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The median pay for medical assistants is $38,270 annually for the most recent year studied, according to the Bureau of Labor Statistics.

If someone is very social and passionate about the medical field, they may find they really enjoy working as a medical assistant. Patient care will be one of their main responsibilities, but it’s not necessary to attend medical school to work in this role, which can mean a significant reduction in student debt. To better understand what the role of a physician assistant entails and how salary can vary by location and experience, keep reading.

What Are Medical Assistants?

What a medical assistant does on a daily basis depends on their specialty. While some medical assistants specialize in clinical tasks, others focus on administrative functions. Specializations may also align with specific medical practices, such as assisting ophthalmologists in educating patients about contact lens care.

These are some common tasks that medical assistants may tackle on a daily basis:

•   Interview patients

•   Record patient medical history

•   Measure vital signs

•   Assist physicians during examinations

•   Administer injections or medications as directed by physicians and state law

•   Conduct basic laboratory tests

•   Schedule patient appointments

•   Managing medical records

•   Handle insurance-related tasks

•   Maintain inventory.

Given how much of one’s time at work can be spent interacting with patients and other members of the medical team, the role of a physician’s assistant probably is not a great fit as a job for introverts.

Another aspect of this role to consider is that training for a medical assistant career often involves one to two years of study to receive an associate’s degree or certificate. This can be a more affordable option for a medical job than one that requires additional training.


💡 Quick Tip: We love a good spreadsheet, but not everyone feels the same. An online budget planner can give you the same insight into your budgeting and spending at a glance, without the extra effort.

How Much Do Starting Medical Assistants Make a Year?

As briefly noted earlier, the median annual wage for medical assistants is $38,270. However, when someone is working as an entry-level medical assistant, they can expect their salary to be on the lower side. The lowest 10% of earners in this role earn less than $30,390.

However, the highest 10% earn more than $51,710. While that is significantly higher than the average, it does reveal that it may not be easy to earn $100,000 annually as a medical assistant.

For those looking to earn more as a medical assistant, it’s always a good idea to interview with a few different medical practices or facilities to see which employer can offer the most competitive pay.

What is the Average Salary for a Medical Assistant?

The average annual salary that a medical assistant earns varies a lot depending on what state they work in. This difference in wages can be substantial. For example, on average medical assistants in New Jersey earn $15,136 more than their West Virginia counterparts.

The following table illustrates how much their salary and hourly wages can vary by state, arranged from highest to lowest figures.

What is the Average Medical Assistant Salary by State for 2023

State	Annual Salary	Monthly Pay	Weekly Pay	Hourly Wage
New Jersey	$43,978	$3,664	$845	$21.14
Wyoming	$43,660	$3,638	$839	$20.99
Wisconsin	$43,084	$3,590	$828	$20.71
Washington	$42,976	$3,581	$826	$20.66
Massachusetts	$42,784	$3,565	$822	$20.57
Indiana	$42,718	$3,559	$821	$20.54
Alaska	$42,716	$3,559	$821	$20.54
Oregon	$42,410	$3,534	$815	$20.39
North Dakota	$42,322	$3,526	$813	$20.35
Arizona	$41,834	$3,486	$804	$20.11
Hawaii	$41,495	$3,457	$797	$19.95
New Mexico	$41,419	$3,451	$796	$19.91
Montana	$41,204	$3,433	$792	$19.81
Minnesota	$41,073	$3,422	$789	$19.75
Colorado	$40,824	$3,402	$785	$19.63
New York	$40,763	$3,396	$783	$19.60
Alabama	$40,689	$3,390	$782	$19.56
Nevada	$40,389	$3,365	$776	$19.42
Ohio	$40,082	$3,340	$770	$19.27
South Dakota	$39,999	$3,333	$769	$19.23
Vermont	$39,700	$3,308	$763	$19.09
Rhode Island	$39,281	$3,273	$755	$18.89
Iowa	$38,912	$3,242	$748	$18.71
Connecticut	$38,734	$3,227	$744	$18.62
Delaware	$38,634	$3,219	$742	$18.57
Tennessee	$38,269	$3,189	$735	$18.40
Virginia	$38,179	$3,181	$734	$18.36
Mississippi	$38,167	$3,180	$733	$18.35
Utah	$38,046	$3,170	$731	$18.29
Georgia	$37,905	$3,158	$728	$18.22
Illinois	$37,709	$3,142	$725	$18.13
Maryland	$37,440	$3,120	$720	$18.00
Pennsylvania	$37,345	$3,112	$718	$17.95
California	$37,258	$3,104	$716	$17.91
Nebraska	$36,716	$3,059	$706	$17.65
Maine	$36,477	$3,039	$701	$17.54
Missouri	$36,291	$3,024	$697	$17.45
New Hampshire	$36,270	$3,022	$697	$17.44
South Carolina	$35,937	$2,994	$691	$17.28
Kansas	$35,925	$2,993	$690	$17.27
Louisiana	$35,860	$2,988	$689	$17.24
Idaho	$35,575	$2,964	$684	$17.10
Oklahoma	$35,557	$2,963	$683	$17.09
Texas	$35,275	$2,939	$678	$16.96
North Carolina	$35,196	$2,933	$676	$16.92
Kentucky	$33,916	$2,826	$652	$16.31
Michigan	$33,819	$2,818	$650	$16.26
Florida	$33,545	$2,795	$645	$16.13
Arkansas	$32,178	$2,681	$618	$15.47
West Virginia	$28,842	$2,403	$554	$13.87

Source: ZipRecruiter

Medical Assistant Job Considerations for Pay & Benefits

Many medical assistants work in full-time positions, which can qualify them for employee benefits, such as:

•   Health insurance

•   Employer-sponsored retirement plans

•   Paid time off.

That being said, if someone only works part-time, they may not qualify for any benefits.


💡 Quick Tip: Income, expenses, and life circumstances can change. Consider reviewing your budget a few times a year and making any adjustments if needed.

Pros and Cons of Medical Assistant Salary

One of the main advantages of a medical assistant salary is that it isn’t canceled out by expensive student loan debt payments each month. Having a bachelor’s or graduate school degree is not necessary to work as a medical assistant.

In many cases, a postsecondary certificate is required, but sometimes only a high school diploma and on-the-job training is required.

Also, except for those who are looking for a job for antisocial people, a medical assistant career can involve plenty of satisfying social interaction. It can also be a good choice for those who like to know they are helping to enhance others’ quality of life.

The Takeaway

Working as a medical assistant can be a great way to work in the medical field without having to pursue many years of higher education. This is also a very stable career field to enter, as the employment outlook for medical assistants indicates a projected growth of 14% from 2022 to 2032, which surpasses the average rate of expansion for all occupations.

See exactly how your money comes and goes at a glance.

FAQ

Can you make 100k a year as a medical assistant?

In most cases, it is not possible to earn more than $100,000 a year. The median annual salary for this role is $38,270 per year. That being said, it is possible to earn more than that if the medical assistant has many years of experience under their belt.

Do people like being a medical assistant?

Many people enjoy working as a medical assistant, especially if they are passionate about patient care. However, this role is not a good fit for those who are antisocial or would call themselves an introvert, as it can require interacting with a lot of different people on a daily basis.

Is it hard to get hired as a medical assistant?

Getting hired as a medical assistant isn’t too challenging as this role doesn’t require much-specialized schooling. It’s also a very in-demand field — on average, there is an anticipation of around 114,600 job openings annually for medical assistants.

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Photo credit: iStock/FG Trade Latin

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Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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The monthly payments on a $400,000 mortgage could range from about $2,300 to more than $3,700, depending on the loan’s interest rate, term, and other factors. But hopeful homebuyers would be wise to consider how much that mortgage could cost over time as well as what the monthly payments might be. Read on for a breakdown of what some of your home-buying costs might be, and how they could affect the total cost of a $400,000 mortgage.

What Will a $400,000 Mortgage Cost?

There are several different costs you may run into when taking out a mortgage. Most of the time, they can be divided into three main categories.

Closing Costs

Closing costs are expenses you’ll pay upfront when you get a loan. They can include things like loan processing fees, third-party services such as appraisals and title insurance, and government fees and taxes. You also may decide to pay mortgage points (also called discount points) upfront on your loan to lower the interest rate. Closing costs can vary significantly from one loan type and lender to the next, but they generally range from 3% to 6% of the mortgage amount.

Monthly Payments

Monthly mortgage payments, which are paid over the life of your loan, typically include two main parts:

•   Principal: This portion of your mortgage payment goes directly toward paying back the amount you borrowed.

•   Interest: This is the fee the lender will charge you for borrowing money. The amount of interest you pay each month will be calculated by multiplying your interest rate by your remaining loan balance.

Escrow

Some homebuyers may also have a third amount, called escrow, included in their closing costs and/or monthly payments. Lenders often collect and hold money in an escrow account so they can be sure critical bills like homeowners insurance and property taxes are paid on time. (Curious about the most budget-friendly places to buy? Check out this list of the most affordable cities in each state.)


💡 Quick Tip: SoFi’s Lock and Look ⁺ feature allows you to lock in a low mortgage financing rate for 90 days while you search for the perfect place to call home.

What Would the Payment Be on a $400,000 Mortgage?

We’ll keep things simple and eliminate the costs associated with an escrow account to calculate what the payment on a $400,000 mortgage’s monthly payments might be.

Let’s say you wanted to purchase a home for $500,000, and you had $100,000 for a down payment. If your lender offered you a 7% annual percentage rate (APR) on a 15-year loan for $400,000, you could expect your monthly payment — principal and interest — to be about $3,595. If you had a 30-year loan with a 7% APR, your payment could be about $2,661.

Here are some more examples that show the difference between a 15-year loan vs. a 30-year loan, using SoFi’s Mortgage Calculator:

APR	Payment with 15-year Loan	Payment with 30-year Loan
5.5%	$3,268	$2,271
6.5%	$3,484	$2,528
7.5%	$3,708	$2,796

Where Can You Get a $400,000 Mortgage?

Homebuyers may have a few different options when deciding where to go for a mortgage, including online banks and lenders, and traditional banks and credit unions. Because the rates and terms lenders offer may vary, it can be a good idea to shop around for a mortgage that’s the right fit for your individual needs.

Before you start looking for quotes, though, you may want to sit down and review the different types of mortgages you can qualify for. How would a 15-, 20-, or 30-year mortgage affect your monthly payments? Are you looking for a fixed or adjustable mortgage rate? Would you be better off with a conventional mortgage or a government-backed loan? (Some loans may have more flexible requirements for down payment amounts or a borrower’s credit score.)

Once you start comparison shopping, you can note the pros and cons of various offers and narrow down your choices. You also may want to read some online reviews of the lenders you’re considering.

Recommended: 2024 Home Loan Help Center

How Much Interest Will You Pay on a $400,000 Mortgage?

The interest rate your lender offers can make a big difference to the overall cost of your mortgage. So can the mortgage term you choose.

On a $400,000 mortgage at a 7% APR, for example, your total interest costs could range from $247,156 to $558,036, depending on the length of the loan you choose (15 vs. 30 years).

Spreading out your mortgage payments over a longer term can lower your monthly payment, but you can expect to pay more for the loan overall. Your financial circumstances at the time you take out your loan may dictate which is a priority for you. (If you go for a longer loan, and your situation changes, you may decide to refinance your home mortgage to a shorter term down the road.)


💡 Quick Tip: If you refinance your mortgage and shorten your loan term, you could save a substantial amount in interest over the lifetime of the loan.

How Does Amortization Work on a $400,000 Mortgage?

Though your payment will remain the same every month (if you have a fixed-rate loan), the amount you’ll pay toward interest vs. principal will change over the life of your home loan. In the first years, the majority of your payment will go toward interest. But as your balance goes down, more of your payment will go toward principal.

Your lender can provide you with a mortgage amortization schedule that shows you how the proportions will change as you make payments on your loan.

Here’s what the amortization schedules for a $400,000 mortgage with 30- and 15-year terms might look like. (Keep in mind that your payments may include other costs besides principal and interest.)

Amortization Schedule, 30-Year Loan at 7% APR

Year	Amount Paid	Interest Paid	Principal Paid	Remaining Balance
1	$31,934.52	$27,871.28	$4,063.24	$395,936.76
2	$31,934.52	$27,577.55	$4,356.97	$391,579.79
3	$31,934.52	$27,262.58	$4,671.94	$386,907.85
4	$31,934.52	$26,924.85	$5,009.67	$381,898.18
5	$31,934.52	$26,562.70	$5,371.82	$376,526.36
6	$31,934.52	$26,174.37	$5,760.15	$370,766.21
7	$31,934.52	$25,757.97	$6,176.55	$364,589.66
8	$31,934.52	$25,311.46	$6,623.06	$357,966.60
9	$31,934.52	$24,832.68	$7,101.84	$350,864.76
10	$31,934.52	$24,319.29	$7,615.23	$343,249.53
11	$31,934.52	$23,768.78	$8,165.74	$335,083.80
12	$31,934.52	$23,178.48	$8,756.04	$326,327.76
13	$31,934.52	$22,545.51	$9,389.01	$316.938.75
14	$31,934.52	$21,866.78	$10,067.74	$306,871.01
15	$31,934.52	$21,138.98	$10,795.54	$296,075.46
16	$31,934.52	$20,358.57	$11,575.95	$284,499.51
17	$31,934.52	$19,521.74	$12,412.78	$272,086.73
18	$31,934.52	$18,624.42	$13,310.10	$258,776.63
19	$31,934.52	$17,662.23	$14,272.29	$244,504.35
20	$31,934.52	$16,630.49	$15,304.03	$229,200.31
21	$31,934.52	$15,524.16	$16,410.36	$212,789.95
22	$31,934.52	$14,337.85	$17,596.67	$195,193.28
23	$31,934.52	$13,065.79	$18,868.73	$176,324.55
24	$31,934.52	$11,701.76	$20,232.76	$156,091.79
25	$31,934.52	$10,239.14	$21,695.38	$134,396.41
26	$31,934.52	$8,670.78	$23,263.74	$111,132.66
27	$31,934.52	$6,989.04	$24,945.48	$86,187.18
28	$31,934.52	$5,185.73	$26,748.79	$59,438.39
29	$31,934.52	$3,252.05	$28,682.47	$30,755.92
30	$31,934.52	$30,755.92	$1,178.60	$0

Amortization Schedule, 15-Year Loan at 7% APR

Year	Amount Paid	Interest Paid	Principal Paid	Remaining Balance
1	$43,143.76	$27,504.57	$15,639.19	$384,360.81
2	$43,143.76	$26,374.01	$16,769.75	$367,591.06
3	$43,143.76	$25,161.72	$17,982.04	$349,609.02
4	$43,143.76	$23,861.80	$19,281.96	$330,327.06
5	$43,143.76	$22,467.90	$20,675.85	$309,651.21
6	$43,143.76	$20,973.24	$22,170.51	$287,480.69
7	$43,143.76	$19,370.54	$23,773.22	$263,707.47
8	$43,143.76	$17,651.97	$25,491.79	$238,215.68
9	$43,143.76	$15,809.16	$27,334.59	$210,881.09
10	$43,143.76	$13,833.14	$29,310.61	$181,570.48
11	$43,143.76	$11,714.28	$31,429.48	$150,141.00
12	$43,143.76	$9,442.24	$33,701.52	$116,439.48
13	$43,143.76	$7,005.95	$36,137.80	$80,301.67
14	$43,143.76	$4,393.55	$38,750.21	$41,551.47
15	$43,143.76	$1,592.29	$41,551.47	$0

How to Get a $400,000 Mortgage

If you’re feeling intimidated by the whole home-buying process, breaking it down into some manageable steps may make things a little less overwhelming.

First, Determine What You Can Afford

Reviewing your income, debts, monthly spending, and how much you’ve saved for a down payment can be a good place to start. This will help you decide how much of a down payment you can handle and how much house you can afford.

Compare Different Loans and Lenders

Once you know what you can afford, you can start looking for the loan type, interest rate, loan term, and lender that meet your needs.

Consider Getting Preapproved

If you’ve decided on a loan and lender, it can be a good idea to go through the preapproval process. Getting a letter from your lender that says you’re preapproved for a certain loan amount lets sellers know you’re a serious buyer. (And it can come in handy if you get into a bidding war for your dream home.)

Get Ready to Go House Hunting

When you have your loan lined up, you can look for and potentially make an offer on a house. And since you already know how much you can afford, you can target homes in that range.

Submit a Full Mortgage Application

Once your offer is accepted and you’re ready to move forward, your lender will ask you to complete a more formal loan application and provide additional financial information and documentation.

Prepare for Closing

While you’re waiting for a final loan approval and a closing date, you can shop for homeowners insurance, get a home inspection, and make sure you have all the money you need for your down payment and closing costs.

Take Ownership of Your New Home

At the closing you can sign all the necessary paperwork, hand over the funds needed to make the purchase, and — congratulations! — get the keys to your new home.

Recommended: First-Time Homebuyer Guide

The Takeaway

Researching the different costs you might have to pay if you plan to take out a $400,000 mortgage can help you stick to your budget and avoid unpleasant surprises.

The choices you make about the type of loan you get, the interest rate, loan term, and other costs, will all play part in how much you pay every month — and over the length of the loan. So it can be a good idea to run the numbers before you decide on a particular lender or loan.

Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

How much is a $400,000 mortgage a month?

The monthly payment for a $400,000 mortgage could range from about $2,300 to more than $3,700, depending on several factors, including the interest rate and loan term.

How much income is required for a $400,000 mortgage?

Lenders will look at several factors besides your income to determine if you can afford a $400,000 mortgage. You can expect to be asked about your debt, credit history, assets, and the down payment you plan to make.

How much is a down payment on a $400,000 mortgage?

Your down payment may vary depending on the price of the house you choose, the type of loan you get, and if you want to avoid paying private mortgage insurance as part of your borrowing costs. Traditionally, lenders like to see a 20% down payment, which on a $500,000 home would be a $100,000 down payment and a $400,000 mortgage. But many lenders accept lower down payments.

Can I afford a $400,000 mortgage with a $70,000 salary?

Since your housing costs (monthly payments, insurance, etc.) would likely be more than half your monthly salary, it could be a challenge to afford a $400,000 mortgage on a $70,000 salary.

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*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.

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Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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On a salary of $100,000 per year, as long as you have minimal debt, you can afford a house priced at around $311,000 with a monthly payment of $2,333. This number assumes a 6.5% interest rate and a down payment of around $30,000.

The 28/36 rule is often used as a guide when deciding how much house you can afford. The rule stipulates that you should not spend more than 28 percent of your salary on overall housing costs and no more than 36 percent on housing costs and your debt. On a salary of $100K with debts of about $250 per month, a house costing $311,000 just fits in your budget.

However, how much home you can afford depends on other factors also, such as where you intend to live and how much you have saved as a down payment.

This article looks at how all of these factors affect your home purchase and gives some examples of how much home you can realistically afford on a salary of $100,000.

What Kind of House Can I Afford With $100K a Year?

Another rule of thumb often applied when buying a home is to not spend more than three times your annual income on a home. If you earn $100,000 a year, that would be $300,000.

A salary of $100,000 is well above the national median income (according to Census data, the national median income was $74,580 in 2022). That puts you in a good position if you want to buy a home, particularly if the cost of living is low in the area that you are targeting. If you have substantial savings for a down payment and little debt, you’re even better positioned. Debt is important because lenders look at how much debt you have when they qualify you for a mortgage.

Your Debt-to-Income Ratio

Your debt-to-income (DTI) ratio is the amount of income you receive relative to the amount of payments you make each month to cover your debt. You’ll get better loan terms, and your monthly mortgage loan payments will be less, if you have less debt.

That’s why many experts also recommend the 28/36 rule. So, if you earn $100K, your housing costs should be less than $28,000, $2,333 a month, and your debt and housing costs should not exceed $36,000, or $3,000 a month.

Your Down Payment

Unless you qualify for a zero-down USDA or VA loan, most lenders will expect a down payment of between 3% and 20%. The more you put down, the more house you can afford, but as you think about your down payment amount, make sure you reserve funds for closing costs, moving costs, and an emergency fund for unexpected expenses.

Home Affordability

Homes are more affordable in certain areas. Some areas have a higher cost of living and higher property taxes.

Your credit score will also affect how much home you can afford. If you have a high credit score, you will qualify for a lower interest rate loan. If you pay less interest, you can borrow more and still meet your monthly payments.

Depending on where you want to live, the housing market might dictate how big a home you can afford. House prices are affected by the economic conditions, and low unemployment rates and healthy economic growth gives buyers more purchasing power. If buyers have more purchasing power, they can afford bigger loans, and this will push up house prices.


💡 Quick Tip: When house hunting, don’t forget to lock in your home mortgage loan rate so there are no surprises if your offer is accepted.

How to Afford More House with Down Payment Assistance

Some people, such as first-time buyers or certain professionals like nurses and teachers, can qualify for down payment assistance from federal, state, and local government, private entities, and charitable organizations. Assistance might be in the form of a low-rate loan, cash grant, tax credit, or a reduced interest rate.

Applying for down payment assistance can add weeks or months to your home buying timeline, but for more information, the U.S. Department of Housing and Urban Development (HUD) keeps a list of programs listed by state, county, and city.

Here are typical down payment amounts for various types of mortgages.

•   Conventional mortgages require a 3% down payment for first-time buyers

•   FHA mortgages require 3.5% down

•   VA mortgages require 0% down

•   USDA: These zero down payment loans serve low-income borrowers in rural areas.

Home Affordability Examples

Let’s take a look at some hypothetical examples for those wondering, “If I make $100K how much home can I afford?” These examples assume an interest rate of 6.5% and average property taxes.

Example #1: Low Down Payment and Significant Debt

Gross annual income: $100,000
Down payment: $10,000
Monthly debt: $1000

Home budget: $238,441

Monthly mortgage payment: $2,000

Payment breakdown:

•   Principal and interest: $1,444

•   Property taxes: $208

•   Private mortgage insurance: $264

•   Homeowner’s insurance: $83

Example #2: Bigger Down Payment, Less Debt

Gross annual income: $100,000
Down payment: $40,000
Monthly debt: $300

Home budget: $333,212

Monthly mortgage payment: $2,333

Payment breakdown:

•   Principal and interest: $1,853

•   Property taxes: $208

•   Private mortgage insurance: $188

•   Homeowner’s insurance: $83

How to Calculate How Much House You Can Afford

You need a budget to find out how much house you can afford. Keeping a budget will show you how much you are spending each month versus how much income you have. Whatever you have leftover after paying essentials like food, clothing, and utilities is how much you can afford to spend on housing.

You can also use a mortgage calculator to help you. Just plug in your own numbers to find out what your monthly payments would be.


💡 Quick Tip: Not to be confused with prequalification, preapproval involves a longer application, documentation, and hard credit pulls. Ideally, you want to keep your applications for preapproval to within the same 14- to 45-day period, since many hard credit pulls outside the given time period can adversely affect your credit score, which in turn affects the mortgage terms you’ll be offered.

How Your Monthly Payment Affects Your Price Range

The more you can afford to pay each month for your mortgage and other housing expenses, the more house you can afford. However if you have significant debt payments each month, or you have a poor credit score that results in a higher interest rate for your loan, that will reduce the amount of loan you can afford and the price range.

Types of Home Loans Available to $100K Households

Four types of loans are the most common. These are conventional loans, FHA loans, USDA, and VA loans.

Conventional loans typically require a credit score of 620 or more, but the down payment can be as low as 3 percent. Remember that a lower down payment means higher monthly payments because you will have to borrow more.

FHA loans. With an FHA loan, home buyers with a credit score over 580 can borrow up to 96.5% of a home’s value. Home buyers with a lower credit score, between 500 to 579, can still qualify for a loan as long as they have a 10% down payment.

USDA: USDA loans are zero down payment financing for low-income borrowers in designated rural areas.

VA: VA loans also require no down payment and are available to qualified military service members, veterans, and their spouses.

The Takeaway

If you are looking to buy a home and would like a more realistic idea of what you can afford, first find out how much you are spending on necessities like food, clothing, transportation, and, most importantly, debt. What you have leftover is how much you can spend each month on housing expenses.

Once you have a grasp on your finances, you can use an affordability calculator to see how much of a house you can afford. The size of home that the amount will buy depends on the local housing market and the cost of living where you want to live.

Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

Is $100K a good salary for a single person?

A salary of $100k is above the national median income (according to Census data, the national median income was $74,580 in 2022). This is a good salary, but you still might struggle to buy a home in areas with a high cost of living. The larger down payment you have, and the better your credit score, the bigger house you can buy.

What is a comfortable income for a single person?

A comfortable income for a single person is dependent upon where that person lives. The findings from a study using data from the Bureau of Labor Statistics to calculate the cost of necessities to determine a living wage shows wide variance existing among states. According to the study, Hawaii is the most expensive state, and singles require an annual salary of $112,411 to live comfortably. In Mississippi, you can live comfortably on $45,906 a year.

What is a liveable wage in 2023?

A liveable wage will vary depending on where you live. However, the Massachusetts Institute of Technology determined that $104,07 per year was a liveable wage before taxes in 2022. This was for a family of four with two working adults and two children.

What salary is considered rich for a single person?

According to Internal Revenue Service data, an income of $540,009 per year puts a person in the top 1% earnings category.

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Photo credit: iStock/Prostock-Studio

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

⁺Lock and Look program: Terms and conditions apply. Applies to conventional purchase loans only. Rate will lock for 91 calendar days at the time of preapproval. An executed purchase contract is required within 60 days of your initial rate lock. If current market pricing improves by 0.25 percentage points or more from the original locked rate, you may request your loan officer to review your loan application to determine if you qualify for a one-time float down. SoFi reserves the right to change or terminate this offer at any time with or without notice to you.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

^¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
^†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.

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While there are many different methods for paying your credit card, it is not always straightforward to pay a credit card from another bank. This can be problematic, since credit cards are becoming more and more prevalent as many people’s preferred method of payment.

If you choose to pay your credit card from another bank via check or an automated transfer, it should be fairly simple to do. However, you may not be able to pay a credit card directly via a debit or credit card issued by another bank. You might wind up in the latter case using a cash advance, which will probably involve higher costs.

Read on to learn more about how to pay a credit card from another bank.

How to Pay Off a Credit Card With Another Bank

The easiest way to pay off a credit card from another bank is with a check, bill pay, or ACH transfer from your bank. While writing checks has become less popular, many banks offer a bill pay service that would allow you to have your bank send a check to pay your credit card bill.

If your credit card issuer allows it, you may also be able to enter your account and routing numbers on your online card account and have your payment directly drafted from your bank account.

When Should I Pay My Credit Card Bill?

Paying your credit card bill regularly is an important factor used in calculating your credit score. So it’s a good idea to either set up automatic payments that will pay your bill each month or to have a system that makes sure you complete those payments each month.

It can be extra important to pay off a large credit card bill, since the amount of your available credit that you’ve used is another factor that makes up your credit score. Your credit utilization ratio is how much you are carrying as a balance vs. your credit limit. It’s expressed as a percentage, and you’ll want to keep it as low as possible. Lenders typically like to see that figure as no more than 30% (10% is even better) when reviewing your finances.

Why You Should Pay Your Credit Card Bill on Time

One of the factors that is used to calculate your credit score is your payment history, and late payments can have a negative impact on your credit score. The way that most credit card payments work is that you often do have a grace period after the due date before your payment is reported as “late.” Still, you should do your best to pay your credit card bill on time, each and every month.

On-time payments are the single largest contributing factor to your credit score at 35%.

Why You Should Pay Your Credit Card Bill Early

In some cases, it can make sense to pay your credit card bill early, even before it is officially due. The 15/3 credit card payment method is one strategy that encourages users to make a second payment to their credit card account in the middle of the month. This can help to keep your credit card utilization ratio low, which can help build your credit score.

How Can I Pay My Credit Card Bill?

You have several different options for paying your credit card bill. Here are a few of the most common ways to pay your bill.

Online Payments

Probably the easiest way to pay your credit card bill is with an online payment.

•   Most issuers allow you to set up automated credit card payments by entering in your routing and account numbers in your online credit card account.

•   You may also be able to use your bank’s bill pay feature to pay your credit card bill online.

•   You may be able to use a debit card to pay a credit card in some cases. However, most credit card issuers are likely to prefer drawing directly from your bank account vs. deducting funds via a debit card.

Over the Phone

Many credit card issuers allow you to make credit card payments over the phone, using a touch tone keypad. You’ll need to have your bank’s account and routing numbers to pay over the phone.

With Cash

If you’re looking to pay using cash, you may have a more difficult time. One option might be to use your cash to buy a money order which you can mail to your credit card company to pay your bill. Or, your credit card company may have relationships that allow you to pay your bill at the customer service desk of certain retailers.

Can You Pay a Credit Card With Another Credit Card?

You generally cannot directly pay a credit card with another credit card. If you’re looking to use your available credit on one card to pay the bill of another card, you generally have two options — a balance transfer or a cash advance. Both of these options typically come with fees, so they should be used as a method of last resort in most cases.

Should You Carry a Balance on Your Credit Card?

While there may be some times that you will need to carry a balance on your credit card, you should avoid it when possible. Carrying a balance on your credit card raises your utilization rate, which generally has a negative impact on your credit score. That’s why, when possible, you want to know how to pay off a credit card from another bank every month and not carry a balance.

Another note: Remember that you’ll also be charged interest on any outstanding balance on your card. Credit card debt is typically considered high-interest debt, with rates currently topping 20% on average.

When Do You Receive Your Credit Card Bill?

With many credit card issuers, you receive a monthly statement around the same time of the month. Your credit card payment due date may be three weeks or more after that, and you may have a grace period after that before your payment is considered officially late.

If you don’t want to have to worry about remembering when you receive your statement or when your payment is due, you might consider setting up automatic payments.

Tips for Paying Credit Card Bills

One of the best tips for paying credit card bills is to set up automatic payments, or what may be called autopay. You can do that either through your bank or by entering your bank’s information in your credit card online account. Setting up automatic payments eliminates the chances that you will forget about making your payment and end up being charged interest, late fees, or both.

Recommended: Guide to Paying a Credit Card with a Debit Card

The Takeaway

The easiest way to pay a credit card from another bank is by using your bank’s account and/or routing numbers to transfer funds. You can either set up payments on your online credit card account using that account information or use your bank’s bill pay service to pay a credit card from another bank. There usually is not a way to pay a credit card directly with a debit card or another credit card, and the indirect methods may trigger fees.

Whether you're looking to build credit, apply for a new credit card, or save money with the cards you have, it's important to understand the options that are best for you. Learn more about credit cards by exploring this credit card guide.

FAQ

How do I pay my credit card bill with another bank credit card?

There is generally not a way to directly pay a credit card bill with another bank credit card. You can use a balance transfer credit card to transfer the balance of one credit card to another, but there are often fees associated with this. You could take a cash advance to pay a different credit card, but you’ll usually be charged fees and interest.

Can you pay a credit card online from a different bank?

Yes, it is often possible to pay a credit card online with the information from a different bank. Most credit card issuers allow you to set up payment information either over the phone or through your online account using your bank account’s routing number and your account number.

Can I pay my credit card bill with another bank debit card?

No, it is not generally possible to pay a credit card with a debit card, at least not directly. To pay a credit card from a different bank, you typically need to use your bank account details to set up a payment in your online credit card account, if your issuer supports that.

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Photo credit: iStock/VioletaStoimenova

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

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Credit card management apps can help you stay on top of your credit card balances, payment dates, and rewards. But as with most things in life, there can be pros and cons to using these apps.

Here, you’ll learn about the ins and outs of a credit card management app, plus some general tips to managing your credit cards.

What Is a Credit Card Management App?

A credit card management app can help you manage multiple credit cards that are in your rotation. You can think of the different credit card management apps falling into different categories.

•   The first group of credit card management apps is designed to track credit cards and help you stay on top of payments. Common features include tracking your credit utilization, payment due dates, payments, and remaining balance, and helping you stay on the path to repaying your credit card debt.

•   The next type is a money management app or debt tracker app. Both sync up to your credit cards and track recent credit card transactions, minimum payments due, and payment due dates. Some money management apps offer free credit score and credit monitoring. In turn, you can save time and stress wading through credit card statements.

•   There are also credit card management apps to keep track of your credit card rewards and travel points.

As you review different credit card management apps, some of the ones you may see are Tally, AwardWallet, and Debt Payoff Planner.

Many credit card management apps are free, though some have a monthly subscription fee. Prices for the programs that do require payment (and may come with extra features) can be about $30 per year, though costs run from $2 to $12 a month. Often, you can receive a discount for paying annually versus monthly.

Recommended: Mobile Banking Features

Common Features of Credit Card Management Apps

Here are some common features of credit card management apps:

•   Syncs to your credit card accounts. By linking your credit card accounts to the app, you can track transactions, such as recent purchases and refunds. Plus, you can see when your payments were posted.

•   Tracks your payment due dates. Many money management apps enable you to monitor when your payments are due. This might be a calendar view or a list of all your payment due dates and amounts.

•   Credit score and monitoring. Some money management apps offer free credit scores and credit monitoring, alerting you of when your score goes up or down. These alerts and checking your credit score regularly can help you pinpoint financial habits and patterns that might be impacting your score.

•   View credit card balances. A credit card management app can show not only your credit card balances but also the interest rates and credit utilization, which is how much balance you’re using against all your cards. It can also indicate how much of your credit limit you have remaining.

•   Tracks credit card points and travel rewards. Apps that track credit cards specifically can help you make the most of your credit card rewards. There are apps that also help you maximize your rewards points earnings on every card.

Recommended: Leveraging Credit Cards to Build Wealth

Benefits of Credit Card Management Apps

Here are the perks of adding a credit card management app to your toolkit.

•   Keeps you organized. You don’t have to muddle through a pile of credit card and bank statements to make heads or tails of when your payments are due and what purchases you put on your cards.

•   Makes it easier to keep track of credit usage. By using a single app, you won’t have to log on to all your different credit cards to see which purchases you’re putting on your cards, how much you owe on your balances, and your credit utilization, which is how much you’ve used of the credit limit on all your cards.

•   Helps pay off credit card debt quicker. Some credit card apps have handy features to help you knock down debt at a much speedier pace. For instance, the app might detect “extra funds” you have in a given month. That’s money you can put toward one of your outstanding balances.

•   Helps avoid falling behind on payments. With due dates and reminders to set on your app, you won’t be scrambling to remember when you need to pay off each credit card bill. In turn, you’ll have an easier time staying on track. Plus, you can consider setting up automated credit card payments.

Reasons to Use a Credit Card Management App

Here are a few reasons why you might want to consider linking up your credit card accounts to a credit card management app.

•   Tracking your transaction history at a glance. Instead of muddling through a stack of credit card and bank statements, you can see your recent purchases through a credit card management app.

•   Understanding your financial behaviors better. You can gain a better understanding of your spending habits (such as impulse buying) and how much credit card debt you owe at a given time.

•   Organizing your credit card account. You can stay organized with the payment schedule and the minimum payment amounts.

•   Managing debt. Some credit card management apps include debt tracker tools to help you monitor your progress on your different cards.

•   Optimizing credit card rewards. Credit card management apps might help you find ways to maximize your credit card rewards. You can calculate your rewards, stay on top of deals and offers, and integrate loyalty programs.

The Takeaway

A credit card management app can help you keep tabs on your credit cards without having to log in to multiple credit card apps or maintain a complicated spreadsheet. These apps can optimize your ability to stay on top of payments, monitor your credit usage, and make the most of a card’s rewards and perks.

Whether you're looking to build credit, apply for a new credit card, or save money with the cards you have, it's important to understand the options that are best for you. Learn more about credit cards by exploring this credit card guide.

FAQ

What is the app that combines all your credit cards?

There are a couple of apps that help you monitor all your credit cards and track your outstanding balances and credit usage. Some say their goal is to help lower your credit card payments and manage your debt.

Is it safe to have a credit card app on your phone?

It is generally safe to have a credit card app on your phone. Credit cards on mobile phones have the same fraud protection as online or in-store purchases. Your liability is capped at $50 for unauthorized transactions. Plus, thieves and fraudsters won’t be able to get their hands on your physical card and skim or steal it.

How do I manage all my credit cards in one place?

Using a credit card management app may help you stay on top of your credit card activity in one place. There are different kinds of such apps, which have varying features and tools, from rewards tracking to debt payoff strategies.

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Photo credit: iStock/Mindful Media

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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