Here Are the States Most (And Least) Likely to Live Paycheck to Paycheck
From GOBankingRates, January 16, 2017
In a recent GOBankingRates.com survey, 69 percent of respondents said they have less than $1,000 in savings. Even worse, 34 percent said they have no savings at all. Such abysmal savings rates suggest many Americans, if not most, live paycheck to paycheck.
However, even if you can't increase your pay, you could potentially improve your situation if you find a state where your money goes further because the cost of living is low compared to your income. In this GOBankingRates study, we identified the U.S. states in which you're most and least likely to live paycheck to paycheck based on the following factors for each state:
- Median household income
- Cost of housing, food, transportation, utilities and healthcare per paycheck
- Leftover income after cost of living expenses
This study reiterates one of the most important personal finance lessons: Geography can have a huge impact on your money, especially your paycheck. Click through to see the best and worst states if you want to stretch your paycheck.
- Median household income per paycheck: $2,826.38
- Total leftover income after cost of living expenses: -$367.09 (Only state where the median is in the hole.)
- Percentage of leftover income: -12.99%
(Residents of the 49th-ranked state, California, have a median of $161.59 leftover income after cost of living expenses.)
For the second year in a row, Hawaii comes in as the No. 1 state where you're most likely to live paycheck to paycheck -- and it's not much of a surprise. Despite having the second-highest median household income in the nation ($73,486), the cost of food, housing, transportation and utilities per paycheck are substantial -- with utilities costing more than double the U.S. average. In all, Hawaii has the highest cost of living, making it one of the most expensive states to live in.
See the Results: 10 States Most (and Least) Likely to Live Paycheck to Paycheck
PBN: Hawaii the state where you're most likely to live paycheck to paycheck
HNN: Hawaii residents 'most likely' to live paycheck to paycheck