Compiled by Peninsula-based Collaborative Economics, the data show that the average rent in May for a two-bedroom apartment in metro San Jose was $2,917 — and that residents would need to earn $116,680 annually to afford that.
Okay… so ignoring the fact that a single person doesn’t need two bedrooms – let’s see what the take home pay of someone with a $116,680 salary.
Gross paycheck:$4,861.67, monthly $9723.34
Net paycheck: $3,036.67, monthly $6073.34
2917/9723.34 = 30%
2917/6073 = 48%
I think the 30% of gross pay is absurdly high for housing. So what would the salary be in order for someone to have $9723 *after* tax? About $200k.