Two-Income Break-Even Calculator
Enter your household numbers and this calculator finds the break-even point: the gross salary the second earner must clear before the family is any better off in cash terms. It runs the same scenario engine as the full comparison tool, using published income-tax bands for your country and no assumed subsidies.
Your numbers
The parent working in every scenario
The returning or second earner
Full-time cost while both parents work
Fares, fuel, parking
Rent or mortgage payment
Household food shop
Your result
Break-even salary for the second earner
$18,500
On these numbers the second earner needs to clear $18,500 gross before the household is better off in cash. At $55,000 they currently gain $2,827 a month.
| Per month | Both parents work | One parent at home | Second parent part time (60%) |
|---|---|---|---|
| Take-home income | $9,794 | $5,447 | $8,153 |
| Childcare | -$1,300 | $0 | -$780 |
| Commuting | -$440 | -$220 | -$352 |
| Housing | -$1,800 | -$1,800 | -$1,800 |
| Other living costs | -$2,050 | -$2,050 | -$2,050 |
| Left over each month | $4,204 | $1,377 | $3,171 |
Taxes use published United States income-tax bands with no childcare subsidy applied. See the methodology.
Open these numbers in the full calculatorHow to read this comparison
How the break-even point is calculated
We model two households side by side. In the first, both parents work: two salaries, two tax bills, full-time childcare and two commutes. In the second, one parent stays home: one salary, one tax bill, no childcare and one commute. The break-even salary is the smallest second income at which the both-work household ends the month with more cash than the one-income household.
Why the number is higher than people expect
The second income is usually taxed at the household's marginal rate rather than from zero, and it triggers costs the one-income household never pays: full-time care, a second commute, work clothes, and more convenience spending. That combination routinely pushes the break-even salary past the local median wage in expensive metros.
What the cash answer leaves out
Break-even is a snapshot of this year only. Staying in work protects pension or retirement contributions, keeps wage growth compounding and avoids the multi-year earnings penalty of a career gap. Many families work a below-break-even year deliberately because the alternative costs far more over a decade.
Frequently asked questions
What is the break-even salary for a second earner?
It is the gross annual salary at which the extra take-home pay exactly cancels out the extra childcare, commuting and tax the second job creates. Below it the family loses money by both parents working; above it every additional pound or dollar is genuine gain.
Does the calculator include childcare subsidies?
No. It deliberately runs the unsubsidised case so you can see the raw arithmetic, then subtract the support you actually qualify for. Country guides for the US, UK, Canada, Australia and South Africa list what is available.
Is it worth working if childcare costs more than my salary?
In pure cash terms for the current year, no. Over five to ten years it usually is, because career gaps depress future earnings by far more than one year of negative cash flow, and pension contributions stop entirely while you are out.
Can I share my result with my partner?
Yes. Every change you make is written into the page URL, so copying the link sends your partner the exact same inputs and results, with nothing stored on our servers.