In an economy with rapidly rising prices, an hourly wage of $70 per hour may seem generous or barely getting by depending on your situation. This article will break down the key numbers to show exactly how much annual and monthly income you can expect at $70 an hour, before and after taxes. We’ll calculate the yearly salary for both full-time and part-time work at this hourly rate, factoring in how unpaid time off impacts actual take-home pay. Converting an hourly wage to a yearly salary can be confusing, but we’ll outline the formulas clearly. We’ll also evaluate if $70 per hour is considered a good salary now and what standard of living it provides. Whether you’re weighing a job offer at $70 an hour or want to better understand how an hourly wage translates to yearly or monthly earnings, this article will provide the crucial math. We’ll look at typical professions that pay $70 per hour, whether that income allows you to afford major purchases like a home or car, tips to increase your earnings, and more. With inflation rising rapidly, it’s essential to assess hourly wages in terms of real annual buying power.
Table of Contents
Convert $70 Per Hour to Weekly, Monthly, and Yearly Salary
Input your wage and hours per week to see how much you’ll make monthly, yearly and more.
$70 an Hour is How Much a Year?
If you make $70 an hour, your yearly salary would be $145,600. We calculate your annual income based on 8 hours per day, 5 days per week and 52 weeks in the year.
Hours worked per week (40) x Hourly wage($70) x Weeks worked per year(52) = $145,600
$70 an Hour is How Much a Month?
If you make $70 an hour, your monthly salary would be $12,133.33. We calculated this number by dividing your annual income by 12 months.
Hours worked per week (40) x Hourly wage($70) x Weeks worked per year(52) / Months per Year(12) = $12,133.33
$70 an Hour is How Much a Biweekly?
If you make $70 an hour, your biweekly salary would be $5,600.
Hours worked per week (40) x Hourly wage($70) x 2 = $5,600
$70 an Hour is How Much a Week?
If you make $70 an hour, your weekly salary would be $2,800. Calculating based on 5 days per week and 8 hours each day.
Hours worked per week (40) x Hourly wage($70) = $2,800
$70 an Hour is How Much a Day?
If you make $70 an hour, your daily salary would be $560. We calculated your daily income based on 8 hours per day.
Hours worked per day (8) x Hourly wage($70) = $560
$70 an Hour is How Much a Year?
The basic formula to calculate your annual salary from an hourly wage is:
Hourly Rate x Hours Worked per Week x Number of Weeks Worked per Year = Annual Salary
So for a $20 per hour job:
$70 per hour x 40 hours per week x 52 weeks per year = $145,600
However, this simple calculation makes some assumptions:
- You will work 40 hours every week of the year
- You will not get any paid time off
Therefore, it represents your earnings if you worked every week of the year, without any vacation, holidays, or sick days.
Accounting for Paid Time Off
The $145,600 base salary does not yet factor in paid time off (PTO). Let’s assume the job provides:
- 2 weeks (10 days) paid vacation
- 6 paid holidays
- 3 paid sick days
This totals 19 paid days off, or nearly 4 weeks of PTO.
Importantly, this paid time off should not be deducted from the annual salary, since you still get paid for those days.
So with 4 weeks PTO, the annual salary would remain $145,600 .
Part time $70 an hour is How Much a Year?
Your annual income changes significantly if you work part-time and not full-time.
For example, let’s say you work 35 hours per week instead of 40. Here’s how you calculate your new yearly total:
$70 per hour x 35 hours per week x 52 weeks per year = $127,400
By working 5 fewer hours per week (35 instead of 40), your annual earnings at $70 an hour drop from $145,600 to $127,400.
That’s a $18,200 per year difference just by working part-time!
Here’s a table summarizing how your annual earnings change depending on how many hours you work per week at $70 an hour:
| Hours Per Week | Earnings Per Week | Annual Earnings |
|---|---|---|
| 40 | $2,800 | $145,600 |
| 35 | $2,450 | $127,400 |
| 30 | $2,100 | $109,200 |
| 25 | $1,750 | $91,000 |
| 20 | $1,400 | $72,800 |
| 15 | $1,050 | $54,600 |
The more hours per week, the higher your total yearly earnings. But part-time work allows for more life balance if you don’t need the full salary.
$70 an Hour With Overtime is How Much a Year?
Now let’s look at how overtime can increase your annual earnings.
Overtime kicks in once you work more than 40 hours in a week. Typically, you earn 1.5x your regular hourly wage for overtime hours.
So if you make $70 per hour normally, you would make $105 per hour for any hours over 40 in a week.
Here’s an example:
- You work 45 hours in a Week
- 40 regular hours paid at $70 per hour = $2,800
- 5 overtime hours paid at $105 per hour = $525
- Your total one Week earnings =$2,800 + $525 = $3,325
If you worked 45 hours each week for 52 weeks, here’s how your annual earnings increase thanks to overtime pay:
$3,325 per week x 52 weeks per year = $172,900
That’s $27,300 more than you’d earn working just 40 hours per week at $70 an hour.
Overtime can add up! But also consider taxes and work-life balance when deciding on extra hours.
Here’s a table summarizing how your annual earnings change depending on how many hours you work per week at $70 an hour:
| Overtime hours per work day | Hours Per Week | Earnings Per Week | Annual Earnings |
| 0 | 40 | $2,800 | $145,600 |
| 1 | 45 | $3,325 | $172,900 |
| 2 | 50 | $3,850 | $200,200 |
| 3 | 55 | $4,375 | $227,500 |
| 4 | 60 | $4,900 | $254,800 |
| 5 | 65 | $5,425 | $282,100 |
| 6 | 70 | $5,950 | $309,400 |
| 7 | 75 | $6,475 | $336,700 |
How Unpaid Time Off Impacts $70/Hour Yearly Earnings
So far we’ve assumed you work 52 paid weeks per year. Any unpaid time off will reduce your total income.
For example, let’s say you take 2 weeks of unpaid leave. That brings your paid weeks down to 50:
Hours worked per week (40) x Hourly wage($70) x Weeks worked per year(50) = $140,000 annual salary
With 2 weeks unpaid time off, your annual earnings at $70/hour would drop by $5,600.
The table below summarizes how your annual income changes depending on the number of weeks of unpaid leave.
| Weeks of unpaid leave | Paid weeks per year | Earnings Per Week | Annual Earnings |
| 0 | 52 | $2,800 | $145,600 |
| 1 | 51 | $2,800 | $142,800 |
| 2 | 50 | $2,800 | $140,000 |
| 3 | 49 | $2,800 | $137,200 |
| 4 | 48 | $2,800 | $134,400 |
| 5 | 47 | $2,800 | $131,600 |
| 6 | 46 | $2,800 | $128,800 |
| 7 | 45 | $2,800 | $126,000 |
Key Takeaways for $70 Hourly Wage
In summary, here are some key points on annual earnings when making $70 per hour:
- At 40 hours per week, you’ll earn $145,600 per year.
- Part-time of 30 hours/week results in $109,200 annual salary.
- Overtime pay can boost yearly earnings, e.g. $27,300 extra at 45 hours/week.
- Unpaid time off reduces your total income, around $5,600 less per 2 weeks off.
- Your specific situation and location impacts taxes and PTO.
Knowing your approximate annual salary and factors impacting it makes it easier to budget and plan your finances. The next step is calculating take-home pay after deductions like taxes.
$70 An Hour Is How Much A Year After Taxes
Figuring out your actual annual earnings based on an hourly wage can be complicated once taxes are taken into account. In addition to federal, state, and local income taxes, 7.65% of your gross pay also goes to Social Security and Medicare through FICA payroll taxes. So how much does $70 an hour equal per year after FICA and income taxes are deducted from your gross pay?
Below we’ll walk through the steps to calculate your annual net take home pay if you make $70 per hour. This will factor in estimated federal, FICA, state, and local taxes so you know exactly what to expect.
Factoring in Federal Income Tax
Your federal income tax will be a big chunk out of your gross pay. Federal tax rates range from 10% to 37%, depending on your tax bracket.
To estimate your federal income tax rate and liability:
Look up your federal income tax bracket based on your gross pay.
2023 tax brackets: single filers
| Tax rate | Taxable income bracket | Tax owed |
|---|---|---|
| 10% | $0 to $11,000. | 10% of taxable income. |
| 12% | $11,001 to $44,725. | $1,100 plus 12% of the amount over $11,000. |
| 22% | $44,726 to $95,375. | $5,147 plus 22% of the amount over $44,725. |
| 24% | $95,376 to $182,100. | $16,290 plus 24% of the amount over $95,375. |
| 32% | $182,101 to $231,250. | $37,104 plus 32% of the amount over $182,100. |
| 35% | $231,251 to $578,125. | $52,832 plus 35% of the amount over $231,250. |
| 37% | $578,126 or more. | $174,238.25 plus 37% of the amount over $578,125. |
For example, if you are single with $145,600 gross annual pay, your federal tax bracket is 24%.
Your estimated federal tax would be:
$16,290 + ($145,600 – $95,376) x 24% = $28,343.76
So at $70/hour with $145,600 gross pay, you would owe about $28,343.76 in federal income taxes.
Considering State Income Tax
In addition to federal tax, most states also charge a state income tax. State income tax rates range from about 1% to 13%, with most falling between 4% and 6%.
Key Takeaways
-
- California, Hawaii, New York, New Jersey, and Oregon have some of the highest state income tax rates.
- Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming don’t impose an income tax at all.
- Another 10 U.S states have a flat tax rate—everyone pays the same percentage regardless of how much they earn.
A State-by-State Comparison of Income Tax Rates
| STATE | TAX RATES | LOWEST AND HIGHEST INCOME BRACKETS |
|---|---|---|
| Alaska | 0% | None |
| Florida | 0% | None |
| Nevada | 0% | None |
| South Dakota | 0% | None |
| Tennessee | 0% | None |
| Texas | 0% | None |
| Washington | 0% | None |
| Wyoming | 0% | None |
| Colorado | 4.55% | Flat rate applies to all incomes |
| Illinois | 4.95% | Flat rate applies to all incomes |
| Indiana | 3.23% | Flat rate applies to all incomes |
| Kentucky | 5% | Flat rate applies to all incomes |
| Massachusetts | 5% | Flat rate applies to all incomes |
| New Hampshire | 5% | Flat rate on interest and dividend income only |
| North Carolina | 4.99% | Flat rate applies to all incomes |
| Pennsylvania | 3.07% | Flat rate applies to all incomes |
| Utah | 4.95% | Flat rate applies to all incomes |
| Michigan | 4.25% | Flat rate applies to all incomes |
| Arizona | 2.59% to 4.5% | $27,806 and $166,843 |
| Arkansas | 2% to 5.5% | $4,300 and $8,501 |
| California | 1% to 13.3% | $9,325 and $1 million |
| Connecticut | 3% to 6.99% | $10,000 and $500,000 |
| Delaware | 0% to 6.6% | $2,000 and $60,001 |
| Alabama | 2% to 5% | $500 and $3,001 |
| Georgia | 1% to 5.75% | $750 and $7,001 |
| Hawaii | 1.4% to 11% | $2,400 and $200,000 |
| Idaho | 1.125% to 6.5% | $1,568 and $7,939 |
| Iowa | 0.33% to 8.53% | $1,743 and $78,435 |
| Kansas | 3.1% to 5.7% | $15,000 and $30,000 |
| Louisiana | 1.85% to 4.25% | $12,500 and $50,001 |
| Maine | 5.8% to 7.15% | $23,000 and $54,450 |
| Maryland | 2% to 5.75% | $1,000 and $250,000 |
| Minnesota | 5.35% to 9.85% | $28,080 and $171,221 |
| Mississippi | 0% to 5% | $5,000 and $10,001 |
| Missouri | 1.5% to 5.3% | $1,121 and $8,968 |
| Montana | 1% to 6.75% | $2,900and $17,400 |
| Nebraska | 2.46% to 6.84% | $3,340 and $32,210 |
| New Jersey | 1.4% to 10.75% | $20,000 and $1 million |
| New Mexico | 1.7% to 5.9% | $5,500 and $210,000 |
| New York | 4% to 10.9% | $8,500 and $25 million |
| North Dakota | 1.1% to 2.9% | $41,775 and $458,350 |
| Ohio | 0% to 3.99% | $25,000 and $110,650 |
| Oklahoma | 0.25% to 4.75% | $1,000 and $7,200 |
| Oregon | 4.75% to 9.9% | $3,750 and $125,000 |
| Rhode Island | 3.75% to 5.99% | $68,200 and $155,050 |
| South Carolina | 0% to 7% | $3,110 and $15,560 |
| Vermont | 3.35% to 8.75% | $42,150 and $213,150 |
| Virginia | 2% to 5.75% | $3,000 and $17,001 |
| Washington, D.C. | 4% to 9.75% | $10,000 and $1 million |
| West Virginia | 3% to 6.5% | $10,000 and $60,000 |
| Wisconsin | 3.54% to 7.65% | $12,760 and $280,950 |
To estimate your state income tax:
Look up your state income tax rate based on your gross pay and filing status.
Multiply your gross annual pay by the state tax rate.
For example, if you live in Pennsylvania which has a flat 3.07% tax rate, your estimated state tax would be:
$145,600 gross pay x 3.07% PA tax rate = $4,469.92 estimated state income tax
So with $145,600 gross annual income, you would owe around in $4,469.92 Pennsylvania state income tax. Verify your specific state’s income tax rates.
Factoring in Local Taxes
Some cities and counties levy local income taxes ranging from 1-3% of taxable income.
To estimate potential local taxes you may owe:
- Check if your city or county charges a local income tax.
- If yes, look up the local income tax rate.
- Multiply your gross annual pay by the local tax rate.
For example, say you live in Columbus, OH which has a 2.5% local income tax. Your estimated local tax would be:
$145,600 gross pay x 2.5% local tax rate = $3,640 estimated local tax
So with $145,600 in gross earnings, you may owe around $3,640 in Columbus local income taxes. Verify rates for your own city/county.
Accounting for FICA Taxes (Social Security & Medicare)
FICA taxes are a combination of Social Security and Medicare taxes that equal 15.3% of your earnings. You are responsible for half of the total bill (7.65%), which includes a 6.2% Social Security tax and 1.45% Medicare tax on your earnings.
In 2023, only the first $160,200 of your earnings are subject to the Social Security tax
There is an additional 0.9% surtax on top of the standard 1.45% Medicare tax for those who earn over $200,000 (single filers) or $250,000 (joint filers).
To estimate your FICA tax payment:
$145,600 x 6.2% + $145,600 x 1.45% = $11,138.40
So you can expect to pay about $11,138.40 in Social Security and Medicare taxes out of your gross $145,600 in earnings.
Total Estimated Tax Payments
Based on the examples above, your total estimated tax payments would be:
Federal tax: $28,343.76
State tax: $4,469.92
Local tax: $3,640
FICA tax: $11,138.40
Total Estimated Tax: $47,592.08
Calculating Your Take Home Pay
To calculate your annual take home pay at $70 /hour:
1. Take your gross pay
2. Subtract your estimated total tax payments
$145,600 gross pay – $47,592.08 Total Estimated Tax = $98,007.92 Your Take Home Pay
n summary, if you make $70 per hour and work full-time, you would take home around $98,007.92 per year after federal, state, local , FICA taxes.
Your actual net income may vary depending on your specific tax situation. But this gives you a general idea of what to expect.
Convert $70 Per Hour to Yearly, Monthly, Biweekly, and Weekly Salary After Taxes
If you make $70 an hour and work full-time (40 hours per week), your estimated yearly salary would be $145,600 .
The $145,600 per year salary does not account for taxes. Federal, state, and local taxes will reduce your take-home pay. The amount withheld depends on your location, filing status, dependents, and other factors.
Just now during our calculation of $70 An Hour Is How Much A Year After Taxes, we assumed the following conditions:
- You are single with $145,600 gross annual pay, your federal tax bracket is 24 %.
- You live in Pennsylvania which has a flat 3.07% tax rate
- You live in Columbus, OH which has a 2.5% local income tax.
In the end, we calculated your Total Estimated Tax is $47,592.08 , Your Take Home Pay is $98,007.92 , Total tax rate is 32.69%.
So next we’ll use 32.69% as the estimated tax rate to calculate your weekly, biweekly, and monthly after-tax income.
$70 Per Hour to Yearly, Monthly, Biweekly, Weekly,and Week Salary After Taxes Table
| Income before taxes | Estimated Tax Rate | Income Taxes | After Tax Income | |
| Yearly Salary | $145,600 | 32.69% | $47,592.08 | $98,007.92 |
| Monthly Salary | $12,133.33 | 32.69% | $3,966.01 | $8,167.33 |
| BiWeekly Salary | $5,600 | 32.69% | $1,830.46 | $3,769.54 |
| Weekly Salary | $2,800 | 32.69% | $915.23 | $1,884.77 |
$70 an hour is how much a year after taxes
Here is the adjusted yearly salary after a 32.69% tax reduction:
-
- Yearly salary before taxes: $145,600
- Estimated tax rate: 32.69%
- Taxes owed (32.69% * $145,600 )= $47,592.08
- Yearly salary after taxes: $98,007.92
| Hourly Wage | Hours Worked Per Week | Weeks Worked Per Year | Total Yearly Salary | Estimated Tax Rate | Taxes Owed | After-Tax Yearly Salary |
|---|---|---|---|---|---|---|
| $70 | 40 | 52 | $145,600 | 32.69% | $47,592.08 | $98,007.92 |
$70 an hour is how much a month after taxes
To calculate the monthly salary based on an hourly wage, you first need the yearly salary amount. Then divide by 12 months.
-
-
- Yearly salary before taxes at $70 per hour: $145,600
- Divided by 12 months per year: $145,600 / 12 = $12,133.33 per month
-
The monthly salary based on a 40 hour work week at $70 per hour is $12,133.33 before taxes.
After applying the estimated 32.69% tax rate, the monthly after-tax salary would be:
-
- Monthly before-tax salary: $12,133.33
- Estimated tax rate: 32.69%
- Taxes owed (32.69% * $12,133.33 )= $3,966.01
- Monthly after-tax salary: $8,167.33
Monthly Salary Based on $70 Per Hour
| Hourly Wage | Yearly Salary | Months Per Year | Before-Tax Monthly Salary | Estimated Tax Rate | Taxes Owed | After-Tax Monthly Salary |
|---|---|---|---|---|---|---|
| $70 | $145,600 | 12 | $12,133.33 | 32.69% | $3,966.01 | $8,167.33 |
$70 an hour is how much biweekly after taxes
Many people are paid biweekly, meaning every other week. To calculate the biweekly pay at $70 per hour:
- Hourly wage: $70
- Hours worked per week: 40
- Weeks per biweekly pay period: 2
- $70 * 40 hours * 2 weeks = $5,600 biweekly
Applying the 32.69%estimated tax rate:
- Biweekly before-tax salary: $5,600
- Estimated tax rate: 32.69%
- Taxes owed (32.69% * $5,600 )= $1,830.46
- Biweekly after-tax salary: $3,769.54
Biweekly Salary at $70 Per Hour
| Hourly Wage | Hours Worked Per Week | Weeks Per Pay Period | Before-Tax Biweekly Salary | Estimated Tax Rate | Taxes Owed | After-Tax Biweekly Salary |
|---|---|---|---|---|---|---|
| $70 | 40 | 2 | $5,600 | 32.69% | $1,830.46 | $3,769.54 |
$70 an hour is how much weekly after taxes
To find the weekly salary based on an hourly wage, you need to know the number of hours worked per week. At 40 hours per week, the calculation is:
- Hourly wage: $70
- Hours worked per week: 40
- $70 * 40 hours = $2,800 per week
Accounting for the estimated 32.69% tax rate:
- Weekly before-tax salary: $2,800
- Estimated tax rate: 32.69%
- Taxes owed (32.69% * $2,800 )= $915.23
- Weekly after-tax salary: $1,884.77
Weekly Salary at $70 Per Hour
| Hourly Wage | Hours Worked Per Week | Before-Tax Weekly Salary | Estimated Tax Rate | Taxes Owed | After-Tax Weekly Salary |
|---|---|---|---|---|---|
| $70 | 40 | $2,800 | 32.69% | $915.23 | $1,884.77 |
Key Takeaways
- An hourly wage of $70 per hour equals a yearly salary of $145,600 before taxes, assuming a 40 hour work week.
- After accounting for an estimated 32.69% tax rate, the yearly after-tax salary is approximately $98,007.92 .
- On a monthly basis before taxes, $70 per hour equals $12,133.33 per month. After estimated taxes, the monthly take-home pay is about $8,167.33 .
- The before-tax weekly salary at $70 per hour is $2,800 . After taxes, the weekly take-home pay is approximately $1,884.77 .
- For biweekly pay, the pre-tax salary at $70 per hour is $5,600 . After estimated taxes, the biweekly take-home pay is around $3,769.54 .
Understanding annual, monthly, weekly, and biweekly salary equivalents based on an hourly wage is useful when budgeting and financial planning. Taxes make a significant difference in take-home pay, so be sure to account for them when making income conversions. Use this guide as a reference when making salary calculations.
What Is the Average Hourly Wage in the US?
Last Updated: Sep 1 2023
US Average Hourly Earnings is at a current level of $33.82, up from 33.74 last month and up from 32.43 one year ago. This is a change of 0.24% from last month and 4.29% from one year ago.
Average Hourly Earnings is the average dollars that a private employee makes per hour in the US. This metric is a part of one of the most important releases every month which includes unemployment numbers as well. This is normally released on the first Friday of every month. This metric is released by the Bureau of Labor Statistics (BLS).
What is the average salary in the U.S.?
Last Updated: July 18, 2023
The U.S. Bureau of Labor Statistics uses median salary data rather than averages to avoid skewed numbers from outlying high and low numbers. Median weekly earnings of the nation's 121.5 million full-time wage and salary workers were $1,100 in the second quarter of 2023, the U.S.
If a person works 52 weeks in the year, then this represents a national annual salary of $57,200.
Is $70 an Hour a Good Salary?
There’s no doubt that $70 per hour qualifies as an excellent salary, providing earnings in the top 10-15% nationally. Here’s how this hourly rate stacks up:
- It’s nearly 3x the national median wage of around $27/hour.
- Annualized, it equates to $145,000 per year. This cracks the top 10% of all U.S. household incomes.
- It’s a high-end wage even in expensive coastal cities like San Francisco and New York.
- Someone earning $70/hour can comfortably support a family with room for savings and discretionary spending.
- Most white collar professionals will not reach $70/hour earnings until very late in their careers, if ever.
- Many people earning $70/hour may still feel “middle class” due to high cost of living. But it objectively affords an upper tier standard of living.
Unless you live an extremely lavish lifestyle, $70/hour offers financial security and flexibility for workers and their household. But taxes and inflation do take a significant bite over time.
Jobs that Pay $70 an Hour
While not extremely common, here are some jobs with earning potential around $70 per hour:
- Engineers – Senior software, chemical, electrical engineers in high cost cities.
- Corporate Lawyers – Partner-track attorneys at major law firms.
- Management Consultants – Those at top firms like McKinsey, Bain & BCG.
- Investment Bankers – VP/SVP-level at firms like Goldman Sachs and JPMorgan.
- Specialized Doctors – Experienced cardiologists, anesthesiologists, radiologists.
- Pilots & Air Traffic Controllers – Senior commercial airline pilots and air traffic controllers.
- Data Scientists – High-end quant analytics and data science roles.
- Actuaries – Credentialed professionals with years of experience.
- Pharmacists – Pharmacy managers and clinical pharmacists at major hospitals.
- Petroleum Engineers – Senior engineers in oil/gas industry hotbeds like Texas.
Many of these jobs require years of experience, post-graduate education, and residence in a major metro region to reach top pay scales. But certain trades and roles also pay over $70/hour through high billable rates, hazard pay and ample overtime. Overall, it’s an impressive wage level but not unheard of among top tier professionals.
Can You Live Off $70 An Hour?
How far does $70/hour go towards covering basic living expenses? Here is an overview of typical budgets at this income level.
Housing
- Up to $2,000/month on rent or mortgage is doable at this income.
- Affords high-end apartments or decent-sized homes in most metro areas.
- Can stretch for multi-bedroom houses or condos in major coastal cities.
- Provides sufficient budget for remodeling/upgrading over time.
Transportation
- Owning luxury car: $700 per month with loan payment
- Leasing new luxury car or SUV: $900
- Basic sedan/SUV payment: $400
- Public transit pass: $100
Food
- Feeding a single person: $500 per month
- Family of four: $1,200 per month
- Occasional fine dining: $500
Utilities/Bills
- Basic utilities, cell phone: $400
- Add TV/internet, home security: $600
Insurance/Healthcare
- Decent family health insurance: $500
- Life and disability insurance: $200
- Co-pays, prescriptions, dental: $300
Savings & Investments
- Max out 401(k) at $20,500 per year ($1,700/month)
- Additional investing in IRAs, brokerage funds
- College savings funds for children
Vacation & Travel
- 2-3 domestic or international trips per year
- Hotel, airfare, rental cars, activities
As you can see, $70/hour allows for plenty of budgetary flexibility. The only major limitation for high cost cities is housing affordability, where budgets and space may be constrained. Overall very comfortable earning potential.
The Impact of Inflation
Inflation and taxes consume a portion of $70/hour earnings. Factoring 3-5% annual inflation over time:
- $70 this year → $66 next year → $63 in 3 years.
- Equivalent to nearly a 10% pay cut over 3 years at 4% annual inflation.
- Income taxes consume 25-30% of gross paycheck amounts.
To maintain or grow real purchasing power long-term, asking for raises and strategically managing taxes is key. But $70/hour still affords financial comfort despite inflation erosion.
5 Ways To Increase Your Hourly Wage
For those earning around $70/hour, here are some options to keep boosting that figure over time:
- Negotiate annual raises with your employer to match or exceed inflation.
- Seek promotions into higher paying management and executive-level roles.
- Develop specialized skills and experience that translate into higher billable rates.
- Earn advanced certifications or degrees to qualify for the highest-paying roles.
- Consider moving into consulting or launching a side business in your expertise area.
Opportunities abound to incrementally or dramatically scale earnings over a career based on skills development and career strategy.
Buying a Car on $70 an Hour
Comfortably affording a nice vehicle is no problem at this income level. Options include:
- Buying new luxury SUVs or cars in cash, like a BMW 5-Series.
- Financing expensive vehicles by putting down large down payments.
- Leasing high-end luxury and performance automobiles.
- Owning multiple nice vehicles for different uses.
- Frequent upgrades to newer model years.
- Customizability and personalization.
Cost and payments are not a major factor in vehicle selection at $70/hour income. Focus instead lands more on preferences, features, and aesthetics when choosing vehicles.
Can You Buy a House on $70 An Hour?
Housing costs are still the major factor impacting budgets at $70/hour. Guidelines for home affordability:
- Can afford mortgage payments up to $4,000 per month comfortably.
- Enables purchasing median-priced homes in most metro areas.
- Facilitates buying multi-million dollar properties in ultra-high-end real estate markets.
- Allows owning large square footage homes requiring extensive maintenance.
- Provides flexibility to customize and renovate over time.
- Rental income from basements or granny flats can supplement the mortgage.
Outside of the most expensive markets, $70/hour income makes owning beautiful, spacious homes very attainable, along with the costs that come with larger properties.
Example Budget on $70 Per Hour
Here is an example monthly budget for a $70/hour income earner with a family of four:
- Gross Monthly Income: $14,560
- Taxes and Deductions: $4,000
- Mortgage Payment: $2,500
- Utilities: $500
- HOA Fees: $200
- Car Loan Payments: $1,000
- Car Insurance: $150
- Gasoline: $300
- Groceries: $1,200
- Family Health Insurance: $500
- Out of Pocket Medical: $200
- Phones & Internet: $300
- Alarm & Security: $150
- 401K & IRA Savings: $2,000
- Leisure & Entertainment: $1,000
- Travel Savings: $500
- Miscellaneous Expenses: $500
This comfortable budget still requires minding large recurring costs like taxes, mortgage payments, and retirement savings contributions. But it offers nice flexibility for vacations and discretionary spending.
In Summary
An income of $70 per hour provides upper-middle class earnings that facilitate financial security. Typical lifestyles include nicer vehicles, spacious homes, comfortable retirement saving and investments, quality healthcare, and ample leisure and travel. While taxes and inflation do take a cut long-term, $70/hour affords an undeniably prosperous lifestyle well exceeding median household income levels. Earning this wage makes many of life’s costs and pleasures quite attainable.
