Connecticut’s average salaries are among the highest of the nation, but so is the cost of living.

Connecticut residents’ average salaries are the eighth-highest in the nation, according to the U.S. Bureau of Labor Statistics. When adjusted for the high cost of living (Connecticut is the 11th-most expensive state to live in), Connecticut’s average salary becomes the ninth-highest in the United States because the dollar doesn’t stretch as far here.

Connecticut’s cost of living is calculated by dividing the state’s average wages by the cost of living index. The World Population Review sets the national average at 100 as a base to calculate the differences between states. The cost of living takes into consideration the amount of money needed for food, shelter, transportation and health care.

According to the U.S. Bureau of Labor Statistics, the average hourly wage in Connecticut is $36.56, with an annual mean salary of $76,050, behind states like Massachusetts, New York and New Jersey.

But when adjusted for the cost of living, the salaries in Connecticut are reduced to the equivalent of $32.56 an hour, or $67,720.39 annually, because the dollar doesn’t go as far. When the salaries of all states are adjusted for cost of living, Connecticut comes in above Massachusetts, New York and New Jersey but trails states including Minnesota, Virginia and Texas.

So, how much money do you need to live comfortably in Connecticut? Depends on how you define it.

According to MIT’s living wage calculator, the living wage represents the hourly rate an individual must earn while working full-time, around 2,080 hours per year, to support themselves and their family. 

Taking into consideration average spending in food, accommodation, transportation, medical and other expenses, the study shows that the minimum wage does not cover the cost of living in Connecticut.

The living wage would be the amount of money necessary to cover all expenses and taxes. For a family with two children and two working adults in Connecticut, each adult should earn about $73,000 to meet the living wage standard, according to the report.

In the case of one adult living alone, the minimum wage in Connecticut is 1.5 times lower than the living necessary to pay all of the average expenses. In the case of two adults with two children, the living wage necessary to maintain the family is about two times higher than the minimum wage. 

If a person decides to follow the 50/30/20 budgeting rule, allocating 50% of income to needs, 30% to wants, and 20% to savings or debt repayment, SmartAsset calculated that Connecticut ranks as the third-most expensive state for raising a family and the 11th state with the highest salary needed to live comfortably.

With this methodology, a single adult in Connecticut would need approximately $100,380 annually to meet the comfort threshold, while a two-parent household with children would require a combined income of $279,884, one of the highest in the country.