5 Figures, 6 Figures, 7 Figures: What Do They Mean?

When someone says they have a "six-figure salary," they mean they earn at least $100,000/year. The "figures" refer to the number of digits in their annual income. Here's every tier broken down — with the hourly rates, jobs, and percentage of Americans at each level.

The Complete Breakdown

Tier	Income Range	Hourly Equivalent	% of Americans
3 Figures	$100 – $999/yr	$0.05 – $0.48/hr	—
4 Figures	$1,000 – $9,999/yr	$0.48 – $4.81/hr	~8%
5 Figures	$10,000 – $99,999/yr	$4.81 – $48.08/hr	~62%
6 Figures	$100,000 – $999,999/yr	$48.08 – $480.77/hr	~18%
7 Figures	$1,000,000 – $9,999,999/yr	$480.77+/hr	~0.35%
8 Figures	$10,000,000+/yr	$4,808+/hr	~0.01%

5 Figures: $10,000 – $99,999

Five figures covers the broadest range of the American workforce — from part-time minimum wage to comfortable upper-middle income. Here's how it breaks down:

Sub-Tier	Range	Hourly	Examples
Low 5 figures	$10K – $30K	$5 – $14/hr	Part-time, min wage, entry retail
Mid 5 figures	$30K – $60K	$14 – $29/hr	Teachers, office workers, skilled labor
High 5 figures	$60K – $99K	$29 – $48/hr	RNs, engineers, managers, trades

Key milestone within 5 figures: the US median individual income of $63,795. If you earn more than that, you out-earn more than half of American workers. See our $50K-$75K salary guide for details.

6 Figures: $100,000 – $999,999

Crossing into six figures is the most psychologically significant income milestone in America. At $100K/year ($48.08/hr), you're in the top 18% of individual earners.

Sub-Tier	Range	Monthly Take-Home	Jobs
Low 6 figures	$100K – $150K	$6,500 – $9,200	Sr. engineers, NPs, pharmacists, PMs
Mid 6 figures	$200K – $500K	$11,500 – $24,000	Physicians, VP-level, law partners
High 6 figures	$500K – $999K	$24,000 – $43,000	C-suite, surgeons, top partners

7 Figures: $1,000,000+

Only about 0.35% of American households report seven-figure incomes. At $1M/year, your hourly rate equivalent is $480.77/hr — earning in one hour what a minimum wage worker makes in two months.

Common paths to seven figures:

• Business ownership — Most common path. Successful businesses with 20+ employees
• Executive leadership — C-suite at large companies (base + equity + bonus)
• Specialized medicine — Top orthopedic surgeons, neurosurgeons, cardiologists
• Finance — Hedge fund managers, investment banking MDs, PE partners
• Tech — Staff+ engineers at FAANG, startup equity payoffs

How to Move Up a Tier

From → To	Typical Path	Timeline
Low 5 → Mid 5	Trade cert, AS degree, or 3-5yr experience	2-5 years
Mid 5 → High 5	Bachelor's, senior role, specialization	3-7 years
High 5 → Low 6	MBA/grad degree, management, tech skills	3-10 years
Low 6 → Mid 6	Director+, own practice, entrepreneurship	5-15 years