Manhattan rents cross $5k threshold for first time
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Re: Manhattan rents cross $5k threshold for first time
#2Is this an average for newly signed rent, or for the average one already paid now? If former, it looks incredibly low. I mean, this is what you pay for an above-average (but not posh) place in East Europe capitals, and for pretty much average ones in old European cities like Paris or Munich.
Re: Manhattan rents cross $5k threshold for first time
#3Averages are skewed. Still.
To meet the requirement of many landlords to earn in excess of 3x rent, one would have to earn 15k a month after tax, or 180k a year after tax. To earn 180k after tax in NY, you need to earn 300k pre tax.
Your Income Taxes Breakdown Tax / Marginal Tax Rate / Effective Tax Rate / 2021 Taxes* /
Federal 35.00% / 25.05% / $75,152
FICA / 2.35% / 4.70% / $14,104
State / 6.85% / 6.12% / $18,356
Local./ 3.88% / 3.73% / $11,193
Total Income Taxes / 39.60% / $118,804
Income After Taxes: $181,196
Retirement Contributions: $0
Take-Home Pay: $181,196
In investment banking, only VPs, SVPs, and directors start earning salaries of that magnitude: https://mergersandinquisitions.com/investment-banker-salary/
The average annual household income in Manhattan is $143,680, while the median household income sits at $117,926 per year. Residents aged 25 to 44 earn $144,670, while those between 45 and 64 years old have a median wage of $126,981. In contrast, people younger than 25 and those older than 65 earn less, at $57,813 and $47,547, respectively: https://www.point2homes.com/US/Neighborhood/NY/Manhattan-Dem...
Re: Manhattan rents cross $5k threshold for first time
#4Averages are skewed. Still. To meet the requirement of many landlords to earn in excess of 3x rent, one would have to earn 15k a month after tax, or 180k a year after tax. To earn 180k after tax in NY, you need to earn 300k pre tax. Your Income Taxes Breakdown Tax / Marginal Tax Rate / Effective Tax Rate / 2021 Taxes* / Federal 35.00% / 25.05% / $75,152 FICA / 2.35% / 4.70% / $14,104 State / 6.85% / 6.12% / $18,356 L…
These ratios are generally applied against gross (pre-tax) income.
Re: Manhattan rents cross $5k threshold for first time
#5> The big picture: This points to a conundrum. The Fed is raising rates to cool inflation. But rate hikes are driving higher rents, which are fueling inflation.
Why everyone and their dog says Fed is raising rates, when Fed just barely raised rates. Year over year inflation is 9.3% and Fed interest rate is only 1.5%, while it should be 2% points over inflation.
Re: Manhattan rents cross $5k threshold for first time
#6Averages are skewed. Still. To meet the requirement of many landlords to earn in excess of 3x rent, one would have to earn 15k a month after tax, or 180k a year after tax. To earn 180k after tax in NY, you need to earn 300k pre tax. Your Income Taxes Breakdown Tax / Marginal Tax Rate / Effective Tax Rate / 2021 Taxes* / Federal 35.00% / 25.05% / $75,152 FICA / 2.35% / 4.70% / $14,104 State / 6.85% / 6.12% / $18,356 L…
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Re: Manhattan rents cross $5k threshold for first time
#7Is this an average for newly signed rent, or for the average one already paid now? If former, it looks incredibly low. I mean, this is what you pay for an above-average (but not posh) place in East Europe capitals, and for pretty much average ones in old European cities like Paris or Munich.
What is an average place that costs $5k a month in Paris? That sounds like way too much.
Re: Manhattan rents cross $5k threshold for first time
#8Is this an average for newly signed rent, or for the average one already paid now? If former, it looks incredibly low. I mean, this is what you pay for an above-average (but not posh) place in East Europe capitals, and for pretty much average ones in old European cities like Paris or Munich.
Per month?
Re: Manhattan rents cross $5k threshold for first time
#9Is this an average for newly signed rent, or for the average one already paid now? If former, it looks incredibly low. I mean, this is what you pay for an above-average (but not posh) place in East Europe capitals, and for pretty much average ones in old European cities like Paris or Munich.
This is monthly rent, not yearly...
Re: Manhattan rents cross $5k threshold for first time
#10Averages are skewed. Still. To meet the requirement of many landlords to earn in excess of 3x rent, one would have to earn 15k a month after tax, or 180k a year after tax. To earn 180k after tax in NY, you need to earn 300k pre tax. Your Income Taxes Breakdown Tax / Marginal Tax Rate / Effective Tax Rate / 2021 Taxes* / Federal 35.00% / 25.05% / $75,152 FICA / 2.35% / 4.70% / $14,104 State / 6.85% / 6.12% / $18,356 L…
>To meet the requirement of many landlords to earn in excess of 3x rent, one would have to earn 15k a month after tax, or 180k a year after tax. To earn 180k after tax in NY, you need to earn 300k pre tax.
But that's household income not individual ?