It costs less to ‘live comfortably’ in Kansas City than most other US cities, study says
Do you make at least $78,000? If so, you’re able to live comfortably in Kansas City, according to a new study.
The personal finance website GOBankingRates used latest data from Zillow, the Federal Reserve and the Bureau of Labor Statistics to determine what it takes to live comfortably in the United States’ 50 largest cities, and found that Kansas City residents need to make $78,123.
Of the 50 cities on the list, Kansas City’s the 10th best city for stretching your money, according to the website.
The study reported that the average cost of living in Kansas City is $39,061 annually. The personal finance website determined the amount needed to live comfortably by doubling the amount and using the 50/30/20 budget method.
The budget advice says:
- 50% of your income should go toward necessary expenses, like groceries, rent and other bills
- 30% toward savings
- 20% toward wants
“The idea is to prioritize necessary spending and savings while still allowing for some guilt-free discretionary spending,” the website says.
How do other cities compare to Kansas City?
The cost of living comfortably in Kansas City will also help you live in comfortably in other cities across the United States, according to GOBankingRates.
Here are the top five cities for stretching your budget:
- Detroit: $64,725
- Memphis, Tennessee: $65,440
- Wichita, Kansas: $72,440
- Tulsa, Oklahoma: $73,897
- Oklahoma City: $74,452
The cost of living is the highest in San Jose, California, where you would need to make at least $258,255 to live comfortably. Four other California cities round out the top five for the highest cost of living:
- San Francisco: $245,527
- San Diego: $202,621
- Los Angeles: $189,923
Long Beach: $174,439
Tips for budgeting
While the 50/30/20 budget may work for some, budgeting is more often dependent on each person’s finances and lifestyle. Here are some tips for budgeting, from usa.gov:
- Keep track of your income.
- Set financial goals for yourself.
- Prioritize certain expenses.
- Keep track of your spending.
- Set aside money for the unexpected.
- Review budget on a regular basis and change as needed.
