How to Live Comfortably in California: Breaking Down the Cost

💰The study found that on average, a person needs $96,500 for sustainable comfort in a major U.S. city like Santa Ana, California.

🏙️Living in California comes at a price, and the cost of living is higher compared to other states.

📊The study used the 50/30/20 rule, where 50% of after-tax income is allocated for needs, 30% for wants, and 20% for savings or debt payments.

💵The cost of living varies across different cities in California, with major cities like San Francisco and Los Angeles being more expensive.

🏡The study highlights the importance of financial planning and budgeting to afford a comfortable lifestyle in California.

How much money do I need to live comfortably in California?

—On average, you would need $96,500 to live comfortably in a major U.S. city like Santa Ana, California.

What is the 50/30/20 rule?

—The 50/30/20 rule is a budgeting guideline where 50% of after-tax income is allocated for needs, 30% for wants, and 20% for savings or debt payments.

Is California more expensive to live in compared to other states?

—Yes, living in California comes at a higher cost compared to other states. The cost of living varies across different cities.

Which cities in California are the most expensive to live in?

—Major cities like San Francisco and Los Angeles are known for their high cost of living.

How can I afford a comfortable lifestyle in California?

—To afford a comfortable lifestyle in California, it is important to practice financial planning, budgeting, and prioritize needs, wants, and savings or debt payments according to the 50/30/20 rule.

00:00Introduction to the study on the cost of living in California.

00:50Explanation of the 50/30/20 rule used in the study to allocate income for needs, wants, and savings or debt payments.

01:32The average amount of money needed to live comfortably in a major U.S. city like Santa Ana, California.

02:16Comparison of the cost of living in California to other states.

02:44The variation in the cost of living across different cities in California.

03:14Examples of major cities in California known for their high cost of living, such as San Francisco and Los Angeles.

03:51The importance of financial planning and budgeting to afford a comfortable lifestyle in California.

04:26Conclusion and key takeaways from the study.