Is $120K a Good Salary in New York in 2025? Here’s the Real Cost of Living
Yes — $120,000 is a good salary in New York in 2025, especially for a single person.
However, high taxes and housing costs mean it provides comfort and stability, not luxury. Where you live and how you budget ultimately determine how far it goes.
Here’s a quick breakdown of what a $120K salary actually looks like in New York today.
Is $120K Enough to Live Comfortably in New York?
After federal, state, and city taxes, a $120,000 salary typically results in a take-home pay of roughly $6,200 to $6,600 per month. While this is well above the national average, New York’s cost of living absorbs a significant portion of it, with rent being the single largest expense.
For a single adult, $120K can support a comfortable lifestyle if housing costs are kept under control. Living in Brooklyn, Queens, or Upper Manhattan allows for more breathing room, while prime Manhattan neighborhoods can quickly make this income feel average. In practical terms, $120K covers necessities, allows for dining out and entertainment, and leaves room for modest savings — but not aggressive wealth building.
Who $120K Works For (and Who It Doesn’t)
A $120K salary works best for single professionals or dual-income households without children. In these cases, it provides financial security, independence, and flexibility. Many people earning this amount can live alone, avoid paycheck-to-paycheck stress, and still enjoy what the city offers.
For families relying on one income, $120K is often not enough. Childcare, healthcare, and larger housing needs raise monthly expenses quickly, making it difficult to save or absorb unexpected costs. This is why many New York families require household incomes well above $150,000 to live comfortably.
Final Verdict
A $120,000 salary is good in New York, but it is not exceptional by local standards. It offers comfort, stability, and independence for single adults, while falling short for families or luxury lifestyles. In New York City, six figures are no longer a finish line — they’re the baseline for a comfortable life.
