How to earn a 6 figure salary after taxes

The truth is, salaries matter. Making a healthy salary means saving for your future and living your ideal lifestyle. Goals.

So, how much is 6 figures in money? A six-figure salary is anywhere from $100,000 to $999,999. It’s called a “six-figure salary” because every number in this range has six digits.

You might be thinking, ‘That’s a huge range.’ And you’re right! The difference between $100,000 and $999,999 is significant — and any change in salary impacts your financial stability and lifestyle. It’s why many people aim to make a six-figure salary in their career and continue to work toward raises and additional bonuses, even after they get to $100,000.

Breaking down a six-figure salary

What does a six-figure salary actually get you? And how does it vary based on where you live?

Below are a few examples of how much money you’d make each week or month based on a six-figure salary. TLDR; The difference between $100,000 and $500,000 is big! Note: These numbers are before taxes, expenses, or savings. 

Weekly earnings

Monthly earnings

Location, location, location

In the United States, how far your income goes (AKA your buying power) varies depending on where you live. Housing, food, transportation, and other essentials differ based on an area’s cost of living. 

The most expensive cities in the U.S. according to Kiplinger:

1. Manhattan, New York

2. Honolulu, Hawaii

3. San Jose, California

4. San Francisco, California

5. Brooklyn, New York

6. Orange County, California

7. Los Angeles, California

8. Queens, New York

9. Washington, D.C.

10. Boston, Massachusetts

The most expensive state:

• Hawaii has the highest overall cost of living in the U.S.

The least expensive state:

• Mississippi has the lowest overall cost of living in the U.S. 

Real families, real results.

Real families, real results.

Join 6+ million financially smart kids, teens, and parents learning to earn, save, and invest together!

Try Greenlight today

Is 6 figures enough to live on? Cost of living by state

If your teenager is looking ahead to potential careers, comparing pay for jobs in various areas can help them learn to make strategic financial decisions and plans. 

Let’s compare how far household income goes in Washington, D.C. vs. Dallas, Texas.

Washington, D.C.

The average cost of living in D.C. is $3,139. That’s about 45% higher than the national average. But salaries are also higher; hourly wages are 35% higher than the national average.

Salaries in Washington, D.C.

• Median household income: $110,355

• Median hourly wage: $31.30

• Mean annual salary: $88,370

Earning estimates based on $110,355

Monthly

• Gross monthly earnings: $9,196

• Net take-home pay (after taxes, Social Security, Medicare): $6,494 

Bi-weekly

• Gross: $4,244

• Net: $2,997

Weekly

• Gross: $2,122

• Net: $1,499

Expenses: Average monthly household costs in D.C.

• Housing: $2,874 (Zillow also lists an average monthly rent of $2,500)

• Food: $540

• Transportation: $1,231

• Utilities: $334

Remaining monthly salary: $1,500 (based on household income and average household expenses)

Imagine you take a job in Dallas, TX. How do your expenses change?

Dallas, Texas

The cost of living in Dallas, TX, is $2,550 – about 30% lower than in Washington, D.C.

Salaries in Dallas, Texas:

• Median household income: $86,860

• Median hourly wage: $29.44

• Mean annual salary: $61,240

Earning estimates based on $86,860

• Gross monthly earnings: $7,238

• Net monthly salary (after taxes, Social Security, and Medicare): $5,410

Est. Monthly Housing Cost (rent and utilities): $1,562

Est. Monthly Food Cost: $635

Est. Monthly Transportation Cost: $196

Remaining Monthly Salary: $3,017

The takeaway: You keep nearly double your monthly earnings in Dallas vs. Washington, D.C. However, the average salary is also lower.

Common six-figure jobs

Salaries vary based on things like location, education, and required skills, so it’s hard to know exactly how much you’ll make in any given role or industry. However, some jobs are likely to pay more. Here are some careers that often earn 6 figures:

Healthcare worker

Doctors, dentists, physician assistants, and pharmacists typically make six-figure salaries. However, each job in the healthcare field makes a different amount depending on the required education, tenure, and specialty.

Business executives

Many people go into business for the high earning potential, whether for themselves or an employer. While you may make less money initially, you can earn a lot over time through bonuses, promotions, and profit sharing. CEOs, VPs, and directors can make into the millions. Managers in finance, marketing, accounting, operations, and sales regularly earn over $100,000.

Technology and computer-related roles

One of the many factors that determine salary is demand. As the world goes more digital, management-level jobs in computer information systems start at $180,000+. If you love computers or coding, consider a computer engineering or computer science job. 

Sign up for Greenlight today to learn more about saving, investing, earning, and so much more!

Lawyer

Lawyers also make high salaries (though the amount varies by the type of law they practice). However, lawyers also have to go to law school, which means they — like doctors — may use some of their high salaries to pay off student loans. Lawyers earned a median income of $135,740 in 2022.   

Real estate

Top agents in booming property markets like Los Angeles and New York City can earn $200,000-$350,000 or more by earning a commission on every sale. Property and construction managers can also earn well over $100,000. 

This job requires an entrepreneurial spirit and sales skills — and depends on the state of the housing market — but it can be a very lucrative career path.

The future of 6-figure salaries: Highest-paying industries

Money isn’t everything! But if it’s your thing, consider one of the highest-paying jobs in the world. Want career longevity? See the fastest-growing careers from the Bureau of Labor Statistics’ Occupational Outlook. 

Here are the top 5 (hint: there’s a trend):

• Anesthesiologist

• Orthodontist

• Oral and maxillofacial surgeon

• Surgeon

• Pediatric surgeon

How to get to a 6 figure salary

The road to a six-figure salary looks different for everyone. However, a few strategies can help you get there.

1. Set career goals

Specific, time-oriented goals can launch a career that excites and satisfies you. Not sure what that is? Try a casual career exploration for kids to see what piques their interest. 

Concrete goals also help you communicate your ambitions to hiring managers, mentors, and others who can help you get where you want to be.

Examples of career goals:

• Manage a team of people by 40

• Save $20,000 per year for retirement

• Make a six-figure salary by 30

• Go to graduate school

2. Get experience early

Want an advantage over the competition? Get a summer job or online job in your goal area. It’s a great way to get work experience before entering the real world.

3. Negotiate your salary

Before you accept a new job or promotion, negotiate! Even small increases will help you reach your goals faster. For example: Say a company offers you $45,000 and you negotiate a higher base salary of $50,000. If they also offer bonuses or raises as a percentage, you’re already earning more.

4. Network and look for the right opportunities

You know the saying: “Right place, right time.” Keeping in touch with professional contacts never hurts — and it can definitely help. If you regularly connect with peers, find mentors, and seek opportunities, you’re more likely to find an exciting, higher-paying role.

5. Create multiple income streams

Feeling creative? Look for ways to increase your income outside of your day job. Consider creating a side hustle, investing in real estate, or starting a business to earn extra cash. 

Some income streams take more money and planning than others, so you can start small. Think about how to monetize your hobbies or skills. Great at math? Consider tutoring students. Artistic? Sell your artwork online. 

Level up your future

As important as it is to make money, it’s just as important to manage it well. A good foundation in financial literacy – saving, spending wisely, and investing – will help inform your money-making decisions. 

• Make it fun with money games like Level Up. 

• Get money-savvy together with Greenlight’s family money and safety app.

The more you know, the better prepared you’ll be to nail that six-figure salary.

Want more finance tips? Follow the Greenlight Learning Center for fresh ideas on how to build wealth and raise money-savvy kids.