‘I truly believe $100,000 is the $60,000’: Why $100k salary isn’t making anyone rich

New data has revealed the median salary in 2024, but one young Aussie has revealed why the reality is completely “unfair’.

The average full-time salary is now in the six figures, but while it sounds impressive, is $100,000 the new $60,000?

New data from the Australian Bureau of Statistics (ABS) found that the average full-time salary is now $100,017, for the first time ever, without out any bonuses or overtime.

Luna, 28, lives in Sydney and earns above $150,000. She doesn’t think a $100,000 salary is enough to make people feel comfortable anymore.

“I truly believe $100,000 is the $60,000. You can live off $100,000, but you’re penny-pinching,” she told news.com.au.

The 28-year-old is earning more than $100,000. Picture: Instagram/@lunalovekiss_

Luna is aware how tough it is for people earning less. Picture: Instagram/@lunalovekiss

Her high salary means Luna is acutely aware that a lower wage wouldn’t be enough for her.

While she lives well, she also lives pretty normally.

The 28-year-old goes to the gym, travels occasionally, likes to get beauty treatments and needs to pay her mortgage.

“I’m very comfortable with my lifestyle, and I’m happy to keep it up. I can still put money into my savings and afford things that I need, but sometimes I think, and not in a pity way, how are other people doing it?” she said.

The 28-year-old is constantly in shock at the increasing cost of living. She’s someone making big money and even she still baulks at the price of her groceries.

It makes her aware that most people wouldn’t be living comfortably.

It has become very expensive to live in Australia, no matter where you reside. The current state of the housing market is alarming.

According to the ABS, the mean price of residential dwellings in Australia has now risen to $959,300.

The median weekly rent has also risen to $600, according to PropTrack.

The cash rate is at a significant 4.35 per cent, and vacancy rates are a concern across the country, sitting below two per cent.

The new salary data from the ABS would be heartening for Australians if it didn’t cost so much to live.

She's aware she's in a lucky position. Picture: Instagram/@lunalovekiss

She said she’s surprised when she spends less than $150 on groceries. Picture: Instagram/@lunalovekiss

Luna said she doesn’t “pity” anyone earning $100,000, but she’s hyper aware that it won’t get you very far in 2024.

“I can’t leave the house without spending $300 to $500. If I spend only $150 buying groceries, I think, wow, I’ve dodged a bullet,” she said.

The 28-year-old dropped out of university and is now earning big money creating explicit content on OnlyFans.

It has allowed her to buy a place in Sydney, help out her retired mum and travel.

She’s also seen how people she knows who have degrees and reliable jobs are struggling financially, despite working five days a week.

“It is so unfair,” she said.

“Society pushed everyone to go to university and become skilled workers, but now, they aren’t looking after them. You are told to do X, Y, and Z to be considered successful, and then you’re just left in the dark.”

Luna said she constantly wonders, ‘How do people do it?’ who are living on less than $150,000. Picture: iStock

Earning over $150,000, when thinking about people earning less than that, Luna said she constantly wonders, “How do people do it?”.

She doesn’t ask that question out of smugness, but rather concern.

“I went to lunch the other day and it was like $39 for lunch. How do people do this?” she asked.

She said that if she were working a “normal” job, she’d have no way of getting into the property market and, once again, she’s baffled that people still can.

“How are people buying houses? You can’t even rent a place in Sydney for less than $500,” she said.

From Luna’s perspective, the only people getting ahead now are those that come from “generational wealth” or are earning way above the average salary, like her. So where does that leave most people?

Finder money expert Sarah Megginson previously told news.com.au that being comfortable is less about some magical figure you should be earning and more about costs.

“One person earning $50,000 could live in a regional community with a low cost of living, happily sticking to a budget and feeling financially comfortable. And they could have a friend in Sydney earning $100,000, living alone and spending 75 per cent of their income on rent and utilities, using their emergency credit card to buy groceries, and feeling constantly stressed about money,” she said.

Ms Megginson pointed out that people struggle because of the high cost of living and, until that goes down, most are stuck in vicious cycle.

“Until we get the housing situation under control, we’re stuck with these sky-high rents and until inflation drastically falls, we’re stuck with higher interest rates on our mortgages,” she said.

Originally published as ‘I truly believe $100,000 is the $60,000’: Why $100k salary isn’t making anyone rich