The income a family of 4 needs to live comfortably in every U.S. state (2024)

The most expensive state to raise a family of four isn't New York, California or Hawaii — it's Massachusetts, according to a recent SmartAsset study.

To live comfortably in Massachusetts, a family of two working adults and two kids would need to earn $301,184 annually.

"Comfortable" is defined as the income needed to cover a 50/30/20 budget for a family of four. The budget allocates 50% of your earnings for necessities such as housing and utility costs, 30% for discretionary spending and 20% for savings or investments.

SmartAsset extrapolated the income needed for a 50/30/20 budget based on the cost of necessities, using data from the MIT Living Wage Calculator.

Here's a look at how much income a family of four needs to live comfortably in the five most-expensive states:

Massachusetts: $301,184
Hawaii: $294,611
Connecticut: $279,885
New York: $278,970
California: $276,723

While most of these states are known for high housing costs, Massachusetts also has higher total costs for other categories, such as child care, food and medical expenses, according to the MIT Living Wage Calculator.

In contrast to these states, Mississippi is the least-expensive state to raise a family, requiring only $177,798 per year in annual income. The median for the U.S. as a whole is $213,782.

As a general trend, more rural U.S. states have lower costs compared with states home to numerous large cities, such as California and New York — especially when it comes to housing.

But rural states tend to have lower wages, too. The median annual wage for workers in Mississippi is $37,500, compared with $56,840 in New York, for example, according to Bureau of Labor Statistics data.

As a result, some of the higher costs of living in urban states are offset through higher wages.

Here's a look at the income needed for a family of four to live comfortably in each state, listed in alphabetical order.

Alabama

Annual income needed to live comfortably: $193,606

Alaska

Annual income needed to live comfortably: $242,611

Arizona

Annual income needed to live comfortably: $230,630

Arkansas

Annual income needed to live comfortably: $180,794

California

Annual income needed to live comfortably: $276,723

Colorado

Annual income needed to live comfortably: $264,992

Connecticut

Annual income needed to live comfortably: $279,885

Delaware

Annual income needed to live comfortably: $228,966

Florida

Annual income needed to live comfortably: $209,082

Georgia

Annual income needed to live comfortably: $212,826

Hawaii

Annual income needed to live comfortably: $294,611

Idaho

Annual income needed to live comfortably: $211,245

Illinois

Annual income needed to live comfortably: $231,962

Indiana

Annual income needed to live comfortably: $206,003

Iowa

Annual income needed to live comfortably: $211,411

Kansas

Annual income needed to live comfortably: $196,768

Kentucky

Annual income needed to live comfortably: $190,112

Louisiana

Annual income needed to live comfortably: $189,613

Maine

Annual income needed to live comfortably: $229,549

Maryland

Annual income needed to live comfortably: $239,450

Massachusetts

Annual income needed to live comfortably: $301,184

Michigan

Annual income needed to live comfortably: $214,490

Minnesota

Annual income needed to live comfortably: $244,774

Mississippi

Annual income needed to live comfortably: $177,798

Missouri

Annual income needed to live comfortably: $202,259

Montana

Annual income needed to live comfortably: $211,411

Nebraska

Annual income needed to live comfortably: $213,075

Nevada

Annual income needed to live comfortably: $237,286

New Hampshire

Annual income needed to live comfortably: $244,109

New Jersey

Annual income needed to live comfortably: $251,181

New Mexico

Annual income needed to live comfortably: $203,923

New York

Annual income needed to live comfortably: $278,970

North Carolina

Annual income needed to live comfortably: $209,331

North Dakota

Annual income needed to live comfortably: $202,176

Ohio

Annual income needed to live comfortably: $209,331

Oklahoma

Annual income needed to live comfortably: $194,106

Oregon

Annual income needed to live comfortably: $257,338

Pennsylvania

Annual income needed to live comfortably: $230,464

Rhode Island

Annual income needed to live comfortably: $249,267

South Carolina

Annual income needed to live comfortably: $200,762

South Dakota

Annual income needed to live comfortably: $192,608

Tennessee

Annual income needed to live comfortably: $195,770

Texas

Annual income needed to live comfortably: $201,344

Utah

Annual income needed to live comfortably: $218,483

Vermont

Annual income needed to live comfortably: $248,352

Virginia

Annual income needed to live comfortably: $235,206

Washington

Annual income needed to live comfortably: $257,421

West Virginia

Annual income needed to live comfortably: $189,363

Wisconsin

Annual income needed to live comfortably: $225,056

Wyoming

Annual income needed to live comfortably: $203,424

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FAQs

The income a family of 4 needs to live comfortably in every U.S. state? ›

Overall, SmartAsset found that to live comfortably in any major city, you need to make about $96,500 annually, up immensely from the nearly $68,500 it estimated last year. A family of four would need to make much more at $235,000 to avoid living paycheck to paycheck.

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What is the income needed for a family of 4 to live comfortably? ›

Out of all 99 cities SmartAsset examined, a family of four would need a median of $226,886 to live comfortably.

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What salary is needed to live comfortably in each state? ›

$113,651

How much money do you need to make for a family of four? ›

A family of four needs to earn at least $106,903 a year to cover their necessities in most U.S. states, a recent SmartAsset study reveals. The findings are based on cost estimates for housing, child care, transportation, health care, taxes and other common expenses, as tracked by the MIT Living Wage calculator.

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What is the cost of living for a family of 4 in the US? ›

Average Monthly Expenses for a Family of Four

In 2022, families or households of four averaged $8,460 in monthly expenses, or $101,514 annually. This was roughly 9.2% higher than in 2021, when families of four had a monthly expense average of $7,749.

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What is the average budget for a family of 4? ›

Average Expenses for a Family of Four

According to the most recent data, U.S. households that consist of four people spent an average of $8,640 per month in 2022. In 2021, the average four-person household spent $7749 per month. This works out to average annual expenditures of $101,514 in 2022, up from $92,989 in 2021.

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What is considered low income for a family of 4 in the US? ›

Federal Poverty Level (FPL)

Family size	2023 income numbers	2024 income numbers
For a family of 4	$30,000	$31,200
For a family of 5	$35,140	$36,580
For a family of 6	$40,280	$41,960
For a family of 7	$45,420	$47,340

5 more rows

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What is the cheapest state to live in financially? ›

Mississippi: According to World Population Review, in 2023, Mississippi holds the title of the cheapest state to live in the United States. Its cost of living index is 85, and overall costs in the state are 17% lower than the national average.

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What is the most expensive state to live in for a family of 4? ›

The findings indicate a family of four, with two working adults and two children, in Massachusetts would require a minimum annual income of approximately $150,000 to cover basic living expenses, a sum higher than in any other state. That includes California and New York, where similar families need around $140,000.

What is a livable salary in us? ›

An analysis of the living wage (as calculated in December 2022 and reflecting a compensation being offered to an individual in 2023), compiling geographically specific expenditure data for food, childcare, health care, housing, transportation, and other necessities, finds that: The living wage in the United States is ...

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How much money does a family of 4 need for food? ›

On average, a family of four can expect to spend anywhere between $500 to $1,000 per month on groceries, depending on factors such as dietary choices, quality of ingredients, and location.

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How much house does a family of 4 need? ›

For a family of four, the ideal house size is between 2,800 – 4,000 square feet and so forth. We're talking ideal here.

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What is the average salary in the US for a family of 4? ›

The national median household income is $80,610, according to the most recent U.S. Census Bureau population survey data for 2023.

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Can a family of four live on 100k a year? ›

Based on this outline, Hawaii is by far the most expensive state for a family of four, but there are 12 states where a household would need to earn over $100,000 to get by: Hawaii: $182,900. Massachusetts: $142,341. California: $130,239.

What is a good salary for a family in the US? ›

A table showing median income by family size in 2021. Data source: U.S. Census Bureau (2023). U.S. median family income peaks with four-person families at $125,700 and levels off at around $107,000 for families of five or larger.

What is a comfortable household income? ›

For a family, the household should bring in $350K.

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What salary is considered upper class for a family of 4? ›

While there's no definitive line, households in the top 20% of earners are generally considered upper class. According to the U.S. Census Bureau, the median household income in 2022 was $74,580. To reach the upper class in 2024, you'd typically need an income exceeding $153,000 – more than double the national median.

What is lower class income for a family of 4? ›

Very-Low, Low and Moderate-Income Limits

Household Size	Very-Low Income	Moderate-Income
2	$13,200 or less	$22,051 - $35,250
3	$14,900 or less	$24,801 - $39,650
4	$16,550 or less	$27,551 - $44,100
5	$17,850 or less	$29,751 - $47,600

4 more rows

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Is $80,000 a good salary for a family of four? ›

Depending on the size of your family or household, an $80,000 salary may comfortably cover your living expenses. If other people in your household, such as children, depend on your income, consider how much it costs to pay for their living expenses in addition to your own.

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