Managing your money wisely starts with understanding how you spend it. Let’s break down the common habits that can make or break your budget. Whether you want to save more, spend less, or just be more mindful of your finances, knowing these key habits is essential.
This guide will help you identify and change spending patterns that can impact your financial future. Let’s dive in and see how you can take control of your money.
Budget your money
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Budgeting helps you decide how to spend your income wisely. It ensures you have enough for essentials and don’t overspend. It’s a smart way to meet your financial goals.
To learn more: How to Budget Money and Still Enjoy Life
Cancel bills you can’t pay
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If you can’t pay a bill, contact your creditors to ask for cancellation. If that fails, explain why you missed the payment. With many unpaid bills, you may look at debt consolidation, but stop using debt as a form of payment.
To learn more: How to Get Out of Debt in 5 Easy Steps
Switch Banks
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Don’t pay for banking services. If you do, it’s time to switch to a credit union. They often offer better deals and lower fees.
To learn more: This is the Simple Answer…How Many Bank Accounts Should I Have
Insurance bundles
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Insurance bundles include different coverages like home, auto, life, and disability insurance. They often come with riders for income loss and medical expenses, providing comprehensive protection.
Switch banks to one with high APY
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Not investing in a high-interest account means losing money. Look for banks with a high APY (annual percentage yield) on deposits. This is a smart place to keep your rainy day fund.
Learn More: Breaking Down the Purpose of a Rainy Day Fund
Increase income
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Increase your income by finding a new job or starting a business. More income means more money to save or invest for your future.
To learn more: Explore the Many Ways to Make Money
Cut your bills
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The average person spends about $150 monthly on bills like electricity and gas. Cutting these expenses where possible can save you a lot of money each month. Look for others you can trim.
To learn more: What Are Fixed Expenses? How to Budget for Fixed Costs
Earn cash back on purchases
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Earn cash back on things you already buy using a credit card, debit card, or other means. It’s an easy way to get some money back on your regular purchases.
Learn More: 15 Most Effective Credit Card Hacks and Rewards
Make money on things you own
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Sell items you no longer need on eBay, Craigslist, or other sites instead of throwing them away. It’s a good way to make extra money.
Avoid unnecessary spending
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When you’re out, avoid places that tempt you to buy things you don’t need. Staying away from these places helps you save money and avoid impulse purchases.
Don’t buy things on credit
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If you can’t afford it, don’t buy it on credit. This way, you won’t end up paying more than what the item is worth due to interest and fees.
To learn more: 7 Simplistic Habits Needed for Debt Free Living
Save your spare change
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Save your spare change in jars. Over time, it adds up and can become a nice amount of money that you didn’t even miss.
To learn more: The Penny Challenge Will Easily Save More Than $650
Automate your budget
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Automate your budget to know what you have to spend. It helps keep your shopping in check and prevents impulse buying, making it easier to manage your finances.
To learn more: How to Budget Your Money With Percentages – Cents Plan Formula
Avoid fees from simple transactions
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Be aware of fees from credit cards, debit cards, and electronic check transactions. Avoid unnecessary charges by knowing what fees apply to your transactions and finding ways to minimize them.
Then Become Financially Sound
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These money management habits are solid and emphasize the benefits of saving money, spending less, and maintaining financial stability. This is how you want to live.
To learn more: How Quick can you Become Financially Sound?
Know someone else that needs this, too? Then, please share!!
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More importantly, did I answer the questions you have about this topic? Let me know in the comments if I can help in some other way!
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A solar power purchase agreement (PPA) is a financial arrangement in which a third-party owner installs, owns and operates a solar system on your property. Then, you buy the electricity generated by the system for a set period at a predetermined rate.
How does a solar PPA work?
When you sign up for a solar PPA, you’re typically entering into a contract for 10–25 years
. You agree to purchase the power generated by the solar system for the term of the contract, which is why it’s called a power purchase agreement.
Under a solar PPA, the solar company owns the system, so you’ll pay for the electricity even though it’s on your property.
Every month, the solar company will charge you a set per kilowatt-hour rate for the electricity the system produces. That rate is usually lower than what the local utility charges for electricity.
Your bills will vary from month to month, depending on how much electricity the system produces.
You’ll probably still get an electric bill from your utility. That’s because you’ll likely need to pull power from the electric grid at night or on cloudy days, when your solar panels aren’t producing enough electricity (or any electricity).
If the solar system generates more electricity than you’re using at any given time, you can sell that extra electricity back to the grid by taking advantage of net metering if your utility offers it
.
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Solar PPA pros and cons at a glance
Solar PPA pros
Solar PPA cons
Don’t have to spend thousands to buy and install the equipment.
Can’t take the solar tax credit, because you aren’t the owner of the equipment.
Electric bill savings.
Electric bill would probably be even lower if you owned the panels.
Fixed rate for electricity helps avoid rising utility costs.
Fluctuating monthly payments.
Easy sign-up.
Could be more complicated to sell your house.
No responsibility for maintenance.
Potential service issues.
Advantages of solar PPAs
With their relative ease of signing up and more immediate savings, solar PPAs can make solar more accessible. Chance Allred, chief experience officer at Sunrun, the largest U.S. residential solar installer, says that more of the company’s customers nationwide are now choosing a PPA over paying cash or getting a loan. Here are some reasons for that trend.
No upfront costs. Although the cost of going solar has come down, solar is still a big investment. The average preincentives cost for a home solar system in the U.S. at the end of 2023 was $34,122, according to EnergySage, a solar and home energy product comparison marketplace. Solar PPAs can let you enjoy the benefits of solar and savings on day one without that large upfront cost.
Electric bill savings. The monthly PPA payment should be lower than what you’re currently paying for electricity from the grid, which can save money every month.
Hedge against rising utility costs. Average U.S. residential electricity prices rose 6.2% from 2022 to 2023, according to the U.S. Energy Information Administration (EIA)
. Compared with electricity costs from utilities, PPA rates may be more predictable and rate increases lower.
Easy sign-up. It may be easier to qualify for a PPA than for a solar loan. “PPA applications can often be approved and signed in a single meeting,” Emily Moder, director of new market development at EnergySage, said in an email. However, it’s important to take the time to understand the PPA terms, Moder added.
No maintenance. The solar PPA company will monitor and maintain your system, so you don’t have to worry about what to do if something goes wrong. “PPAs tend to be better than solar leases in this regard because the customer pays a price per kWh and thus won’t need to pay if the system isn’t working properly,” said Roger Horowitz, director of Go Solar programs at Solar United Neighbors, a national nonprofit that helps people switch to solar.
Disadvantages of solar PPAs
Despite the many advantages, PPAs do have some disadvantages.
You won’t receive tax incentives. The PPA company is the equipment owner and gets the federal solar tax credit and state tax incentives for installing the system.
Lower bill savings. You may save less over time under a PPA than if you owned the system, because your electric bill savings will be partially offset by PPA costs.
Fluctuating monthly payments. Like your electric bill, your monthly PPA payment will vary depending on how much power your panels produce. With a solar lease or a solar loan, the monthly payments typically are fixed.
Property issues. If you own your solar panels, they may increase your property value. A PPA doesn’t necessarily provide this advantage, and it may even make it more complicated to sell your home. “A solar lease or PPA requires that you either pay it off or that the new buyer agrees to pay the monthly payments and take over the contract. This is more difficult in terms of a home sale than a system that you own that transfers with the home,” Horowitz said.
Service issues. Under a PPA, you depend on the solar company to accurately monitor your system and maintain it. Issues can arise if the company goes out of business or fails to maintain your system. “Other installers will not want to work on a system that you don’t own, and having another company work on your system could result in penalties per your agreement. This means that the service you get from the PPA company is very important — if they provide good service, you have a great provider that you can count on to keep the system running. If they don’t provide good service, you may be stuck in a very difficult situation with a long-term contract,” Moder said.
6 things to look for in a solar PPA
You’ll have a solar PPA for many years, so it’s a good idea to review the contract carefully before signing. Here are some key items to look for:
Solar company reputation. Research the company via the Better Business Bureau, and ask the company for names of customers you can call to discuss their experience.
Escalatorclauses. Many PPA contracts contain escalator clauses that increase the rate you pay for solar power by about 2%–5% per year
. PPAs without an escalator may start at a higher rate. The rate of increase under a PPA escalator might be lower than expected utility price increases.
Payment terms. Under a PPA, you only pay for electricity the system produces. That means if the system is producing less than expected or isn’t functioning properly, you won’t pay as much to the PPA provider. But some PPA companies estimate monthly use, according to EnergySage, so ask whether your monthly charges are based on actual energy output.
Contract term length. Solar PPA contracts can run for 10–25 years and may come with early termination fees. Think about your long-term plans for your home when considering the length of your PPA contract.
Your responsibilities. Check your contract for other homeowner responsibilities, such as keeping your roof free from shade, Horowitz said.
End-of-contract terms. Be sure you understand what happens at the end of the PPA term, what happens if your solar company goes out of business and what happens if you sell your home before the end of the PPA term.
Is a solar PPA right for you?
A solar PPA may be a good option for you if:
You don’t have the cash to buy solar panels.
You don’t qualify for a solar loan or don’t want to have loan payments. Although solar loans don’t require collateral, they often have minimum credit score requirements.
You don’t owe enough in federal income taxes to benefit from the federal solar tax credit.
You don’t expect to sell your home in the near future.
Frequently asked questions
How is a solar PPA different from a lease?
Under a solar PPA, you purchase the electricity generated by the panels on your property. That means that your PPA costs will vary every month depending on your system’s production. Under a solar lease, you pay a fixed monthly fee for your solar-generated electricity. Because of this, unlike solar leases, most PPAs don’t come with performance guarantees, according to Roger Horowitz, director of Go Solar programs at Solar United Neighbors, a national nonprofit.
How much can I save with a solar PPA?
How much you save depends on your energy use, your utility rates and your PPA contract terms. A recent study by the Lawrence Berkeley National Laboratory found that in 2021, the median residential solar customer who financed a system with a loan or third-party ownership saved $691 annually
.
What happens at the end of a solar PPA term?
When your PPA term ends, you can purchase the panels, have them removed or renew the PPA. Check your PPA contract to see which options the solar company offers.
There are quite a few homes throughout Minnesota that can be traced back to the legendary musician.
Paisley Park was Prince’s most famous property, with the 65,000-square-foot complex serving as his home, recording studio, and creative sanctuary.
But there was also his former Lake Riley mansion, his private retreat away from the public eye, plus a sprawling estate on Galpin Boulevard in Shorewood, the Purple Rain house in Minneapolis, and quite a few other, lower-profile properties mostly located around Chanhassen and Minnetonka.
Now, freshly landed on the market is a home that undoubtedly held a very dear place in the artist’s heart: a single-level 4-bedroom home in Golden Valley that Prince built for his mom, Mattie Della Shaw Baker.
Listed for a modest $699,900 with Coldwell Banker Realty’s Andrea Soule, the Golden Valley house has quite a few giveaways that it was once owned by music royalty. And its current owners took extra care in preserving some of the rockstar design elements after learning who the home’s former owner was.
Prince built the Golden Valley house for his mom, Mattie
Photo credit: Matt Sari / Square Feet Floor Plans
The Purple Rain singer, songwriter, and producer, born Prince Rogers Nelson, purchased the property back in 1985 and demolished the former structure to make way for the 3,231-square-foot home.
He then had the current house custom-built for his mother, jazz singer Mattie Della Shaw, who reportedly lived there with one of his brothers until she died, according to court documents filed in a legal fight against Prince’s estate after his death in April 2016. She passed away in 2002, at the age of 68.
The current owners weren’t aware of the home’s history
Photo credit: Matt Sari / Square Feet Floor Plans
When current sellers Alatheia Stenvik and Zachary Johnson bought their suburban Minneapolis home in 2020, they had no idea who its famous former owner was — until they signed the purchase agreement.
Nevertheless, the unique design, more reminiscent of music venues rather than suburban homes, drew them to the property. “It had this glamorous vibe to it unlike anything we’d seen before,” owner Alatheia Stenvik told Minneapolis’ Star Tribune. A vibe they sought to protect, even as they proceeded to renovate the 4-bedroom home.
The house retains some of Prince’s design choices
Photo credit: Matt Sari / Square Feet Floor Plans
“In our changes we didn’t want to take away the glam look it had. We wanted to keep the ambiance and its original style,” the owner said.
So they kept the home’s signature sunken living room — still outfitted with its original chandelier and railings — and the bold, black-and-white kitchen.
But it has quite a few upgrades
Photo credit: Matt Sari / Square Feet Floor Plans
“Our goal in all of the updates was to make it livable and clean, but we also wanted to keep all the original features of the home,” Stenvik told the Minnesota newspaper.
The couple installed new carpet throughout the house. They also painted the home and invested in some bigger upgrades — that included replacing the roof, gutters, and driveway, and adding a new bedroom in the basement.
Beyond the house’s glamorous past: The Specs
Photo credit: Matt Sari / Square Feet Floor Plans
Celebrity aspect aside, the home can hold its weight: Spanning 3,231 square feet, it comes with 4 bedrooms, 1 full bath and 2 half-baths, spacious living areas meant for entertaining, and 2 standout fireplaces, all set on a desirable corner lot near shops, restaurants, and a short drive to downtown Minneapolis. It also has a 2-car garage.
The outdoor areas
Photo credit: Matt Sari / Square Feet Floor Plans
Outside, a catwalk leads to a reinforced deck that can reportedly hold a hot tub. The lot spans 0.49 acres and backs up to a natural buffer by railroad tracks.
See also: Prince’s beach house in the Caribbean finds new owner, changes name to Emara Estate
It’s located in Golden Valley, Minn.
Photo credit: Matt Sari / Square Feet Floor Plans
Looking to build their own house on a farm, the current owners are ready to pass along the house to someone who can enjoy its many attributes — and great location.
Known for its dense suburban feel, many parks, and award-winning schools, Golden Valley is one of the best places to live in the Twin Cities metropolitan area. It’s also a stone’s throw from Minneapolis proper, making for an easy commute.
“A great home with its own unique place in local history”
Photo credit: Matt Sari / Square Feet Floor Plans
“Arriving at the property, the distinctive entrance welcomes you, evoking a sense of anticipation for what lies beyond the doors.”
“Inside, the large open layout, retro design elements like the sunken living room and unique bathroom tile, and catwalk to the deck, create the perfect setting for entertaining,” listing agent Andrea Soule says, before summing it up better than we ever could: “This is a great home with its own unique place in local history.”
Another Prince-owned house is up on Airbnb
Photo credit: Eric Ogden / Airbnb
If you’re not in the market for a new home but would love to walk in Prince’s footprints, Airbnb might have the answer. The vacation rental website has recently introduced Icons, a new category of extraordinary experiences for 2024 that will allow a few lucky travelers to stay in Prince’s Purple Rain house, among other equally desirable accommodations.
More stories
Earth, Wind, and Fire founder Maurice White lived in this Bel Air Ridge home for over 4 decades
Once home to Stevie Wonder, this Beverly Hills compound has views for days
From Jimi Hendrix’s Red House to Janis Joplin’s pink home, we revisit the most iconic rock star houses from the 1960
You need to understand your willingness, need, and ability to take portfolio risks. It’s an idea that straddles the line between personal preference and objective truth.
Let’s break down each of the three constituents, then put it all together with an example.
Need
Your need to take risks relates to the amount of objective investment growth required to meet your financial goals.
Understanding need starts with a comprehensive financial plan showing your projected cash flow over the next 10 or 20 years. Money in, money out, and most pertinent to today’s topic, your projected portfolio withdrawals. Those future portfolio withdrawals dictate your need for risk today.
For example: I’d argue that reader Vince (the star of Winning the Game: Retiring at 57 with $4.2M) had minor needs for investment risk. His asset base is very healthy, his withdrawals are proportionally small, and therefore, little risk is needed for Vince to meet his goals.
Whereas a family underfunded for their retirement goals might have either 1) an enormous need for investment risk or 2) the need to decrease their financial goals.
Need is about how much investment growth you require.
Ability
Ability is related to need, albeit on the opposite side of the coin. An investor’s ability to take risk is based on their capacity to withstand or recover from losses (either temporary or permanent). Need is a function of required growth, ability is a function of recovery from loss.
In general, the more assets you have, the greater your capacity to recover from loss. More assets = more ability for risk. That’s why certain high-risk, concentrated, and/or illiquid assets are only appropriate for investors with “excess capital.” Those investors are the only ones with the ability to take on that risk.
But for younger or newer investors, the ability to take on risk is directly proportional to their income and savings rate. They have long timelines of dollar cost averaging ahead of them. They have decades to make up for any losses. Their ability for risk is high.
Ability is about recovering from loss, either through excess current assets or a healthy stream of future saving.
Willingness
Willingness is the only subjective measure in today’s trio. It’s purely mental. How will you react to the higher volatility that comes with high-risk investments? Are you willing to stomach losses?
Willingness is not correlated with need or ability. That fact complicates the act of giving responsible financial advice. If someone’s need suggests large returns but their willingness cannot stomach any risk, how do we square that circle?
Willingness is the “personal” side of this personal finance topic. Need and Ability are both objective. Willingness is subjective. Each of your Willingness’s will be unique and different.
Putting It All Together
How do we combine these three factors to provide actual portfolio advice?
When I give advice, I do my best to collect both objective data and subjective feelings.
The objective data helps my colleagues and me assess Need and Ability. Based on those numbers, we can provide a range of portfolio allocations that should work well for the particular investor. e.g. “from 60% to 75% stocks, plus 35% to 15% bonds, plus 0% to 10% alternatives or private investments.”
Start with facts…
This objective portfolio range can then be combined with the investor’s subjective Willingness for risk. If they’ve voiced their opinion for high-octane risk-taking, we’ll advise them toward the aggressive end of our range. The more timid investor will be advised toward the conservative end of the range. Either way, we feel comfortable that the objective numbers will work out in their favor.
…then add feelings
But what if someone pushes back further, showing a Willingness outside our prescribed asset allocation range? There are a few outcomes from here:
Sometimes, we worry that a client’s hard-headedness prevents us from providing fiduciary advice. For example, one client insisted on selling to cash during the spring of 2020 (peak COVID-19 fright in the markets) and then insisted upon staying in cash. The lost all Willingness for risk. They ignored our cautions against this move. They ended up unhappy with their results, and we were unhappy they ignored us.
If a client only wants to push slightly outside our recommended range, we have a transparent and reasonable conversation. For example, an aggressive investor client asked to be invested in 100% equities despite our “max risk” recommendation of 80% stocks, 10% bonds, and 10% alternatives. That’s what their Need and Ability suggested. We discussed the pros and cons of our recommendation compared to their preference. We all understood each other, and ultimately invested their money in our stock portfolio per their preferred allocation – 100% stocks. We don’t want to make perfect the enemy of good enough.
If a client is more conservative than we recommend, that typically warrants a different conversation: you might not hit your stated goals on time. In that case, our recommendation is often based on their Need for long-term growth in order to fund retirement, afford the kids’ college, buy their dream lake house, etc. But if their Willingness is conservative, then their preferred portfolio likely won’t grow fast enough. Again, we hold an open and honest conversation; each conversation feels and sounds different.
The triad of Need, Ability, and Willingness isn’t perfect. But it’s a darn good start. Combining the objective and subjective reasons for risk and reward is a terrific framework for portfolio construction.
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-Jesse
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Rising prices and inflation are driving worries that money doesn’t go as far as it used to. But rest assured that $120,000 is considered a good salary, especially if you’re single and have no dependents. And by developing sound money habits now, you can help make the most of your income, no matter what it is.
Here’s a closer look at an annual salary of $120,000.
Is $120K a Good Salary?
A salary of $120,000 is nearly double the national average salary in the U.S. of $63,795, per the latest data available from the Social Security Administration. But how comfortably you’re able to live on that money depends on a number of factors, including how much debt you have, your family size, and how much your lifestyle costs in the area where you live.
A money tracker can help you with budgeting, monitoring spending, and keeping tabs of your credit score.
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Average Median Income in the US by State in 2024
The average pay for a worker in the U.S. varies by state, though no state comes close to $120,000. For reference, here’s a chart of the median household income in each state, according to the U.S. Census Bureau.
State
Median Household Income
Alabama
$59,609
Alaska
$86,370
Arizona
$72,581
Arkansas
$56,335
California
$91,905
Colorado
$87,598
Connecticut
$90,213
Delaware
$79,325
Florida
$67,917
Georgia
$71,355
Hawaii
$94,814
Idaho
$70,214
Illinois
$78,433
Indiana
$67,173
Iowa
$70,571
Kansas
$69,747
Kentucky
$60,183
Louisiana
$57,852
Maine
$68,251
Maryland
$98,461
Massachusetts
$96,505
Michigan
$68,505
Minnesota
$84,313
Mississippi
$52,985
Missouri
$65,920
Montana
$66,341
Nebraska
$71,772
Nevada
$71,646
New Hampshire
$90,845
New Jersey
$97,126
New Mexico
$58,722
New York
$81,386
North Carolina
$66,186
North Dakota
$73,959
Ohio
$66,990
Oklahoma
$61,364
Oregon
$76,362
Pennsylvania
$73,170
Rhode Island
$81,370
South Carolina
$63,623
South Dakota
$69,457
Tennessee
$64,035
Texas
$73,035
Utah
$86,833
Vermont
$74,014
Virginia
$87,249
Washington
$90,325
West Virginia
$55,217
Wisconsin
$72,458
Wyoming
$72,495
Related: Highest Paying Jobs by State
Average Cost of Living in the US by State in 2024
The average cost of living in the U.S. will affect how you feel about your $120,000 salary. And, like salary, it varies by state. Here’s a look at what a typical resident in each state spends on basic necessities, such as housing, food, and transportation.
State
Personal Consumption Expenditure
Alabama
$42,391
Alaska
$59,179
Arizona
$50,123
Arkansas
$42,245
California
$60,272
Colorado
$59,371
Connecticut
$60,413
Delaware
$54,532
Florida
$55,516
Georgia
$47,406
Hawaii
$54,655
Idaho
$43,508
Illinois
$54,341
Indiana
$46,579
Iowa
$45,455
Kansas
$46,069
Kentucky
$44,193
Louisiana
$45,178
Maine
$55,789
Maryland
$52,651
Massachusetts
$64,214
Michigan
$49,482
Minnesota
$52,849
Mississippi
$39,678
Missouri
$48,613
Montana
$51,913
Nebraska
$37,519
Nevada
$49,522
New Hampshire
$60,828
New Jersey
$60,082
New Mexico
$43,336
New York
$58,571
North Carolina
$47,834
North Dakota
$52,631
Ohio
$47,768
Oklahoma
$42,046
Oregon
$52,159
Pennsylvania
$53,703
Rhode Island
$52,820
South Carolina
$46,220
South Dakota
$48,997
Tennessee
$46,280
Texas
$49,082
Utah
$48,189
Vermont
$55,743
Virginia
$52,057
Washington
$56,567
West Virginia
$44,460
Wisconsin
$49,284
Wyoming
$52,403
Source: U.S. Bureau of Economic Analysis
How to Live on a $120K Salary
Chances are, $120,000 can easily cover an individual’s basic expenses with some money left over for entertainment and saving. But if you live in a pricey area or are trying to pay down debt, you may need to be more mindful about how you’re managing your money. The following tips can help.
Live below your means
You‘ve heard it before, but the most important part of living well at your salary is to make sure your expenses are less than your salary. Try to find housing and transportation that fits within your budget, use a budget to plan for expenses, and manage lifestyle creep as much as you can.
Have a contingency fund
Be sure you’re planning for the unexpected. Building an emergency fund can go a long way toward preserving your finances when tough times come.
Make a plan for your money
Making a budget — yes, even on a $120,000 annual salary — can help you use your money more effectively and make progress toward financial goals.
How to Budget for a $120K Salary
There are a number of budgeting methods you may want to try.
• 50/30/20 method: With a 50/30/20 budget, 50% of your money should go toward needs (housing, transportation, food, etc.); 30% to wants (spending money, self-care, eating out, and vacations); and 20% to savings and debt payments.
• Zero-based budgeting: In this type of budgeting, you give a job to every dollar you earn so that your income minus your expenses ends at zero.
• Envelope method: You specify how much money is allotted to a specific category; say, $300 for gas for the month. You can spend the designated funds until they’re gone. If you’re really disciplined, you won’t spend in that category again until the next month, when the money in the envelope is refreshed.
Of course, the best budget is the one you will follow. A budget planner app can help you stay on track and reach your goals.
Maximizing a $120K Salary
Making the most of a $120,000 salary depends on what your financial goals are and your stage of life. Do you want to:
• Save more money?
• Grow your net worth?
• Provide for a family?
• Enjoy eating out and/or nightlife?
• Afford a nice car and house?
To maximize a $120,000 salary, invest in the areas of your life that are important to you. Make a plan to spend money according to your values and be more frugal in the areas that are not as important to you.
Quality of Life with a $120K Salary
According to the World Health Organization, quality of life is about a person’s perception of their culture and value systems in relation to their goals, concerns, expectations, or standards. Translation: Your quality of life on a $120,000 salary may depend, in large part, on your perception of how good it is. If you’re able to feel optimistic with the amount of money you have, you’ll likely have a good quality of life.
Is $120,000 a Year Considered Rich?
Yes, $120,000 is a six-figure salary — and a good one for a single person — but is it enough to qualify you as “rich”? The truth is, rich is a relative term. Living well depends on how satisfied you are with your lifestyle and how much you’re able to save for a future self.
Recommended: How to Calculate Your Net Worth and Wealth
Is $120K a Year Considered Middle Class?
Middle class is determined by incomes that range from two-thirds to double the median income. It is also adjusted for family size. In the U.S., the median income is $74,580, which puts the range for the middle class between $49,745 and $149,160.
However, when adjusting for family size, a $120,000 salary for a single person puts you squarely in the upper class in every metro area in the United States.
Example Jobs that Make About $120,000 a Year Salary
According to data from the U.S. Bureau of Labor Statistics (BLS), there are a number of occupations whose salaries sit at or above $120,000 — some which could be a good fit for introverts.
Some examples include:
• Software Developer: $132,270
• Physician Assistant: $130,020
• Nurse Practitioner: $126,260
• Information Security Analyst: $120,360
• Actuary: $120,000
Recommended: What Is a Good Entry-Level Salary?
The Takeaway
Is $120,000 a good salary for a single person? Generally speaking, yes. It’s more than what a typical American worker earns and, depending on where you live, can provide you with a comfortable life. But even with a six-figure salary, you may want to consider ways to maximize your money. Sound financial habits like building up an emergency fund, saving for short- and long-term goals, and creating a budget are all good places to start.
Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.
See exactly how your money comes and goes at a glance.
FAQ
Can I live comfortably making 120k a year?
Living comfortably on $120K a year depends on various factors, such as where you live, how much debt you have, your family size, and how you live. Many singles will find $120K enough to live on in many areas of the country, but may need to be more mindful about their spending if they live in pricier areas like Los Angeles or New York City.
What can I afford with a $120K salary?
If you’re looking to buy a home with a $120K salary, your best bet is to talk to a lender and run some numbers. In addition to your income, your level of debt, down payment amount, loan type, and interest rate can all impact how much house you can afford. For a rough estimate, a 120K salary would give you $10,000 of gross income each month, which would mean you’re looking at a mortgage payment between $2,500 and $3,600 if you have no other debt. With interest rates at 7.00%, that translates to a mortgage of around $415,000.
How much is $120K a year hourly?
A $120K salary comes out to approximately $57.69 per hour.
How much is 120K a year monthly?
A salary of $120,000 per year works out to roughly $7,706 per month, after federal income taxes are taken out.
How much is $120K a year daily?
If you earn $120,000 per year, you would be paid around $462 per day.
Photo credit: iStock/Delmaine Donson
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Austin, Texas, is a city that captures the hearts of many with its unique blend of creativity, innovation, and southern charm. Known for its legendary music scene, vibrant tech industry, and welcoming community, Austin offers a lifestyle that is both dynamic and laid-back. Not sure if the city is for you? Read on to find out what to expect if you’re considering a move to the Austin area in 2024.
You know it from: Slacker, Dazed and Confused, Zombieland
Average 1 bedroom rent: $1,445 | Austin apartments for rent, Austin houses for rent
Average home price: $565,000 | Austin homes for sale
Average cost of full-service moving services: $126/hr for 2 movers
Average cost to rent a moving truck: $19 – $39/day
Top industries: Technology, Healthcare, Manufacturing
Move here for: Live music, the food, the nightlife
Be sure to bring: A bathing suit and an instrument
The heat can be oppressive and it will wear on you over time
Summers in Austin are brutal. There’s just no way around it. From late May through September, temperatures hover around 100°F. If you are moving from a cooler area such as New England or the West Coast, expect this to be an adjustment. Air conditioning is an absolute necessity here. While the intense heat can be daunting, the rest of the year is typically mild, with short, cool winters.
Moving Tip:Austin is the 2nd hottest big city in Texas, second only to El Paso. The city’s numerous swimming holes, like Barton Springs Pool and Deep Eddy Pool, provide popular escapes from the heat.
The music scene is legendary
Austin is known as the “Live Music Capital of the World” for good reason. The city hosts numerous music festivals, including the famous Austin City Limits (ACL) and South by Southwest (SXSW). The Old Settler’s Music Festival just outside of town is another highlight. On any given night, dozens of venues along Sixth Street and the Red River Cultural District are buzzing with live performances. Music lovers will appreciate the variety and frequency of shows, from local indie bands to international superstars. The city’s commitment to music extends to free outdoor concerts at places like Zilker Park and Auditorium Shores.
The cost of living is rising
While Austin had a long standing reputation for affordability. Whether you’re hoping to rent or buy in Austin, the influx of tech companies and new residents has driven up housing prices significantly. The average rent for a one-bedroom apartment is now just under $1,500, and home prices have seen double-digit increases year over year. Despite this, many still find Austin’s cost of living manageable compared to other tech hubs. However, potential movers should budget accordingly and consider exploring neighborhoods further from the city center for more affordable options.
Tech industry boom
Austin has become a major tech hub, earning the nickname “Silicon Hills.” Major companies like Apple and Google have established significant presences here, bringing high-paying jobs and economic growth. The job market is robust, particularly in tech and innovation sectors. For tech professionals, Austin offers exciting career opportunities without the astronomical cost of living found in Silicon Valley. Additionally, the city’s supportive startup ecosystem encourages entrepreneurship and innovation.
Community spirit
Austin prides itself on its community spirit and welcoming atmosphere. The city’s motto, “Keep Austin Weird,” reflects its embrace of individuality and creativity. Local events, such as the Pecan Street Festival and the ABC Kite Festival, foster a sense of togetherness. Neighborhoods like South Congress and East Austin are known for their eclectic mix of shops, restaurants, and street art. This strong sense of community is evident in the numerous local initiatives and volunteer opportunities available to residents.
Dogs are welcome here
Austin is known for being exceptionally pet-friendly. Many restaurants, bars, and even shops welcome pets, and there are numerous dog parks around the city. Red Bud Isle and Auditorium Shores are popular spots for off-leash play. Additionally, the annual Austin Pet Expo and events like Barks for Beers showcase the city’s love for pets. Pet owners will find a welcoming environment and plenty of activities to enjoy with their furry friends.
Beer, Tacos, and BBQ
The food scene in Austin is dynamic and diverse. The city is famous for its barbecue, with Franklin Barbecue often cited as the best in the country. Tacos are a staple, and places like Torchy’s Tacos and Veracruz All Natural are local favorites. Beyond barbecue and tacos, Austin boasts an excellent craft beer scene. A plethora of food trucks serve up a variety of cuisines, from Thai to vegan fare. Food festivals, such as the Texas Monthly BBQ Fest and the Austin Food + Wine Festival, further highlight the city’s culinary prowess.
Lakes, parks, and trails
Austin offers abundant outdoor activities, thanks to its numerous parks, lakes, and trails. Lady Bird Lake is a hotspot for kayaking, paddleboarding, and hiking along the Ann and Roy Butler Hike-and-Bike Trail. Zilker Park, home to the annual Austin City Limits Festival, provides green space for picnics, sports, and the Barton Springs Pool. The nearby Hill Country offers additional opportunities for hiking, camping, and wine tasting. Nature enthusiasts will find plenty to explore in and around the city.
You will probably need a car so be prepared for rush hour traffic
Austin’s rapid growth has led to significant traffic congestion. The city’s infrastructure struggles to keep up with the increasing population, especially during rush hour on highways like I-35 and MoPac. Public transportation options include buses and a limited light rail service, but many residents still rely on cars. Recent initiatives aim to improve the situation, including expansions to the light rail system and increased bike lane networks. However, you should be prepared for commute times that can rival larger cities.
Cultural diversity
Austin is a melting pot of cultures, which is reflected in its food, music, and festivals. The city’s diverse population includes significant Hispanic and Asian communities, contributing to a rich tapestry of cultural experiences. Festivals like the Austin Asian American Film Festival and the Texas Book Festival celebrate this diversity. This cultural blend makes Austin a vibrant place to live, offering residents a chance to experience a wide range of traditions and cuisines.
Growing bike-friendly options
Austin is increasingly becoming bike-friendly city with an extensive network of bike lanes and trails. The city’s B-cycle bike-sharing program makes it easy to get around without a car. The Veloway and the Southern Walnut Creek Trail are popular routes for both casual riders and serious cyclists. The city also hosts events like the annual Austin Bike Fest, promoting cycling as a sustainable and enjoyable mode of transportation. For those moving to Austin, investing in a good bike can enhance the living experience.
Creative and artistic vibes
Austin’s artistic community is thriving, with countless galleries, theaters, and street art installations. The East Austin Studio Tour and the Blanton Museum of Art are just a couple of highlights. The city also hosts various film festivals, including the Austin Film Festival, which attracts filmmakers and cinephiles from around the world. Street art, particularly in neighborhoods like the HOPE Outdoor Gallery, adds to the city’s creative atmosphere, making it an inspiring place to live.
Higher ed excellence
Austin is home to several highly regarded educational institutions, most notably the University of Texas at Austin. UT Austin is a major research university with a diverse range of programs and a vibrant campus life. The presence of such a large university contributes to the city’s youthful energy and provides ample opportunities for continuing education and professional development. Additionally, the city has strong public and private school systems.
Active nightlife
The nightlife in Austin is energetic and varied, catering to a wide range of tastes. Sixth Street is famous for its bars and live music venues, while the Warehouse District offers a more upscale experience. Rainey Street, known for its bungalow-style bars and food trucks, is a favorite among locals and visitors alike. Whether you’re into dancing, live music, or a quiet drink at a speakeasy, Austin’s nightlife scene has something for everyone.
A commitment to sustainability
Austin is dedicated to environmental sustainability, with numerous initiatives aimed at reducing the city’s carbon footprint. The city has a robust recycling program and incentives for using renewable energy sources. Community gardens, farmers’ markets, and composting programs are also prevalent. The Sustainable Food Center and the Austin Zero Waste Alliance are just two organizations working towards a greener Austin. Residents who prioritize eco-friendly living will find plenty of support and resources in the city.
Methodology: Average rent prices sourced from Rent.com July 2024. Home prices sourced from Redfin July 2024. Average moving costs sourced from MoveBuddha. Employment data sourced from Gravity USA.
Collection accounts are bad for your credit score. These negative marks on your credit report indicate you might not pay your bills on time—or ever, which is why lenders don’t like to see them.
Collection accounts can stay on your credit report for up to 7 years. This makes it harder to get approved for credit during that time. Learning how to remove collections from your credit report can help you clean up your credit history and open better financial doors in the future.
What Are Collection Accounts?
When a lender doesn’t receive payments for a line of credit, they may choose to eventually sell that credit to a debt collection agency to get some of their money back. That line of credit will then be reported to the credit reporting bureaus as a collection account—a collections account for a credit card, personal loan, etc.—and the debt collection agency will then try to collect on that debt for themselves.
For you, that means that if you have a debt in collections you may have the collections agency contacting you to collect on your debt, and your credit score will likely have gone down because of that collections account.
How to Remove Collections from Your Credit Report
Before we get into the nitty-gritty, we need to level with you. Collection accounts aren’t easy to remove. Before you proceed with an action plan, make sure your expectations are realistic. If a collection account on your credit report is accurate and you pay it off, it won’t just disappear. To remove an item completely, you’ll have to negotiate with the debt collection agency and ask for a goodwill removal.
If you have a lot of inaccurate collection accounts on your report, you might need help from a reputable credit repair agency. Credit repair agencies can help navigate credit bureau territory, and they frequently can help consumers understand how to handle trickier situations.
But if you’re committed to a DIY approach to collection removal, the following steps may help you clear up your credit profile.
1. Review Your Credit Report and Validate the Accurate Data
Obtain copies of your credit reports from all three credit bureaus—Equifax, Experian, and TransUnion. Each credit bureau has different information about you. Therefore, if you challenge an unsubstantiated collection account on all your credit reports, you’ll have to create disputes with each bureau.
You’re entitled to one free copy of your credit report per bureau each year. To get your credit reports, head to AnnualCreditReport.com. You’ll be able to view all the information on file about you at each agency—but you won’t see your credit scores. To see a quick credit snapshot and your informational credit score, sign up for Credit.com’s free Credit Report Card, too.
Review the items on your credit report to make sure they’re accurate.
Do you recognize the listed lenders?
Does your account information seem accurate?
Are all the items on your report familiar to you?
If you fell behind with payments on an account, when did it happen?
With all that information in hand, you’ll be ready to make your next move.
2. Dispute Inaccuracies
Credit bureaus aren’t allowed to report inaccurate or incomplete information. Therefore, if any of the information you see on your credit report is inaccurate or incomplete, you have the right to challenge the accuracy of that item. When a credit bureau receives a challenge, it has between 30 and 45 days to investigate and confirm—or correct—the information it holds on file about you.
You can dispute inaccuracies online or by sending a letter. If you choose the online route, sign up for a free account with each credit bureau and follow their process for filing an online dispute.
If you choose to send a letter, include all of the following:
A copy of your credit report with the inaccurate information circled
Identifying information about the inaccurate account, including the account number
Why the information is inaccurate
What you want the credit bureau to do—remove the information or edit it for accuracy
Any backup documentation that illustrates you’re correct in your dispute
3. Send a Pay for Delete Letter
You can’t get accurate information removed from your credit report through a dispute. However, you may be able to get a debt collection agency to remove a collection from your report if you agree to pay the debt.
Here’s how to remove paid collections from your credit report—or at least try to do so:
Send a letter to the debt collection agency or ask via phone for this option.
If the agency agrees, get the agreement in writing.
Pay the debt
Follow up to make sure the debt is removed from your report.
Note that this is a long shot, as many debt collection agencies won’t change accurate information on credit reports. The agency may have an agreement with the credit bureaus not to do so.
4. Pay Down the Collection Accounts
If you can’t get a paid collection account removed from your credit report, it may be a good idea to work on paying it. A collection account that is paid looks less negative on your credit report than an account that’s still open. Therefore, this may earn you a bit of goodwill with future creditors. Plus, a paid collection account may have a smaller impact on your credit score than an unpaid collection account.
5. Ask for Goodwill Deletions
If you have an excellent credit history, you may be able to get the original creditor or collection agency to remove the derogatory mark as a favor or act of “goodwill.” You’ll generally have to pay the collection account off first, though, if you haven’t already done so.
If you have an otherwise blemish-free credit history, go ahead and ask the financial institution for a goodwill deletion. Removal after payment might be against their rules—but goodwill deletions might not be, and it never hurts to ask. You can find goodwill letter templates online to help you communicate with your lender.
6. Don’t Be Afraid to Wait and Check Back
Waiting might not be an instant fix, but it’s usually a successful tactic. After seven years, most collection accounts fall off your credit report—so if you’re closing in on seven years, just hang on. The impact on your credit score is probably already lessened. After the collection account disappears, your credit score might improve.
FAQs
What Are Debt Collection Agencies?
Debt collection agencies are third parties that work to collect old debts. In many cases, they buy old debts from creditors at a fraction of the actual debt value, hoping to collect the debt and make a profit.
For example, say a credit card company has $100,000 in consumer account debt that’s at least 180 days past due. These debts are in default. The credit card company may package this debt and sell it to a debt collection agency for $10,000. The company doesn’t believe it will collect the debt and doesn’t want to spend the money to chase it.
The debt collection agency does chase the debt. Even if the agency collects only $20,000 of the original $100,000, it makes a profit.
What Does It Mean to “Go into Collections”?
If you find out that your debt has gone into collections, it can mean one of several things:
Your creditor may have moved the debt from the regular billing department to an internal collections department. This is an escalation that means the creditor may take further action to collect the debt.
Your creditor may have hired a third party to collect its old debts and sent your account to them. The creditor still is overseeing the effort, but the third party is handling the collection activity.
Your creditor may have sold the debt to a debt collection agency.
How Does Debt End Up in Collections?
Debt ends up in collections when you fail to pay the debt as agreed. This can happen when you don’t make payments for a period of time. Generally, missing a single payment and catching up won’t mean your debt ends up in collections. Most lenders wait until you’re several months behind before taking action.
Debt also can end up in collections by mistake. Typos, paperwork issues, or lost payments could lead to your debt ending up in collections or a collection being listed on your credit report. This is why it’s important to regularly keep an eye on your credit reports.
Can I Have a Paid Collection Removed from My Credit Report?
If you pay your collection account off, you might be able to get the collection agency to remove the negative item from your credit report at the same time. Sometimes, collection agencies offer. to remove negative items to sweeten the deal.
On other occasions, collection agencies claim they can’t remove negative items, even if accounts are fully paid. Lenders and collection agencies often can take this step if they’re willing to, so if you receive a stonewall response, restate your case to the agent’s supervisor or manager.
If you do negotiate to have the account listing removed or modified, make sure you get the agreement in writing.
How Many Points Can My Credit Score Increase if a Collection Is Deleted?
When collection accounts get removed, credit scores can increase. In other words, as long as collection accounts stay on your credit report, they can hurt your score.
How much your credit score will go up depends on a number of different interlocking factors. Late payments and collection accounts make up 35% of your FICO score, though, so removing a collection account can often achieve a positive result.
If you’re not able to get a collection account removed, don’t despair. The older the account gets, the less it’ll affect your score—and after seven years, it’ll likely vanish.
How Long Does It Take for a Paid Collection to Come Off Your Credit Report?
Collection accounts stick around for about seven years after the last payment date on your delinquent account. Remember—every time you make a payment on your collection account, that timer resets, so if you do intend to settle a genuine debt, do so as quickly as possible.
Payments that are 30 or 60 days late won’t generally affect your credit score as much as payments that are more than 90 days past due. If possible, catch up with your payments within a month or two—and certainly before your account goes to collections.
Maui, the second-largest island in the Hawaiian archipelago, continues to rebuild as we approach the one-year anniversary of the devastating fires that swept through the island in 2023.
And demand is picking up, with wealthy buyers eyeing idyllic vacation homes on the island — particularly in resort developments and fire-protected areas.
A stand-out area where demand is booming is Kapalua, a resort development set in one of Hawaii’s largest nature preserves that features a necklace of stunning white sand beaches, two marine sanctuaries, prime real estate, and two world-class golf courses.
“Kapalua has experienced a surge in demand over the past five years, driven by its temperate climate, sandy beaches, world-class golf courses, and expansive ocean views,” says local real estate agent Chelsea Dimin with Compass. “This is reflected in the increase of the cost per square foot from $839 in 2021 to $1,334 in 2024.”
Buyers looking for exceptional vacation homes in Kapalua have a new option, and it comes with two prime lots in Maui’s elite Plantation Estates community.
Priced at a hefty $25 million, the architecturally distinct home is known as Blue Rock Lodge and proudly sits on a generous 4.35 acres of land. And we’re here to give you a quick tour.
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A sanctuary of Hawaiian tranquility
Photo credit: Andrew Keith / Compass
Rightfully touted as a “private resort-like haven where contemporary refinement meets Hawaiian tranquility”, the Maui estate sits on two prime lots — totaling 4.35 acres — in Kapalua’s exclusive Plantation Estates.
Anchored by an elegant 7,000-square-foot architectural home, and featuring orchard pathways winding through 16 varieties of mature fruit trees, a versatile pool house, a grand library, and a five-car garage, the property is listed for $25 million with Chelsea Dimin of Compass.
The main house offers indoor-outdoor living
Photo credit: Andrew Keith / Compass
The approximately 7,000-square-foot main house showcases expansive covered lanais with breathtaking ocean views. With 3 bedrooms and 5 baths, a grand library, quiet reflection spaces, the elegant home has been designed with indoor-outdoor living in mind.
Elegant, sophisticated interiors
Photo credit: Andrew Keith / Compass
Inside, 13-foot walnut wood ceilings, 11-foot sliding doors, and Turkish Travertine floors define the main spaces, accentuated by hand-blown Venetian glass chandeliers, marble countertops, and onyx walls.
See also: This Zen Hawaii home with a waterfall right outside its window is pure house goals
Outdoor amenities include a massive pool
Resort-like amenities include a 1,320-square-foot pool and spa outside, while the primary bathroom features a 15-foot rain shower, deep soaking tub, and lavish dressing room for a spa-like experience, with a cold plunge pool, and an aromatherapy steam shower.
Also worth noting, in case the future owner loves entertaining guests and throwing large events: there’s a total of five kitchens, thoughtfully positioned throughout the property.
Set in the luxurious Plantation Estates resort community
Photo credit: Andrew Keith / Compass
The property is located in Kapalua’s prestigious Plantation Estates, known as one of Maui’s most prestigious developments. It’s also one of the priciest, commanding selling prices 36% higher than the rest of Kapalua. And prices are inching up year over year.
“In Plantation Estates, the average sales price has soared to $7.68 million, a 38.4% increase over the last three years,” listing agent Chelsea Dimin tells us. “This exclusive neighborhood currently has two active listings averaging $15,825,000, with an average market time of 82 days. In contrast, the broader Kapalua market has 10 single-family homes for sale, averaging $13,538,000 and 181 days on the market.”
It has the potential to set a new record for the upscale enclave
Photo credit: Andrew Keith / Compass
Even for the ritzy area it’s set in, Blue Rock Lodge has all the hallmarks of a record-breaker — and could potentially set a new record it is sells for anything close to the full asking price ($25 million).
Currently, Plantation Estate’s most expensive home ever sold closed last year for $24 million.
Demand is high for luxury homes in the area
Photo credit: Andrew Keith / Compass
“Despite the market slowdown after the Maui fires last August, demand for Kapalua properties, especially in fire-protected areas like Plantation Estates, remains strong,” Chelsea says, before adding that “Over the past year, nine single-family homes sold in Kapalua with an average price of $4,928,333.” Which means potential buyers shouldn’t sit too long on this one.
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‘Rich Dad, Poor Dad’ author Robert Kiyosaki selling oceanfront home in Hawaii for $7.35M
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A modern tropical retreat: Inside TOMS Shoes founder Blake Mycoskie’s house in Costa Rica
Have you wondered what to do with your old VHS tapes? Here are the best places to sell VHS tapes for cash. Whether you want to declutter your space or make extra cash, I have got you covered. From Facebook Marketplace to Reddit, I’ll walk you through the different places where you can sell VHS…
Have you wondered what to do with your old VHS tapes? Here are the best places to sell VHS tapes for cash.
Whether you want to declutter your space or make extra cash, I have got you covered. From Facebook Marketplace to Reddit, I’ll walk you through the different places where you can sell VHS tapes.
Some VHS tapes may only sell for $1, whereas others have sold for over $10,000 (I’m not kidding!). So, it may be worth it to see what you have!
In this article, we’ll go over the strategies to turn your old VHS tapes into cash and learn things like:
Best places to sell VHS tapes
How much you can make selling VHS tapes
Which old VHS tapes are worth the most money today
Recommended reading:
Best Places To Sell VHS Tapes
Below are the best places to sell VHS tapes for extra money.
1. eBay
eBay is one of the best platforms for selling items like VHS tapes due to its massive global audience. This means more eyes will see your listing and increase your chances of selling VHS tapes.
Also, eBay is a trusted platform (pretty much everyone has heard of this site), so the seller and buyer have confidence in the purchasing process.
To sell a VHS tape on eBay, create a listing providing important details like the title, condition, if the VHS tape is still in its original packaging or shrink-wrap, and any other important information. You’ll want to make sure to include high-quality photos of the tapes to give potential buyers a good idea of what they might purchase.
2. Amazon
Yes, you can sell VHS tapes on Amazon. Keep in mind that Amazon has specific requirements for selling VHS tapes, including condition, packaging, and fulfillment methods.
Selling on Amazon has a lot of benefits, including:
Large customer base, giving you access to millions of potential buyers
Amazon FBA (Fulfillment by Amazon) program, so you can store items in Amazon’s fulfillment centers, allowing for faster shipping
While Amazon charges for selling on their platform, their fees are competitive relative to other platforms
Amazon handles customer service inquiries and returns
People trust Amazon, which lends credibility to your listings
To successfully sell VHS tapes on Amazon, you need to create an Amazon Seller Account, create listings for your VHS tapes, and choose fulfillment options.
3. Etsy
You can sell VHS tapes on Etsy as long as the VHS tape is unique or vintage (which, I would think would be almost any VHS tape because almost all of them would be vintage?).
Etsy is a great place to sell VHS tapes due to the collectors’ audience and people who appreciate nostalgic items like VHS tapes. I just looked and there are a lot of VHS tapes for sale on Etsy, so this is definitely a popular spot to buy and sell VHS movies.
To get started selling VHS tapes on Etsy, you need to create an Etsy seller account, set up your shop, list your VHS tapes, price your items, and have great customer service (of course).
4. Facebook Marketplace
Selling VHS tapes on Facebook Marketplace is a great idea because of the large customer base, but also the ability to sell locally.
So, if you want to sell your VHS tapes near you, then this is a great place to start.
To get started selling on Facebook Marketplace, you need a Facebook account (which, you probably already have). Then, head to the Facebook Marketplace tab and create a listing. You’ll fill out required fields like title, price, category, description, and location. Add high-quality photos and provide details on the VHS tape such as the condition and any special features.
5. VHS fan’s Facebook groups
Yes, there are VHS fan’s Facebook groups, and quite a few. This is one of the best places to sell VHS tapes online for cash. These groups help you connect with VHS fans to buy, sell, and trade VHS tapes.
Here are a few VHS fans’ Facebook groups:
There are many VHS-related groups on Facebook, so make sure to search for groups using keywords like “VHS collectors” or “VHS tapes”.
6. Garage sale
One of the easiest and best places to sell VHS tapes for cash is by having a garage sale.
Selling VHS tapes at your very own garage sale is a great idea because you’re selling locally, don’t have to worry about shipping, and can get cash right away for it. You can also sell any other items around your house and de-clutter with a garage sale.
To have a successful garage sale, here are some helpful tips:
Promote your garage sale on local Facebook groups, flyers around town, and community bulletin boards
Set up items neatly so they are easy to browse
Price items appropriately by seeing what similar items go for online and at other garage sales
Be flexible with negotiations
Post up signs around your neighborhood so people know where your garage sale is and more importantly, take down the signs when the garage sale is over.
Now, you most likely won’t get the most amount of money per VHS movie that you sell (typically, you would sell them for $1 or less, depending on the movie), but if you have a lot of VHS tapes to sell, then this can be a quick and easy way to get rid of them.
7. Mercari
Mercari is a great app for selling VHS tapes. It has millions of users, so lots of people can see your tapes. It’s easy to list items on Mercari, and they offer different shipping options. You can even use prepaid labels to make shipping faster and easier.
Mercari has seller protection policies to keep you safe from fraud. These protections help with disputes, unauthorized returns, and fake transactions. You can set your prices, and there’s a “Make an Offer” feature to help you sell faster. This makes Mercari a safe and flexible place to sell your items.
8. Pawn stores
Pawn stores are a great place to sell VHS tapes if you want quick cash. You don’t have to worry about shipping, and you can negotiate the price. There might be several pawn stores near you, so you can check which one offers the most money for your tapes.
There are some downsides to selling VHS tapes to a pawn shop. You might get less money than you would online because the pawn shop needs to make a profit. Also, pawn shops might not focus on VHS tapes (after all, they do need to sell them, and how many people go to a pawn store to buy an old VHS tape? Probably not many.), so it’s a good idea to call ahead and check before you go.
9. OfferUp
OfferUp is great for selling VHS tapes because it connects you with local buyers. This means you don’t have to deal with shipping.
You can also negotiate prices on the app and attract more buyers. Plus, there are no listing fees or commissions, so you keep all the money you make.
10. Thrift stores
Selling your VHS tapes at thrift stores can be a good option, but you need to check their policies and see if they accept VHS tapes for donation or purchase. Not all thrift stores buy VHS tapes due to limited demand space constraints, or the condition of your VHS tapes.
Before driving to any thrift stores, contact them or check their website to see the buying policies. If thrift stores do accept VHS tapes, they’ll likely have specific criteria for what they can accept, such as popular titles, condition, or collectible editions. You need to also keep in mind that thrift stores will offer a lower price than what you’d earn if you sold on a marketplace.
My sister has sold many VHS tapes to thrift stores over the years, so I know this is a real way to make extra money selling VHS tapes.
11. Antique stores
If you’re having a hard time selling your VHS tape on a marketplace, you may want to try selling VHS tapes at antique stores. There may be an antique store in your area that sells VHS tapes or you could even set up a booth.
Before heading to any antique stores, call them and ask if they accept VHS tapes. Some antique stores may not accept these items since they are not officially considered antique and their clientele are usually looking for rare and historical items.
I have personally seen many VHS tapes for sale at antique stores, but I do not know how well they sell.
12. Craigslist
You can sell VHS tapes on Craigslist and find local buyers. Just go to the Craigslist website, click on the “For Sale” section, and create a new listing. You’ll want to write a good title, set a price, and add details about the tapes.
When selling items on Craigslist, it’s important to choose a meeting place. Pick a well-lit, public spot like a police station parking lot. This helps keep both you and the buyer safe.
13. Flea markets
Flea markets are a popular spot for selling VHS tapes and if you have a lot of VHS tapes, this could be a good spot to sell. You’ll want to research flea markets in your area and check their website for info on vendor requirements and booth rental fees.
When setting up your flea market booth, organize your VHS tapes by categories or genres to make browsing easier for shoppers. Price your tapes based on their condition, rarity, and demand.
14. Reddit
Believe it or not, you can sell VHS tapes on Reddit through the r/VHS subreddit. You’ll need to join Reddit and subscribe to the VHS subreddit. Then, you can create a selling post detailing the VHS tapes you’re selling. You’ll want to include important information like titles, genres, conditions, and any special features.
My sister has actually bought an old VHS movie from Reddit. She couldn’t remember the name of it and posted it in a forum with some hints. It was a favorite movie of hers, and she and her friends were trying to remember the name. Someone commented and instantly knew the name, and they also had it for sale. She bought it and it was a win-win for everyone!
Frequently Asked Questions
Below are answers to common questions about selling VHS tapes for money.
What is a VHS tape?
VHS stands for Video Home System. It’s a kind of tape used to watch movies at home. VHS tapes come in plastic cases with reels inside, and the tape has a magnetic coating to store video and sound. People used these to watch movies in the 90s and early 2000s with their VCR.
Do people really buy old VHS tapes? Why?
Although VHS tapes are not nearly as popular as they once were, people still love buying them. Just like people are getting back into records and record players for music, VHS tapes are making a comeback due to their nostalgia and hipster vibe. People also like collecting VHS tapes and use them as a way to preserve this type of media.
Is it worth selling old VHS tapes?
Yes, it can be worth it to sell old VHS tapes, especially if you have a lot of them cluttering your home. You may even have a rare VHS tape that’s worth a decent amount of money.
How do I know if my VHS tapes are worth money?
It’s easy to find out if your VHS tapes are worth money with a quick Google or eBay search. To see if your VHS tape is worth money, you can do the following:
Search the title of your VHS tape online
Look up your VHS tape on a marketplace to see similar listings
Look at price guide sites like PriceCharting.com
Think about the condition of the VHS tape (does the movie actually play or is it broken?)
What old VHS tapes are worth money today?
The types of old VHS tapes that are worth money include limited editions, out-of-print titles, cult classics, foreign films, movies that are a part of a VHS collection, Disney movies, and early releases. Blockbuster films from the 1970s-1980s, 1980s horror films, and VHS tapes that are still in packaging can go for a lot of money too sometimes.
Some examples include:
The Goonie’s
Dumbo
E.T.
101 Dalmatian’s
Back To The Future
The Lion King
The Fast and the Furious
Beauty and the Beast
Star Wars
Alladin (1992)
Twister
A Nightmare on Elm Street
For example, there’s a listing for The Goonies (first print, graded, etc.) on eBay priced at $28,500. However, you can also find used copies selling for around $50, which is still a decent amount of money for an old VHS tape!
Is there a collectors market for VHS tapes?
Yes, there is a collectors market for VHS tapes. People gravitate toward VHS tapes due to their nostalgia, physical media appeal, rarity, and exclusivity. Certain VHS tapes can be worth quite a lot of money, even in the $10,000+ range.
What Disney VHS is worth the most?
Several Disney VHS tapes are valuable among collectors, such as:
Black Diamond Collection (tapes released in the 80s with titles such as Beauty and the Beast, The Little Mermaid, and Aladdin)
Limited Edition releases (titles like The Lion King, Snow White and the Seven Dwarfs, and Cinderella)
Banned or recalled tapes (movies like the original The Little Mermaid)
Best Places To Sell VHS Tapes – Summary
I hope you enjoyed this article on the best places to sell VHS tapes to make extra money.
Selling VHS tapes can be a great way to make extra money and declutter your home. I highly recommend that you research your titles (if you have the time!) thoroughly so you’re getting a fair price for your VHS tapes.
There are many online marketplaces, auctions, and even local stores where you can sell your VHS tapes. Some are worth more than others, such as tapes that had limited releases or are in mint-condition.
Are you interested in selling VHS tapes for money?
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