upworthy

pay

Culture

Woman reveals take-home pay from $95k salary and it explains why everything is broken

It sounds like a lot, but viewers couldn't believe how fast her paycheck disappeared.

Canva Photos

A woman breaks down her $95k paychecks and people are surprised by what's left.

More money, more problems? Maybe not, but definitely some problems. Big ones. Making six figures ($100,000 per year or more) used to really mean something in America. It was a big milestone in someone's life and career, signaling, at least from the outside, that they had made it. They were officially a success. Six figures never necessarily meant that you were rich, but it definitely set you up for a very comfortable life. You could afford a home, a couple of kids, yearly vacations, the works.

My, how things have changed.

One woman recently took to social media to share exactly how far her near-six-figure salary goes, and it's not nearly as far as it used to be.

Kait Alayna, who posts on TikTok about personal finance, budgeting, and all things money, shared a video recently breaking down her $95,500 annual salary. (It's not six figures, but it's pretty close.)

"[My net paycheck] can seem kind of low for my salary," she says in the video, responding to a commenter. "So here's the breakdown of gross to net so you can see where all the funds are going."

In captions on the video, she shows that her gross paycheck is $3,979. $399.91 goes to her 401k contribution. Seventy-five dollars go to a health savings account, and she pays another $68.88 per pay period for health, dental, and vision insurance. A chunky $882.30 is taken out of her paychecks for taxes.

That leaves her with just $2,553 in her pocket per pay period. That's about $5,000 in monthly take-home pay.

For Alayna's next trick, we get to watch it all disappear!

@kaitalayna

Replying to @Faith Hainey my semi-monthly gross paycheck -> net paycheck breakdown #paytransparency #salarytransparency #paycheckbreakdown #PersonalFinance

Five thousand dollars per month is nothing to sneeze at, of course! By all accounts, Alayna is doing great in her life and career.

But it vanishes from bank accounts faster than ever in the year 2025. In another video, she breaks down her monthly budget, which she shares with her fiancé:

Rent is $1780, and the total of all of their "essential" costs like groceries, gas, car insurance, cell phones, etc. is a whopping $4600 per month. Again, some of these costs are shared between two people, but that's nearly all of Alayna's paycheck swallowed up right off the bat!

Crucially, they're spending an extra $700 per month on paying off debt like student loans, on top of the $550 mandatory payments. Together, they own over $60,000 in student loan and other debts. We don't know the terms of their loans, but it often takes people decades (or even a lifetime) to pay down balances like that.

Commenters could relate to Alayna's situation:

"I have the same salary, nearly the same deductions, and I take home $2200. We are in such a hard spot" one user wrote.

"I made $100k a year and only being home like $2400. FSA, 403b, retirement pension, taxes, college savings. Sometimes I’m like where is my money?!" one added.

"I make $145k and my take home after insurance, taxes, 401k, etc is $3800 bi monthly, I cry when I think about it" someone wrote.

"Mine is about the same. Once rent and car payment is taken out, just enough for groceries and like one night out," a commenter said.

"My salary is $95,481 and my net is super close to yours. It just doesn’t go as far as it used to!" added another.

"Money doesn’t buy what it used to. All of the necessities are priced up," someone summed up.


@kaitalayna

new month new budget 🫶 #budget #payday #salarytransparency #monthlybudget #financialliteracy #personalfinance

Making nearly six figures per year puts people like Alayna in a comfortable and enviable position. But the hype still doesn't match the reality in 2025.

Though it's enough for a comfortable life, it's still very difficult at that salary level to save for a house, travel regularly, retire early, or even have a family—you know, the fundamental promises America was built on. Alayna and her fiancé have to be extremely disciplined with putting money aside to ensure they can withstand emergency costs and go on the occasional vacation.

Fortune writes that, "A six-figure salary used to be considered wealthy—but now, most of these earners are struggling to stay afloat amid raging living costs and salary deflation. That’s because households making $100,000 annually are still considered 'middle-class' in every U.S. state."

Even earning $200,000 per year isn't considered upper-class in many places. Fortune adds that over half of Americans earning a six figure salary still described themselves as living paycheck to paycheck, and that number is growing every year.

Why? It's because this whole time that we've been thinking people who make six figures are "rich," the cost of living has been accelerating upward at breakneck speed. Groceries are about 25% more expensive than they were just a few years ago. In the last 10 years, the median home price has gone by over $131,000. The average cell phone bill, with smartphones now being a near-necessity to be a participant in modern society, is now about $141 per month. The federal minimum wage has not changed in that time, nor has it since 2009.

It's time to reset our expectations of what a living wage really is, and even who we consider to be rich. If someone who makes the coveted $100,000 per year is still living paycheck to paycheck, living and dying by the budget spreadsheet, and devoting a huge chunk of salary to paying off debts, what hope does anyone else have?

Alayna writes that she's thankful for her job, and she's making it her mission to help others with smart budgeting and money decisions. But until a carton of eggs becomes affordable again, almost everyone's going to have a tough time getting ahead.

Image credit: N509FZ

Singapore Airlines employees are getting an enormous profit-sharing bonus.

What makes an airline the "best in the world"? Stellar service, on-time departures, plentiful routes, comfortable seating, reasonable ticket prices, solid safety ratings, good loyalty benefits, etc., right? Those are all things customers look for in an airline, and many of them have given Singapore Airlines the title of "most awarded airline." In 2023, it was named the World's Best Airline by Skytrax World Airline Awards for the fifth time, more than any other airline in the 24-year history of the awards.

Now there's another reason Singapore Airlines is being praised by both flyers and non-flyers alike. After the company announced a record net profit for 2023/2024, a source told CNN in May that the airline was giving all of its employees a bonus equivalent to almost 8 months of salary. Though details of the bonus have not been shared by the company, a similar bonus was awarded to Singapore Airlines employees last year, which was also a record-breaking year for the airline. According to an airline spokesperson who spoke to Business Insider, the bonus is due to "a long-standing annual profit-sharing bonus formula that has been agreed with our staff unions."

Profit-sharing plans provide an added incentive for employees to boost performance, which benefits both employees and employers—as long as those at the top are not determined to hoard all of a company's profits. Singapore Airlines' profit-sharing bonus may be part of its overall compensation package as opposed to a discretionary bonus, but even so, it's a largely unprecedented amount for any company to pay as a bonus, and people have weighed in with their thoughts.

worker pay, economy, paid time off, airlines, air safetyHappy airline employees on the jobImage via Canva

"Smart, this is what keeps employees happy and willing to continue going the extra mile. They are about to have even better coming year now."

"It's not just that it's a bonus....it's the percentage. 8 months of salary is amazing leadership. Wish corporate America would not be so greed with their record profits."

"Paying the staff a bonus, not just the executives, that’s good leadership."

"Congrats to Singapore Airlines! Setting a great example of rewarding employees for their dedication and hard work."

As part of the explanation for its profit of 2.68 billion Singapore dollars ($1.99 billion USD), the airline shared, "The demand for air travel remained buoyant throughout FY2023/24" with a boost by several major Asian countries fully reopening their borders after the COVID-19 pandemic. The airline shared that it carried 36.4 million passengers, a whopping 37.6% increase over the prior year.

Clearly, a lot of people choose Singapore Airlines, but why? What actually makes it the best (or for 2024, second best after Qatar Airways) in the world?

For one, they dominate the awards for First Class travel, which is nice but doesn't really affect the average traveler who flies economy. However, even Singapore's economy experience also miles above most other airlines. Singapore Airlines cabins are known for being well designed, impeccably clean and comparatively comfortable and the crew has a reputation for being friendly, attentive and helpful. (In fact, Singapore Airlines was honored with the World's Best Cabin Crew award by Skytrax in 2024.) People who fly Singapore Airlines frequently tout the experience as feeling like it's in an entirely different class than domestic airlines in the U.S., even when flying economy. The seats, the food, the service both on the ground and in the air—all of it adds up to excellence.

When you provide customers the things they value, keep your employees satisfied and happy with fair profit-sharing incentives, and also operate in a cost-efficient way, it's not surprising when you rank highly for awards across the board. That recognition then leads to more customers seeking you out, further increasing your revenue and ultimately leading you to record profits, which then get shared with employees who work that much harder to ensure that this positive cycle continues.

Amazing how when you put customers and employees first, everyone wins.

This article originally appeared last year.

A teen was elated getting his first paycheck from McDonald's.

There are certain moments and milestones in life that hit harder than others. There are the biggies, of course—graduations, weddings, births, etc.—but there are also the smaller-but-still-significant ones that mark a major shift in life, when you officially cross a threshold into a whole new stage in your life's journey.

A mom captured one of those moments on video as her teen son opened his first paycheck from his job at McDonald's.

The video shared on Reddit shows a teen in a McDonald's hat sitting in the passenger seat of a car opening an envelope that contained his paycheck. His mom said it should be "200-and something" dollars, and after a hilariously long struggle to open the envelope (these Gen Zers have never snail mailed, no judgment), he looks over the check stub to get the full picture.

"That's $283," he says in astonishment. To his credit, he asks "After tax, what's that?" not realizing that the amount of the check is the after-tax take home amount. His smile and laughter says it all.

Watch:

"Let's take it to the bank, then!" Heck yeah, kid.

People are remembering with fondness their own first paychecks

Many viral videos of first paycheck reveals include complaints about how much is taken out it in taxes, so it's refreshing to see this young man's joy at his after-tax pay. It was a beautiful moment to capture on film, as most of us remember that feeling of empowerment that came with our own first real paychecks.

People in the comments are feeling the nostalgia:

"I remember that feeling - pretty sweet to see money you earned yourself. Feels good earning your own cash."

"God that first paycheck felt so unreal. I will never forget you ace hardware."

"I remember my first paycheck was for like $300 after two weeks of being a counselor and I felt RICH. I immediately spent it all on a guitar that I still have 20 years later."

"I remember mine - from my first proper job. £64.29 in a little brown packet with holes in it to see the cash inside. 1980. 😂"

"My first “paycheck” was like $65, I was so proud. I took my mom to pizzeria to treat her and she was very very touched."

"Man… I remember my first paycheck… 23 years ago now. For two weeks of what limited hours I could work being 14 years old… that baby was $96.19! HO-LY smokes was I on cloud 9. Cashed it right there at work and bought myself a bag of Skittles. It was a good day."

Ah, to be young and unencumbered by adult expenses

Part of what makes this endearing is the innocence of it. As a teen, he's not worried about affording a mortgage or groceries or diapers or retirement savings. His elation over making $283 is adorable because he's just starting down the path of adulthood. Soon enough, that paycheck will seem small, but he's not there yet.

When you're a kid, money is kind of an abstract concept. Maybe you get a small allowance or get paid a few bucks for odd jobs, and opening a birthday card with some cash in it is exciting. It's not until you're fully into the working world for a while that the regular flow of money and what it means for your life really sinks in.

And it's not until you're a fully independent adult that you really grasp how relative your feelings about your paycheck can be. There's a big difference between being a 16-year-old getting your first paycheck and being a 30-year-old trying to raise a family on wages that don't cover all your needs. Things like cost-of-living and inflation start to actually mean something as you get older and experience their impact. You might find that you can make a lot more money and yet feel poorer than ever as expenses pile up into adulthood.

i.giphy.com

Don't we all wish we could go back to the hopeful, happy days of making our first real chunk of money before all of those grown-up concerns arose? That simple sense of pride in having worked hard and earned something. The excitement of being able to pay for something you want yourself. The sense of freedom that comes with those early earnings. We see and feel all of that in this teen's bright smile, and it's glorious.

He may not realize how different he might feel opening his paycheck down the road, but there's no need to tell him yet. We don't need to ruin this moment with "just you wait." He'll find out soon enough, as we all have, so let's just let him enjoy this moment of bliss. He's earned it.

This article originally appeared last year.

More

Black women are now America's most educated group.

They're the most educated group in America, but they're still grossly underpaid.

This month, there was some pretty great news for black women.

Celebrate with Michelle Obama!


Black women are now the most educated group in America, according to the National Center for Education Statistics.

A higher percentage of black women — 9.7% to be exact — are enrolled in college than any other racial or gender group, including white men, white women, and Asian women.

It's the first time in American history that black women are leading the way in education.

And it's kind of incredible for a multitude of reasons, including the fact that education reduces poverty, promotes gender equality, and helps to lessen the spread of various health issues.

So just what are these educated black women doing?

The number of degrees conferred to black students has steadily been on the rise for two decades. And in the U.S. between 2009 and 2010, black women specifically earned 68% of associate’s degrees awarded to African-American students.

Of black students, also earned 66% of bachelor’s degrees, 71% of master’s degrees, and 65% of all doctorate degrees, too.

So yeah, black women are killing it.

#BlackGirlMagic is totally real. GIF from Apple.

But here's a kicker: While black women are the most educated group in America, they're still making substantially less than their white male counterparts.

About $20,000 less per year, to be exact — a ridiculously large gap.


Oprah says, "Not on my watch." GIF via "Oprah."

Unfortunately, this isn't super surprising. Every other demographic in America makes less than white men, too, but black women are on the significantly lower end of the wage bar.

What does this wage gap look like?

On average, an American woman earns about $39,000 per year compared with the $50,000 an average man earns.

If a woman were to work for 40 years, this would add up to a lifetime of around $430,000 of wages lost. For black women, that number jumps to almost $878,000 in wages lost overtime a lifetime.


Absolutely not.

When any demographic is underpaid or understaffed, the effects are pervasive, and we can see that firsthand with black women.

While the numbers of black women in higher-paying jobs are steadily increasing, black women are still largely underrepresented at the top of top-paying industries like engineering and computing. Of the estimated 24% of women in the STEM workforce, a mere 2% of black women are represented in that group.

Black women not having a seat at the high-wage table can be particularly damaging for their families, too.

More than 50% of black women with children are either the sole or primary breadwinners of families, compared with 40% of all of women.

But currently, 38% of black children live below the poverty line, a rate that has remained steady over the past few years while other groups have decreased.

Equalizing wages could make a huge difference in the lives of African-American children by giving them access to better schools, healthier lives, and increased opportunities.

As Viola Davis stated in her historic Emmy’s speech:

"The only thing that separates women of color from everyone else is opportunity."

Viola Davis teaching us all how to live at the 67th annual Primetime Emmy Awards. Image by Kevork Djansezian/Getty Images.

The good news is, black women don’t back down from a challenge.

Right now, black women are voting at higher rates than the rest of the population, starting more businesses than any other groups of women, and creating opportunities for other black women to achieve even more.

They have been doing to work to improve minority lives for years.


Yes, girl. GIF from "Sister Act 2."

And when minorities are given a seat at the table of opportunity, we create a society that is strong, more understanding, and increasingly innovative.