x 4.33 (the typical variety of weeks per 30 days) = $3291 per 30 days
- Yearly: $760 per week x 52 weeks = $39520 per yr
These are all gross figures, which means you earn earlier than taxes are deducted. Your particular tax charges will differ relying on the place you reside, whether or not you file collectively or individually, what deductions you qualify for, and so forth.
$19 an hour is how a lot a yr after taxes
25% is usually a superb guideline for federal and state taxes.
Utilizing that 25% quantity, we will multiply our earlier numbers by the remaining 75% to search out out what after-tax take-home wage you may count on if you happen to’re making $19 an hour:
- Every day: $152 x 75% = $114 to go
- Weekly: $760 x 75% = $570 to remove
- Month-to-month: $3291 x 75% = $2468
- Yearly: $39,520 x 75% = $29,640
You need to use a US tax calculator to get a extra correct estimate of how a lot tax to count on. Word that if you happen to’re making $19 an hour as a freelancer, you are paying much more since you’re liable for all of your FICA taxes as a substitute of getting an employer deal with them. Personally, I often put 1/3 of my revenue apart for this. (Study extra about self-employment taxes from the IRS right here.)
Is $19 an hour good, a good, livable wage?
The reply right here is each easy and sophisticated: It relies upon.
The most important issue is solely the place you reside. If you’re a digital nomad dwelling in Thailand and incomes $19, you may stay in luxurious in a penthouse condo. Should you stay within the American Midwest, you may most likely afford a mortgage on a good home. However if you happen to stay in a metropolis like New York or San Francisco, you may most likely get a closet with six roommates for $19 an hour.
Let us take a look at an instance month-to-month price range for somebody who makes $19 an hour. Since housing is without doubt one of the largest bills, let’s begin there and use the rule of thumb that you simply should not spend greater than 30% of your gross month-to-month revenue on housing. We’re additionally budgeting for 15% in financial savings – you may at all times save extra if you happen to can, however consider saving and investing as a precedence, not simply ‘what I’ve left after spending’. That is cash you pay your future self to make your life higher!
Month-to-month Internet Revenue: $2468
Relying on the place you reside, that form of price range could seem extraordinarily doable, or it might really feel like there’s not a lot wiggle room. Affording and saving the whole lot turns into a lot simpler when you’ve got a two-income family. Two individuals every working full-time and making $19 an hour have a internet take-home of $4936, which is a fairly stable quantity to stay off in most locations!
Need to lengthen that $19 hourly wage as a lot as potential so you may stay properly and enhance your financial savings charge? It’s completely potential in case you are decided sufficient! Take a look at these 72 ideas to save cash.
Should you can solely lower your price range to date and might’t discover a job that pays greater than $19 an hour, take into account supplementing your work with part-time night or weekend jobs. This may be so simple as taking surveys Swagbucks whereas watching TV, strolling canines round Rovers on Saturday mornings, and even beginning your individual enterprise. Take a look at 114 facet hustle concepts right here!
TL;DR: Should you got here up with $19 an hour only for the brief reply, how a lot is a yr? Reply: $39520 earlier than tax.