Is Six Figures Still the Dream? Why $100K Might Be the Wrong Goal
The Question That's Keeping You Stuck
Everyone's chasing $100,000, but here's the uncomfortable truth: you might be chasing the wrong number entirely.
You've probably set that six-figure salary as your career milestone. It feels significant, ambitious, like proof you've "made it." But what if I told you that fixating on $100K could actually be holding you back from making smarter career decisions?
This article is based on Episode 2 of What It Pays™ podcast. Listen to the full episode here, to hear the complete breakdown of salary data, inflation impacts, and why the median salary matters more than arbitrary round numbers.
As someone who's analyzed compensation data across industries from oil & gas to nonprofits to defense contracting, I've seen how this six-figure obsession creates blind spots that cost people real money and career growth. Let me show you what the data actually reveals.
The Reality Check You Need
What People Think They Need vs. What Half the Country Makes
A recent Bank Rate financial freedom survey revealed something startling: 26% of respondents said they need $150,000 or more per year just to feel comfortable. Sixteen percent said they need over $200,000. Eight percent claimed they need over $500,000 just to feel comfortable.
Here's the reality check: according to the Bureau of Labor Statistics, the median salary in the United States is $41,000 and change.
Let that sink in. Half of all workers in America make less than $41,000 per year. When a quarter of survey respondents say they need $150,000 to feel comfortable, they're talking about nearly four times what half the country actually earns.
The Inflation Argument (And Why It Misses the Point)
Yes, inflation is real. A $100,000 salary from January 2020 has the buying power of about $124,000 today. But focusing on inflation as the primary reason to chase six figures misses a much bigger issue: you might be optimizing for the wrong metric entirely.
The real question isn't whether $100K is enough after inflation. It's whether you're maximizing the career you actually have right now.
Why Six Figures Became the Standard (And Why It's Problematic)
The Psychology of Round Numbers
There's nothing magical about $100,000 except that it has six digits. It's become a cultural marker of success, fueled by comparison culture and social media. But here's what's problematic about this thinking:
$100,000 and $999,999 are both "six figures" but represent vastly different financial realities
The cost of living varies dramatically across states and cities
Different careers have different value propositions and earning potentials
Your current job might not warrant $100K—and that's not necessarily a problem
The Questions You Should Be Asking Instead
Rather than "Am I making six figures?" here are the questions that actually matter for your career and financial security:
Am I maximizing my current career? Do you even know what you should be getting paid given your skills, experience, knowledge, and abilities in your current role?
What's my comp ratio? This is where the real insight lives, and it's what HR professionals use to make compensation decisions.
The Comp Ratio: Your Real Career GPS
How to Calculate What Actually Matters
Here's the metric that will give you genuine career clarity: take your salary and divide it by the median salary for your position. This gives you your compensation ratio (comp ratio).
Comp Ratio = Your Salary ÷ Median Salary for Your Role
This number tells you exactly where you stand relative to the market, which is infinitely more valuable than knowing whether you've hit an arbitrary six-figure threshold.
What Your Comp Ratio Reveals
0.7-0.8: Typically entry-level positioning, appropriate for new graduates or career changers
1.0: You're earning the median—half of people in your role make more, half make less
1.2+: You're in the top tier, likely reflecting exceptional skills, experience, or performance
This framework lets you understand whether you're being paid appropriately for where you actually are in your career, rather than chasing a number that might not even be relevant to your field.
Real Data: What a Pharmacist Actually Earns
Breaking Down a Real Career Example
Recently, someone on Reddit posted the most basic salary question I've ever seen: "Pharmacist, what's your salary?" No context, no location, no experience level—just a desperate attempt to understand their earning potential.
Let me show you how to approach this systematically using real data:
National median salary for pharmacists: $137,480
But here's what matters more than that raw number: if you're entry-level, you shouldn't expect the median salary immediately. Using a 0.8 comp ratio for someone newer to the field, you'd be looking at approximately $110,000-$111,000 nationally.
Geographic Reality Check
Location dramatically impacts earning potential. For pharmacists:
Highest-paying states (median salaries):
California: $165,000
Alaska, Oregon, Washington: $150,000+
Hawaii: $150,000
Lowest-paying states (median salaries):
Louisiana: $107,000
Puerto Rico, Guam, US Virgin Islands: $107,000-$129,000
The difference between California and Louisiana represents a $58,000 gap—but cost of living adjustments mean both locations might offer similar quality of life.
Why Context Beats Arbitrary Goals
The Medical Field Reality
Pharmacists command higher salaries because they're literally helping save lives and maintain health. The skill set demands higher compensation. But even within this high-paying field, chasing "$100K" would be setting the bar too low in most markets.
This is why industry context matters more than round-number goals.
The Compound Effect of Getting It Right
Here's what most people miss: if you start your career underpaid or fail to maximize your current role, that deficit compounds every year. Each raise, each promotion, each career move builds on your previous salary. Starting from the wrong baseline costs you exponentially over time.
This is why understanding your current position through comp ratios matters more than future six-figure dreams.
Your Strategic Action Plan
Step 1: Know Where You Stand
Before chasing any salary goal, understand your current market position:
Research the median salary for your specific role in your geographic area
Calculate your comp ratio
Assess whether your ratio aligns with your experience and skill level
Step 2: Maximize Your Current Position
Rather than looking years ahead, focus on optimizing what's directly in front of you:
Are you being paid appropriately for your current role?
What skills or certifications could move your comp ratio higher?
Are there internal advancement opportunities you're missing?
Step 3: Use Data for Strategic Decisions
When evaluating job offers or career moves:
Compare comp ratios, not just raw salaries
Factor in geographic cost-of-living differences
Consider the long-term trajectory, not just immediate pay
Tools and Resources for Smarter Salary Decisions
What It Pays™ Platform Launch
We're launching comprehensive salary transparency tools that give you access to the data I wish I'd had throughout my career. The platform will include:
State-by-state salary comparisons for specific roles
Comp ratio calculators with industry benchmarks
Career tracking tools to monitor your salary progression over time
Goal-setting features based on actual market data
Anonymous salary submissions to help build community insights
Median Monday on Instagram
Every Monday, we post median salary data for different roles in different states. Follow @whatitpays on Instagram to get regular market insights that help you understand compensation trends in real-time.
Recent example: HR Benefits Managers in Florida. These regular data points help you understand market movements and benchmark your own situation.
The Bigger Picture: Your Career, Not Just Your Paycheck
Beyond the Numbers
Your career isn't just about hitting salary milestones—it's about building sustainable financial security while doing work that utilizes your skills and provides growth opportunities. Sometimes that means staying in a role that pays $85K but offers exceptional learning experiences. Sometimes it means taking a $120K job that's a dead end.
The key is making these decisions with complete information rather than chasing arbitrary benchmarks.
Avoiding Lifestyle Creep
Here's something most salary advice ignores: once you understand your actual market position and optimize your current role, avoid lifestyle creep. The goal isn't just to earn more—it's to build wealth and security over time.
Your Next Steps: From Confusion to Clarity
Start With Real Data
Subscribe to What It Pays™ podcast for regular deep dives into salary data, compensation trends, and career strategy insights.
Join our newsletter at whatitpays.com to get early access to our salary transparency tools and stay updated on market trends that could impact your career decisions.
Submit your questions to podcast@whatitpays.com. Whether you're evaluating a job offer, planning a career transition, or wondering if your current salary is fair, get expert analysis tailored to your specific situation.
Think Strategically, Not Arbitrarily
Instead of chasing round numbers like $100K, focus on:
Understanding your current market position
Maximizing your existing role
Making data-driven career decisions
Building long-term wealth, not just higher paychecks
Join the Community
Every time you engage with What It Pays™—whether through the podcast, newsletter, or upcoming platform—you're contributing to a movement that makes salary transparency accessible to everyone. Your participation helps create the system where fair compensation becomes the standard, not the exception.
The Truth About Six Figures
The six-figure dream isn't inherently wrong—it's just incomplete. For some careers and locations, $100K is entry-level. For others, it's an ambitious but achievable goal. For still others, it's not the right target at all.
What matters is understanding your specific situation, maximizing your current opportunities, and making strategic decisions based on real data rather than cultural myths about what success looks like.
Your earning potential is too important to base on arbitrary round numbers. Join us in building a world where every professional has access to the compensation data they need to make smart career decisions.
Ready to move beyond arbitrary salary goals and start making data-driven career decisions? Subscribe to What It Pays™ podcast and join the movement at whatitpays.com. Have questions about your specific salary situation? Send them to podcast@whatitpays.com for expert analysis.
