Q:

What does "six figures" mean?

A:

Quick Answer

Six figures refers to a number that is six digits long, and the term usually refers to an annual income amount. Six-figure dollar amounts range from $100,000 to $999,999.

 Know More

Full Answer

Six-figure incomes are an indicator of affluence in the United States. As of 2008, an annual household income of at least $100,000 means the home's residents lie in the top quartile of American households according to income. A single earner making that sum enjoys a spot in the top 6 percent of all workers.

Inflation dictates the spending power of someone with a six-figure income. As prices and wages rise over time, the purchasing power of the six-figure income goes down and more earners enter that income bracket.

Learn more about Financial Calculations

Related Questions

  • Q:

    What is a P&I payment on a mortgage?

    A:

    A "P&I" payment for a mortgage is a "principal and interest" payment, which is usually made monthly over the term of the loan, according to Quicken Loans. A principal and interest payment does not include taxes and insurance, two items that are commonly spread out over the loan in an escrow account. AllBusiness explains that the principal portion of the monthly payment reduces the amount of overall principal owed.

    Full Answer >
  • Q:

    What are trade discount journal entries?

    A:

    A trade discount journal entry is an accounting term that refers to the amount paid for a good or service as opposed to the list or invoice price, according to Principlesofaccounting.com. For example, a merchant may offer a customer a 20 percent discount on a service priced at $1,000.

    Full Answer >
  • Q:

    How do you calculate profit on return?

    A:

    Profit on return is calculated by subtracting a unit's selling price from the cost to produce, dividing that difference by the selling price and multiplying that number by 100. This equation gives the percentage margin of profit made on each unit.

    Full Answer >
  • Q:

    How do you calculate food cost percentage?

    A:

    StarChefs explains that food cost percentage is figured by taking the total beginning inventory cost plus purchases minus the ending inventory costs; then dividing that number by food sales.

    Full Answer >

Explore