This may come as no surprise to local residents, but it takes a lot of money to “live comfortably” in the DFW metroplex, according to a recent study that compared the cost of “sustainable comfort” in the largest U.S. cities.
“On average, an individual needs $96,500 for sustainable comfort in a major U.S. city,” the report by financial research company SmartAsset states. “This includes being able to pay off debt and invest for the future. It’s even more expensive for families, who need to make an average combined income of about $235,000 to support two adults and two children without the pressure of living paycheck to paycheck.”
SmartAsset analyzed 99 of the largest American cities and used data from the MIT Living Wage Calculator. It found that an individual must make $44.12 an hour — or $91,770 annually — to live comfortably in Dallas, Plano, Irving, and Garland. These four cities tied at No.42 on the SmartAsset list, ranked from lowest hourly wage needed to highest.
A family of four — two adults and two children — would need a combined income of $208,000 to live comfortably in any of these four cities, according to the study.
According to statistics from Zip Recruiter, the average wage in Dallas is $31.70 per hour, or $65,946 per year, far shy of being “comfortable” by the study’s standards. Only 18% of Dallas workers make $87,000 or more per year.
Fort Worth and Arlington, where an individual would need to make $45.56 hourly — or $94,765 each year — to live comfortably, tied for the No.57 ranking. A family of four would need an annual income of $214,490 to live “comfortably” in those cities.
“While cost of living premiums and inflation metrics capture the price increases in goods and services, they do not necessarily account for all the additional costs needed to live comfortably — such as a buffer from the stress of living paycheck to paycheck,” according to SmartAsset.
The study was based on the 50-30-20 budgeting rule, which recommends that for “sustainable comfort,” 50% of an individual’s salary should be spent on needs, including housing, transportation, and groceries. Thirty percent should go to entertainment and hobbies; the other 20% should be used to pay off debt, invest, or save.
Other Texas cities cost considerably less for “sustainable comfort.” Houston ($36.10; $75,088) ranked first on the SmartAsset list. El Paso followed at second ($36.18; $75,254), and Lubbock ($36.24; $75,379) was third.
New York City is the most expensive city for an individual to live comfortably, ranking at No.99.
“This breaks down to $66.62 in hourly wages or an annual salary of $138,570,” the report shows. A family of four would need an annual income of $318,406.
The second-most expensive city on the list, ranking No. 98, is San Jose, California ($65.74; $136,739), and the third-most expensive location is Santa Ana, California ($60.96; $126,797).
