Are you wondering what 5 figures mean when it comes to money? You have landed on the right page. You may have heard some individuals say that they earn 5 figures a month and wonder: how much is 5 figures, really?
This article explores what a 5-figure income means, whether it is a good income, and how you can earn such an amount.
How Much Is 5 Figures?
Generally speaking, 5 figures is any number with 5 digits.
In terms of money, an amount equal to or higher than $10,000 and lower than or equal to $99,999 is considered 5 figures.
Note that we only consider whole values, and cents do not constitute 5 figures. For example, $299.10 is not 5 figures. Therefore, when someone says they earn a 5-figure income, their wage is between $10,000 and $99,999.
Additionally, the bonus, commission, or any other extra income is over and above the annual income.
When a person says they earn 5 figures, they could also refer to the salary from their job, the income from a business or a side hustle, or income-generating assets. The average salary in the US is 5 figures, around $53,490. So, if you are earning a somewhat similar figure, you lie in the average range in the country.
Moreover, we also need to consider that a 5-figure income varies widely in terms of range. Person A earning $30,000 and Person B earning $60,000 both have a 5-figure income. Their incomes vary significantly.
Let’s analyze a 5-figure income from various perspectives and determine what a low, mid-level, and high 5-figure income means.
How Much Is Low 5 Figures?
A low 5-figure income would be between $10,000 and $25,000. For example, an individual with an income of $17,000 earns low 5 figures.
If you earn this much in a month, you are lucky as your annual income may be in the millions, even if you earn a low 5-figure income. However, if you earn this amount in a year, you may find it hard to cope with the expenses.
For instance, if you work for $11 per hour for 40 hours per week, your total annual income would be around $22,880, which is a low 5-figure annual income.
How Much Is Mid 5 Figures?
The mid-5-figure income would be $50,000, and if we consider the mid-5-figure range, it would be between $40,000 and $60,000.
Many entry-level professionals can land a job that earns around $50,000 a year. That puts them in the median income range with prospects of earning a better income as they climb the professional ladder.
However, most salaried class employees can earn a mid-5-figure income only if they work for a minimum of 8 hours daily and 5 days a week with no unpaid time off.
5-Figure Salary Jobs and Where To Find Them
Here are a few examples of jobs and careers that provide 5-figure compensation:
- Detectives and criminal investigators
- Elevator installers and repairers
- Air traffic controllers
- Funeral service managers
- Power distributors and dispatchers
- Commercial pilots
- YouTubers/ bloggers/ podcasters
- Social media influencers
- Laundry and dry-cleaning workers
- Personal care aides
You can also check out career options in the Real Estate Investment Trust (REIT) sector for the top-paying jobs.
It is also a good move to apply to your dream companies that provide good compensation packages, so try shooting your resume at the Googleplex goal and see if you can score.
How Much Is High 5 Figures?
If you earn a high 5-figure income, it means that your earnings are above $70,000 and $99,999. You’re almost making a 6 figures income.
To earn a high 5-figure annual income, you need at least an hourly pay rate of $35, whereby you work 40 hours per week and throughout the year (52 weeks). An hourly pay rate of $35 will result in a cumulative annual income of $72,800.
What Does 5 Figures Mean?
A 5-figure income would mean different things for different people.
An individual earning a 5-figure wage and commissions or bonuses on top of the actual wage may be earning a lot more. Similarly, an individual earning 5 figures from a part-time job or a side hustle while having another job may also be earning significantly more than others.
Take note that people earning 5 figures a year would have very different financial circumstances than individuals earning this much in a month or a day. If you earn even a low 5 figures in a month, your annual income can become 6 figures, which is quite an accomplishment.
If you spend and invest wisely, a 5-figure income will help you in your financial woes and secure your future.
Do you want to earn 5 figures but cannot do so at your current job? You can start a side hustle or take up a remote online job.
If you have the technical expertise or are proficient in a high-income skill, you have all it takes to improve your circumstances. However, if you feel you do not have the requisite skills to assume a role that will help you earn such an amount, it is never too late to learn a skill that will improve your income prospects.
At the same time, an individual earning 5 figures in a day is one of the rare individuals who earn an 8-figure income annually. Such individuals are either highly skilled with a specialized skill set and expertise or have a very lucrative business that pays well.
Who Earns 5 Figures?
Since most households in the US have a 5-figure income, most people in your vicinity, your friends or relatives, may be earning within this range. Individuals with a college degree can earn a higher 5-figure income. Many people can get low to mid-5-figure income at the entry-level and earn more in the future as they progress professionally.
If you follow a traditional career path and hold a job in a reputed firm, you can safely earn a 5-figure income. Over time, if you do well in your career and progress, the 5 figure income will change into a 6-figure income resulting in a more financially-secure future.
Is a 5 Figure Salary Good?
A 5-figure salary implies you are earning the average income. Whether it is good or not depends on the actual amount you earn, i.e., whether you are on the lower or higher end of the salary spectrum.
If you earn a salary of $25,000, your earnings are better than 25% of the US residents, and if you earn a salary of around $75,000, you are earning more than 75% of the individuals.
All in all, a mid-5-figure income may help you lead a comfortable life. However, there are multiple personal factors to consider before establishing whether a 5 figure salary is good for you or not.
- Personal Spending Habits: If you are not careful in spending your earned money, no amount of income will be good enough. Planning a budget is an important aspect of responsible spending. You can then allocate your income to essential expenditures and assess if you have any spare money to spend.
- Place of Residence: The cost of living varies according to the area you live in. If you live in a major city like New York, your cost of living may be high, and living on a 5-figure income may be challenging. If you live in an area where the cost of living is low, the housing rents will be comparatively lower, and you may be able to manage a comfortable lifestyle within the same amount.
- Family Size: If you have a small family to support, your expenses will be less than those with a large family. After all, a big family must incur more educational expenses and spend more on groceries to cater to your family’s needs.
- Debts: If you have pending debt payments, a significant portion of your income would be spent paying off the debt and the associated interest rates. So, if you have any outstanding loans or payments, it is imperative to devise a debt payback strategy to manage your expenses within the pay.
What Are 5 Figure Salary Jobs?
Depending on your education and experience, you can earn a mid to high 5-figure income. Those with a college degree have the best potential to earn that much money.
Some jobs that can provide a 5 figure income are given below.
- Bartender
- Teaching
- Midwifery
- Daycare management
- Warehouse training manager
- Executive assistant
- Sales representative
- Medical assistant
- Nursing
- Beauticians and manicurists
- Equipment service manager
- Office staff
Best Way to Earn 5 Figures
If your job provides a 5-figure income or less, you can always explore alternative avenues to improve your financial circumstances. Here are a few ideas.
Get Technical Training
While a college degree plays an important role in landing a job that pays 5 figures, given the wide number of opportunities available today, you can earn a 5-figure income without a bachelor’s degree.
If you could not get a formal degree after high school, you could opt for technical or on-the-job training, depending on your interest.
Start a Side Hustle
Starting a side business to create an additional income stream is also a good idea if you want to earn 5 figures. Explore your interests or hobbies and consider if you can turn them into a lucrative business. You can also leverage your skill or expertise to start a business.
Start small with a little investment to evaluate if you can turn it into a profitable business. Check out these options:
- Take part in online surveys. All you have to do is answer questionnaires or join focus groups sponsored by companies doing product research and get paid. Check out some of the best online survey sites to earn gift cards and extra bucks:
- Survey Junkie. Join one of the most popular, reliable, easy-to-use survey websites, and you will receive a $5 bonus. Earn points that are exchangeable for cash or gift cards. Learn more about Survey Junkie and make more money.
- InboxDollars. Signing up with InboxDollars for free, you’ll also get a $5 welcome bonus when you use this link. Learn more about the platform through our InboxDollars review.
- Swagbucks. Check out what we think about the popular Swagbucks platform. You also have a $5 sign-up bonus waiting for you.
- Sell your skills as a freelance worker. Online job platforms such as Upwork, FlexJobs, and Fiverr list freelance work opportunities from employers worldwide. You should try creating an impressive resume and listing your profile at these job sites if you have marketable skills like graphic design, sound editing, software development, marketing, proofreading, etc.
- Play online games. If you are a gamer, this activity is the perfect side hustle. With platforms like Mistplay, InboxDollars, or Swagbucks, you can play to your heart’s content as you earn exchangeable points for cash or gift cards. Your hobby can also earn you extra money if you start a YouTube gaming channel or become a video gaming blogger.
- Flip items for profit. Do you have the knack for finding saleable items and reselling them at a profit? Then, you can make money through many online sites like Craigslist, Letgo, eBay, and Amazon. You can also buy and sell secondhand items or sell your own preloved or unused goods in online flea markets.
Work Remotely
Thanks to the technology today, you can find many online opportunities that can help you earn varying amounts of income depending on the nature of your job and your skills or expertise.
- Be an online transcriptionist. Are you good at grammar? Do you pay keen attention to details? Do you have a good headset and reliable internet? Try your hand at being a transcriptionist. To get you started, here’s a transcription guide.
- Offer tutoring services. Many online teaching opportunities are available if you can conduct English language training and tutorials on subjects like Math and Science. As an online tutor, you can share your knowledge while earning cash.
- Get a data entry job. You can earn extra cash while working from home. You will need typing skills, attention to detail, and computer and Internet connection.
Frequently Asked Questions – How Much Is 5 Figures?
How Much Is 5 Figures a Year?
If you earn 5 figures in a year, your annual income ranges between $10,000 and $99,999.
For example, earning $5,000 per month adds up to $60,000 per annum, which is a 5 figure income.
How Much Is 5 Figures a Month?
Five figures a month means your monthly remuneration ranges between $10,000 and $99,999.
For instance, if you earn $25,000 per month from your job, a side business, or commissions, your monthly income is 5 figures.
How Much Is 5 Figures a Week?
A weekly 5-figure income means you earn between $10,000 and $99,999 within one week. A 5-figure income a week translates into millions per year, which is a huge accomplishment.
How Much Is 5 Figures a Day?
Five figures a day means your daily income ranges between $10,000 and $99,999.
If you earn a high 5-figure amount per day, you are one of the rare individuals with the potential to earn an 8-figure annual income.
Conclusion – How Much Is 5 Figures?
Suppose you earn 5 figures annually, specifically in the mid to high range. In that case, you are within the estimated median household income in the US, which was $72,933, while the average individual income was pegged at $63,214.03.
So, you may be earning 5 figures, but if it’s in the lower range, it is considered already low-income and may even be near the poverty line: $12,880 for a single-person household to $26,500 for a 4-person family.
As stated in the previous sections, the best way to stay financially stable and even thrive is by increasing your income sources and potential. That way, the possibility of slipping into the low 5 figures and into the poverty line would be far-fetched.
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Founder of Spark Nomad, Radical FIRE, Journalist
Expertise: Personal finance and travel content
Education: Bachelor of Economics at Radboud University, Master in Finance at Radboud University, Minor in Economics at Chapman University.
Over 200 articles, essays, and short stories published across the web.
Experience: Marjolein Dilven is a journalist and founder of Radical FIRE, a personal finance platform, and Spark Nomad, a travel platform. Marjolein has a finance and economics background with a master’s in Finance. She has quit her job to travel the world, documenting her travels on Spark Nomad to help people plan their travels. Marjolein Dilven has written for publications like MSN, Associated Press, CNBC, Town News syndicate, and more.