How much cash do you need to live comfortably in California? See latest study

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

You might want to start saving up, according to GoBankingRates.

The personal finance website recently analyzed living costs across the United States, looking at housing, health care, food and other expenses.

“The last few years have been more expensive for Americans than in decades due to severe inflation and ever-rising cost of living,” GoBankingRates writer Andrew Lisa wrote in a June 19 article titled “Here’s the Cost of Living in Every State.”

“People living on tighter budgets or more frugal lifestyles may be looking to move to other, cheaper states,” Lisa said.

Here’s how much you’ll need to earn to enjoy a comfy life in California:

How much do you need to live comfortably in California?

You’d need to annual earnings of $111,901 to live comfortably in California in 2025, making it the third-most expensive state in the United States, according to GoBankingRates.

As of May, the median household income of a single person in the United States was $76,190 a year, according to the U.S. Census Bureau.

A two-person household had a median annual income of $99,936, the Census Bureau said, while a four-person household had a median income of $130,845 per year.

Which California cities have highest living costs?

A California city had the highest living expenses in the nation in 2025, according to a separate GoBankingRates study.

The personal finance website looked at annual costs of living in America’s 50 largest cities, ranking Irvine as the priciest city for homeowners and renters alike.

Homeowners would have to earn $326,645 a year to live comfortably in Irvine, the study found, while renters would need to earn $130,943 annually.

The median household income in the Southern California city was $129,647, GoBankingRates said in the study, published on June 12.

San Jose was the third most expensive city for homeowners in the country, the study found.

You’d have to earn $294,384 a year to live there comfortably as a homeowner, GoBankingRates said. A renter would need an annual income of $137,427 to enjoy a comfortable living.

Living comfortably in San Francisco — No. 4 on the list — would cost $269,118 a year for homeowners and $145,399 a year for renters, the study found.

In Sacramento, homeowners need to earn $124,467 annually to live comfortably, while renters need an annual income of $105,215, the report said.

Fresno homeowners required an income of $106,902 a year for a comfortable living, GoBankingRates said, and renters in the Central Valley city needed to earn $94,891 annually.

Which US states have highest income requirements in 2025?

According to the GoBankingRates study, Hawaii has the highest cost of living in the United States.

You’d have to earn an annual income of $144,436 to live comfortably in the Aloha State.

In comparison, West Virginia residents only need to earn $64,992 a year to live comfortably.

Here’s how much residents need to live comfortably in the 10 most expensive states in the nation, GoBankingRates said:

1. Hawaii: $144,436 per year

2. Massachusetts: $112,752

3. California: $111,901

4. Alaska: $95,673

5. New York: $95,286

6. Maryland: $89,104
7. New Jersey: $88,563
8. Vermont: $88,408
9. Washington: $88,254
10. New Hampshire: $87,017

How did GoBankingRates come up with findings?

To determine how much U.S. residents need to earn to lead comfortable lives, GoBankingRates calculated the cost of living in each state using data from the U.S. Bureau of Labor Statistics and the Missouri Economic Research Information Center.

The study looked at annual expenses in six categories, including:

• Housing
• Utilities
• Groceries
• Health care
• Transportation