In 2022 from now, the average person will be able to make $15 an hour before taxes. After that year, in 2023 inflation is expected to go up 10-20% and yearly wages are projected at about $12 per hour. This means a full time job with no benefits would only pay around $30k/year in 2018 dollars (before taxes).
The “20 dollars an hour is how much a year” is the amount of money that you will make in 2022 before taxes. The after-taxes amount is 15 dollars per hour.
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According to the US Department of Labor, the federal minimum wage increased to $15 per hour in January 2022. Many others began to wonder, “How much is $15 an hour, and can someone survive off of it?” in light of the latest update.
So, in today’s world, can a person survive on $15 an hour? That seems to be a frequently asked question. Let’s deconstruct the arithmetic to find out. This article will explain how much $15 an hour is worth each year and what kinds of jobs you may find for that amount.
How Much Is A Year At $15 An Hour?
Because there are 52 weeks in a year and most individuals work 40 hours per week, that person would work 2,080 hours per year on average.
Here’s how it works:
- 2,080 hours = 52 weeks x 40 hours
- 2080 hours x $15 per hour = $31,200
If you work 2,080 hours per year and make $15 per hour, you will earn $31,200 before taxes.
Here is the breakdown for a $15 per hour employee earning $31,200 per year before taxes.
- $120 per day ($15 x 8 hours)
- Weekly: $600 ($31,200 ÷ 52)
- $1,200 biweekly ($31,200 26)
- Monthly: $2,600 ($31,200 ÷12)
After taxes, how much is $15 an hour?
Depending on where you reside, the amount you earn for the year will be lowered. Your yearly salary might reduce from $24,600 to $26,800 depending on your state.
Let’s make an illustration. Assume you reside in a state where the yearly income tax is 19.24 percent.
If you make $15 per hour ($31,200 per year) before taxes, you’ll pay an estimated 19.24 percent in taxes, bringing home a total of $25,197.12 after taxes.
Here’s how it works:
$6,002.88 is 19.24 percent of $31,200.
$31,200 – $6002.88= $25,197.12
So, after taxes, you’d have a yearly income of about $25,197.
Keep in mind that the amount of taxes deducted from your paycheck may vary based on where you reside.
To check out how much you will pay in taxes in the state that you live in, check out the Smart Asset Paycheck & Taxes Calculator by clicking here.
Furthermore, although most states tax your earnings, others do not. The following is a list of states that do not tax your earnings.
- South Dakota is a state in the United States.
- New Hampshire is a state in the United States.
What Is $15 Per Hour Per Day?
You will make $120 each day before taxes if you work five days a week at $15 an hour. (Keep in mind that the average is based on a total of 8 hours worked across 5 days.)
Here’s how it works:
What is the weekly cost of $15 an hour?
$15 an hour per week equals $600 before taxes. Here’s how it works:
Divide the $31,200 yearly salary by the number of weeks in the year. As an example, consider the following: Weekly: $600 ($31,200 ÷ 52 = 600)
What Is $15 An Hour Bi-Weekly Worth?
Before taxes, $15 an hour biweekly amounts to $1,200. Here’s how it works.
Divide your yearly income of $31,200 by the number of weeks you’d work biweekly (26 weeks).
$1,200 biweekly ($31,200 26)
What is the monthly cost of $15 an hour?
A job that pays $15 an hour would equal $2,600 earned each month before taxes. Here’s how it works:
Divide the $31,200 yearly pay by the number of months in the year. Monthly: $2,600 ($31,200 ÷12)
Is $15 an hour a reasonable wage?
If you don’t have a lot of debts and costs, $15 an hour is a decent place to start. As a result, this will rely on your financial status.
The cost of living in your state, the cost of food, your monthly bills, your monthly costs, if you have any debt, and whether you have support with your monthly bills and expenses are all factors to consider.
As a consequence, this will differ based on the individual, their financial status, and their objectives. Consider taking up a side business if $15 an hour isn’t enough for your present financial condition.
Can You Survive On $15 Per Hour?
This may vary based on your financial status and the individual. For example, if you put up a monthly budget and your monthly expenditures and expenses do not exceed your monthly income, you may survive on $15 an hour.
How To Survive On $15 Per Hour
Here are some suggestions for making ends meet on $15 an hour.
1. Make a financial plan
Setting up a monthly budget may help you achieve monthly success. A budget is a financial plan that takes into account your income and spending.
2. Eliminate Debt
If you have any debt, make a plan to pay it off as soon as possible.
3. Find a side hustle to supplement your income.
Consider starting up a second venture to assist supplement your income. Become a virtual assistant, Take part in a focus groups, do online surveys, and teach online are some of the finest side hustles to generate money.
4. Reduce your spending
Cutting expenditures is one strategy that might help you remain on track with your budget. Consider cutting down on unused monthly subscriptions and fast meals, for example.
Work for $15 an hour
If you are looking for Work for $15 an hour, here is a list of 7 jobs that you can look into. Keep in mind the average hourly rate might go up or down throughout the year for these jobs.
1. A medical transcriptionist
Medical transcribers are responsible for converting audio into written records for medical experts.
2. Mail Sorter
Mail handlers assist with day-to-day operations and help manage and handle mail at post offices.
Customer Service Representative No. 3
Job responsibilities include answering phones and assisting clients with any difficulties or complaints they may have through phone or email.
Assistant Manager No. 4
Perform administrative activities such as keeping inventories, assisting with scheduling, and reviewing staff performance over the course of many months.
5. a bank teller
Answers clients’ banking queries, processes bank transactions, and assists with the processing of mortgage and loan applications.
Makeup Artist No. 6
Job Description: Assists customers in improving their appearances with makeup and consults with them to develop unique make-up looks for photoshoots, film shoots, events, and more.
Answer phones and guide consumers to the appropriate department. They also assist consumers with administrative duties, phone transfers, record updates, and information.
With a $15 per hour job, how do you budget?
Setting up a budget is one of the most effective strategies to ensure that you achieve financially with a $15-per-hour job.
Here’s an example budget for someone who makes $15 per hour and has no debt. Let’s imagine they earn a total of $2,210 each month after taxes.
We’ll stick to the 70/20/10 budget, which allocates 70% of your after-tax income to essentials + entertainment, 20% to investment and savings, and 10% to debt repayment or charitable contributions.
This budgeting strategy assisted me in paying off almost $20,000 in debt.
Monthly Budget Method 70/20/10 Budget
Expenses per month
Total Monthly Budget: $1992
Money remaining: $218
Making Money Through Side Jobs
Picking up a side business is another wonderful method to survive off $15 an hour without going over your budget. Here are six legitimate side hustles to consider for additional cash.
Completing online surveys is a terrific way to earn money from home or on the move. When you participate in online surveys, you express your thoughts on various items and services. Swagbucks, Inbox Dollars, and Survey Junkie are three of my favorite online survey services.
- Take part in a focus group
Participating in focus groups is another wonderful way to generate additional money that I encourage. When you take part in a focus group, you are giving your honest opinion on items in order to assist businesses in improving their marketing. Respondent.io, FocusGroups.com, and UserInterviews are three of my favorite focus group sites.
Provide services as a virtual assistant
When you Provide services as a virtual assistant, you help entrepreneurs and companies with administrative tasks such as scheduling, data entry, social media management, etc. Some places online to find virtual assistant jobs are Belay, Upwork, Indeed.com, and FlexJobs.
Proofreading services are available.
Proofreading is another wonderful side job to consider. You assist individuals uncover grammatical problems in written papers by proofreading. Proofreading Pal, Upwork, Fiverr, Freelancers, and Flexjobs are all good places to look for proofreading jobs.
If you like reading, try writing book reviews online to supplement your income. Kirkus Media, Women’s Review of Books, and Online Book Club are some locations to look for book reviewing positions.
Using services like UberEats and Instacart to deliver food and groceries to people in your area is another great side business that will pay you on a regular basis.
Final Thoughts on $15.00 Per Hour Per Year:
Can you live off of 15 dollars an hour? The short answer is only if you have additional help or a second job. According to US News, A $15 hourly wage isn’t liveable anywhere in the US. A recent study showed that an hourly wage of 15 dollars an hour wouldn’t fully cover Expenses per month such as rent, food, Automobile Insurance, and more.
If you have additional help and your Expenses per month don’t exceed your income, you might be able to live off of 15 dollars an hour. While studies have shown it’s close to impossible, it can be done if you have additional help, such as a roommate.
Setting up a monthly budget to help you live within your means and not overspend is essential to surviving on $15 an hour. According to a CNBC report, over 61 percent of Americans live paycheck to paycheck, therefore creating a monthly budget is critical.
If $15 an hour isn’t enough for you, you might look into starting up a side hustle to assist you generate extra money each month. Adding a side job to your monthly income might help you pay off debt and alleviate other financial concerns. Do you believe you could survive on $15 an hour? If you agree, please share your opinions in the area below.
The “15 dollars an hour is how much a year part-time” is the amount that someone would earn if they were working for 15 hours a week, full-time. In 2022, this will be equivalent to $1,827 per year before taxes.
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