Why Salaries Over $100K Still Land You in the Middle Class on the West Coast

Whether or not the West Coast is the best coast for your finances remains to be seen, as sometimes a salary upwards of $190,000 can still firmly plant you in the middle class. This region is no stranger to high-paying jobs, booming tech industry or even the razzle-dazzle of Hollywood, but that often comes with a cost — and that is typically the cost of living. 

One of the primary reasons why a six-figure salary doesn’t go far on the West Coast is the staggering cost of housing. Cities like San Francisco, Los Angeles and Seattle are home to some of the most expensive real estate markets in the country. Even with earning well over $100,000 a year, the idea of buying a home and paying property taxes in these cities often seems out of reach.

Moreover, there’s an element of lifestyle inflation that often accompanies living in high-cost areas. The pressure to keep up with a certain standard of living — whether it’s driving a nice car, taking vacations or maintaining a particular social status — can quickly eat into a six-figure income. 

GOBankingRates recently conducted a study to determine the middle-class income in every state, which for the sake of this analysis will include California, Oregon, Washington, Alaska and Hawaii. Here are some national statistics and key findings for comparison to the West Coast numbers:

• National median household income in the U.S.: $75,149
• Lowest end of the national middle-class income range: $50,099
• Highest end of the national middle-class income range: $150,298

Given the high cost of living, many individuals and families earning over $100,000 on the West Coast struggle to save for retirement or build significant wealth. Even when you have the finances, financial success often requires careful budgeting, lifestyle management and a long-term approach to saving and investing.

Here are five West Coast states where earning over $100,000 will still land you in the middle class.

• Median household income: $91,905
• Lowest end of the middle-class income range: $61,269
• Highest end of the middle-class income range: $183,810

• Median household income: $76,632
• Lowest end of the middle-class income range: $51,087
• Highest end of the middle-class income range: $153,264

• Median household income: $90,325
• Lowest end of the middle-class income range: $60,216
• Highest end of the middle-class income range: $180,650

• Median household income: $86,370
• Lowest end of the middle-class income range: $57,579
• Highest end of the middle-class income range: $172,740

• Median household income: $94,814
• Lowest end of the middle-class income range: $63,209
• Highest end of the middle-class income range: $189,628