Hawaii is renowned for its stunning beaches, luxuriant vegetation, and warm climate, making it the perfect place for retirement and vacationing. However, Hawaii can be an expensive place to live, particularly for those on a limited budget. Is it possible to make $2000 a month in Hawaii or is that just a pipe dream?
This question does not have an easy solution. Hawaii’s cost of living varies according to the island, the city, and the way of life. Honolulu, the capital of Hawaii, has a cost of living that is 88.92% more than the national average, according to Numbeo. As a result, Hawaii is much more expensive than other states in terms of housing, food, transportation, and other costs.
Living in Hawaii on $2000 a month might be feasible, but it would involve some sacrifices. For instance, in order to save money on rent, you might have to move into a smaller apartment or a less desirable part of town. You might also want to avoid frequently dining out and carefully control your food spending. Additionally, you might need to keep your transportation costs in check by forgoing a car ownership in favor of using the bus, walking, or biking.
Hawaii’s cost of living is comparable to other states, such California, in comparison. Hawaii might be slightly more cheap for people who make less money, yet California has a higher state income tax rate than Hawaii.
Hawaii’s substantial reliance on tourism is one of the factors contributing to the state’s high tax rates. A large portion of the state’s tax revenue comes from tourism-related expenditures such hotel stays, rental vehicle charges, and outings. A general excise tax of 4% is furthermore levied on all goods and services sold in Hawaii. This tax is imposed on both citizens and non-citizens, making it a vital source of funding for the state.
Hawaii’s hourly minimum pay is $10.10, which is more than the federal minimum wage of $7.25. However, given the high cost of living, especially for those who reside in Honolulu, this might not be sufficient to cover necessities. As a result, many people in Hawaii have numerous jobs or depend on government assistance to get by.
In comparison to other states, Hawaii has relatively low property taxes. Hawaii has the seventh-lowest average property tax rate in the US, according to Tax-Rates.org, at 0.28%. Hawaii has high property values, though, so even a low tax rate can result in a significant tax burden.
In conclusion, it is feasible to live in Hawaii on $2,000 per month, but it will involve some compromises and careful planning. Hawaii has a high cost of living, but so do other pricey places like California. Due to the state’s emphasis on tourism, it has high taxes, and the minimum salary is low by comparison to the cost of life. Last but not least, despite high property values, property taxes are comparatively modest.