[billpaetzke]

If you base the rule on net income instead of gross income, you'd need 200k per year to afford it properly.

Assumption: 40% is the federal + NY state + NY city income tax for a six-figure earner

200K * 0.60 = 120k of net income = 10k/month net income

3k rent / 10k monthly net income = 30% of net income

[pc86]

For what it's worth I've always heard it as 30% of your gross pay, not net.

[emergentcypher]

I don't know why. It just adds a level of indirection. Comparing anything with gross pay is pretty meaningless.