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If you’re asked to void a check, which often happens when you’re setting up direct deposit, you might not be sure how to do it. Checks are being used less often these days, and as a result, people may be unfamiliar with the way they work.

Fortunately, the process of voiding a check for direct deposit or for any reason is pretty simple.

What Does It Mean to Void a Check?

First of all, what does it mean to void a check? When you write the word “VOID” on a blank check, it becomes a voided check meaning it cannot be used to draw money out of your account. This type of check is not used for deposit or cashing purposes.

Instead, the check, once you’ve voided it, can be used to set up direct deposit or bill pay. Establishing direct deposit or online bill pay eliminates the hassle of going to the bank to make payments or deposit your paycheck. It also automates your transactions to speed delivery and help you keep tabs on the money going in and out of your account.

Recommended: What Is an Outstanding Check?

How to Void a Check Step by Step

If you’re wondering how do you void a check, all you need is a blank check and a pen. Here’s how to complete the process:

Step 1: Use a Blue or Black Pen

This is a situation in which the writing instrument you use matters. Use a blue or black pen, not a pencil or a pen with a different color ink.

Step 2: Write ‘VOID’ in Large Letters Across the Check

Next, write “VOID” in large letters across the face of the check. However, be sure not to cover the account and/or routing numbers at the bottom. You could also write “VOID” in smaller letters on the payee line, amount line, in the amount box, and on the signature line, if you prefer.

Step 3: Keep a Record for Yourself

Write down the check number, recipient, and date in your checkbook and note that the check was voided so you don’t get confused by a skipped check when you balance your checkbook.

Why Would You Need to Void a Check?

There are practical uses for voiding a check including setting up direct payments or deposits, and automatic bill payments. Providing a voided check is a convenient way to share your banking information for such purposes. After all, copying your banking information (routing and account number) by hand leaves you vulnerable to mistakes.

Here are the top reasons to void a check:

•   Set up direct deposit with your employer for wages, salary, or expense reimbursement. Employers often let workers set up direct deposit instead of receiving a physical paycheck, and a voided check speeds the process.

•   Set up direct deposit for government benefits. Unemployment benefits and Social Security payments may be delivered by direct deposit instead of a mailed check. This way, both parties can enjoy the increased security of a digital transaction. Once the direct deposit turns up, you can then transfer funds to a different account as needed.

•   Establish automatic bill pay for loans, utility bills, or other payments. You may have the option to set up automatic payments for bills such as an auto loan or mortgage. Setting up autopay helps ensure you don’t miss a payment.

•   Void checks with mistakes. If you are writing a check from your checking account and make a mistake, you can write “VOID” across it, so no one uses or deposits it.

What’s the Difference Between a Voided Check and a Canceled Check

You may wonder what the difference between a voided and a canceled check is. When you make a void check, you are canceling a physical check you have in your possession. If you’ve lost a check (especially a blank one) or have sent out a check in error, that’s a different situation. You can contact your bank about stopping payment on the check.

When banks and credit unions talk about canceled checks, however, they are likely referring to ones that have already been used to transfer funds. The work of these checks is done, so to speak, so they are considered canceled.

The differences between a voided check and a canceled check are:

•   You can void a check yourself. To cancel a check, however, a bank or credit union has already been involved.

•   Voiding is quick and free. If you seek to cancel a check by stopping payment, it will involve time to speak to your bank, and there may be a fee charged to stop payment.

Recommended: How to Deposit a Check Online

No Checks? No Problem. Here’s What to Do

If you don’t have any checks, the first step to getting a checkbook is to open a new bank account. Checks may be free or may be offered for a fee. Many banks will give you preprinted “starter checks” to use until your personalized ones arrive.

If you already have a checking account but no checks, you can contact your bank or credit union about ordering checks. They can usually be ordered online, via a mobile app, over the phone, or in person.

What to Use Instead of a Voided Check for Direct Deposit

Aside from a voided check, you have other options to establish autopay or direct deposit. Here are some alternatives:

•   Direct deposit form. Some employers may let you use a direct deposit form without a voided check. In this case, ensure you complete your bank information correctly.

•   Preview a check. Some financial institutions let you “preview” your checks on your bank or credit union’s website before you order them online. If your financial institution allows this, you might be able to print out the preview and write “VOID” across it.

•   Enter bank information online. Depending on how your employer sets up direct deposit, you might have the option to connect directly to your bank account through your company’s payroll website. Just enter your bank information instead of supplying a voided paper check to manage your banking online.

•   Request a counter check at a bank branch. You may have the option to request what is known as a counter check at your local bank branch. You can use this specially printed check containing your bank information for your voided check. Some banks charge a fee for this service.

Recommended: Sending Money With Zelle

The Takeaway

Knowing how to void a check is a good skill to learn. When you write “VOID” on a check, it becomes a voided check you can use to set up autopay or direct deposit. Voided checks are not available for deposit or cashing.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with eligible direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

FAQ

Can I void a blank check?

Yes, you can void a blank check by taking a blue or black pen and writing “VOID” across the face of the check. You could also write “VOID” in the payee line, amount line, amount box, and the signature line.

Can I void a check after it’s been sent?

You can’t void a check you have already sent. You’ll have to cancel the check. To do this, first make sure the check hasn’t cleared yet. Then, make sure you have your account number, check number, dollar amount, and date you wrote on the check. Contact your bank or credit union to stop payment. This action may require a fee.

Can I tell my bank to void a check?

You can void a check, but your bank can’t. A financial institution can stop payment on a check (possibly for a fee), and it typically cancels checks once they’re been paid.

How much does it cost to void a check?

Voiding a check is typically something that an account holder does, without a bank’s assistance, for free. A bank may stop payment on a check, however, at the account holder’s request, and this typically involves a fee of $20 to $35.

How do I void a check online?

Many major banks offer the option on their website or in app to generate a voided check image or PDF which can then be printed out. Another option would be to void a paper check, then scan it, and use that as needed online.

Photo credit: iStock/AsiaVision

SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. The SoFi® Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet

Eligible Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Eligible Direct Deposit”) via the Automated Clearing House (“ACH”) Network every 31 calendar days.

Although we do our best to recognize all Eligible Direct Deposits, a small number of employers, payroll providers, benefits providers, or government agencies do not designate payments as direct deposit. To ensure you're earning the APY for account holders with Eligible Direct Deposit, we encourage you to check your APY Details page the day after your Eligible Direct Deposit posts to your SoFi account. If your APY is not showing as the APY for account holders with Eligible Direct Deposit, contact us at 855-456-7634 with the details of your Eligible Direct Deposit. As long as SoFi Bank can validate those details, you will start earning the APY for account holders with Eligible Direct Deposit from the date you contact SoFi for the next 31 calendar days. You will also be eligible for the APY for account holders with Eligible Direct Deposit on future Eligible Direct Deposits, as long as SoFi Bank can validate them.

Deposits that are not from an employer, payroll, or benefits provider or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, Wise, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Eligible Direct Deposit activity. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. SoFi Bank shall, in its sole discretion, assess each account holder's Eligible Direct Deposit activity to determine the applicability of rates and may request additional documentation for verification of eligibility.

See additional details at https://www.sofi.com/legal/banking-rate-sheet.
*Awards or rankings from NerdWallet are not indicative of future success or results. This award and its ratings are independently determined and awarded by their respective publications.

We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at sofi.com/legal/banking-fees/.
^Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

SOBNK-Q425-043

Online and mobile banking can make transactions faster, easier, and more secure. Indeed, the number of Americans who are going all in on managing their finances this way continues to grow. Recent research shows that about 30% of Americans use online-only banks.

Not only that, those who use any type of online banking, whether through a traditional or online-only bank, tend to use it frequently. In SoFi’s April 2024 Banking Survey, which looked at the banking usage of 500 U.S. adults, 48% of respondents said they use online banking daily, and another 26% reported using it several times a week.

Here, take a closer look at online banking, so you can decide if it’s right for you.

Online Banks vs Traditional Banks: What’s the Difference?

Online banking, most generally, refers to the ability to conduct transactions through a financial institution’s web page or app, making it unnecessary to go to a branch. Most banks today offer some form of online banking, and most members, in turn, are accustomed to having that option.

For instance, 63% of respondents in SoFi’s survey said they frequently use online banking to transfer funds between accounts, and 43% said they frequently do mobile check deposits.

Often, however, the term “online banking” is used to refer to online-only banking vs. traditional banking, meaning you manage your personal finances completely online.

Since online banks typically have no physical locations and therefore lower overhead, they can often offer consumers a higher annual percentage yield (APY) on deposit accounts and other perks.

Recommended: APY vs Interest Rate: What’s the Difference?

How to Get Started With Online Banking

If you are interested in getting started with online banking, it’s a good first move to compare features and terms at different online banks. Then, you can typically apply online, and the process can take just minutes. It’s wise to have your materials (such as Social Security number and government-issued photo ID) at hand. It may take one to two weeks, however, for your documents and debit card to arrive.

Once your account is up and running, you can begin receiving direct deposits, making transfers, setting up bill pay, and accessing the other features that make online banking so convenient.

What Are the Main Benefits of Online Banking?

To better understand online-only banking, consider these upsides and online banking features:

Higher Interest Rates and Lower Fees

As mentioned, online-only banks tend to offer a higher interest rate on savings accounts and possibly checking accounts, too. As of mid-December 2025, the national interest rate on savings accounts is 0.39%, according to the FDIC. At some online-only banks, however, you can find an APY of around 3.00% or higher on their high-yield savings account vaults.

In addition, these banks may offer lower or no fees. Stashing your cash in one of these banks can be a way to avoid bank fees, such as account maintenance charges and the like.

Bank From Anywhere, Anytime

Online banks are open 24 hours a day, 7 days a week, which means you can take care of transactions after normal bank hours. You can manage your money whenever and wherever.

Widespread ATM Network Access

Most online banks are part of an online network of ATMs, such as MoneyPass or Allpoint. What’s more, these are generally fee-free ATMs. If the financial institution doesn’t partner with an ATM network, they will typically offer to refund ATM fees up to a certain number of withdrawals.

Seamless Digital Tools and Mobile Features

As digital innovators, online-only banks may provide a better user experience when online or in the app. Expect to get the latest tools and access to a wealth of features such as round-up savings programs or a dashboard that helps you track your earnings, spending, and savings.

What Are the Potential Downsides of Online Banking

There are, however, some potential downsides to managing money this way. Consider these potential issues with online banking:

The Lack of Physical Bank Branches

Online banks don’t have physical branches where you can deposit funds or meet face-to-face with a banker to set up accounts, apply for loans, or get a document notarized. If you are a person who wants and appreciates physical locations and this kind of personal connection, you may not be well-suited to digital banking.

Challenges With Complex Services and Cash Deposits

There may be some services that you aren’t able to enjoy with an online-only bank. It may or may not offer credit cards, car loans, and mortgages; you may not be able to deposit cash easily, as you can at a brick-and-mortar bank branch. Every online bank is different, so do your research to see what services they offer.

Is Online Banking Safe?

People may worry about whether online banking is safe. In the SoFi survey, 21% of respondents said they were very concerned about the security of their online bank accounts, and another 21% said they were somewhat concerned. The truth is, traditional banks are no more or less secure than online-only banks, and vice-versa. All are at a very minimal risk of a hack.

How to Choose the Right Online Bank for You?

Choosing the online bank can involve considering which features and benefits are most important to you. You may like the user experience of one bank’s mobile app better than another. One bank might offer a more favorable interest rate, while yet another has a particularly convenient network of ATMs.

It’s a good idea to shop around and compare your options before making a decision.

Recommended: What Do You Need to Open a Bank Account Online?

Meet the new SoFi Plus!

Get access to higher APY, credit card cash back rewards, discounts, and more.

The Takeaway

Keeping your funds with an online-only bank can offer many rewards. You’re likely to earn a higher interest rate and pay fewer fees, for instance. But those who like banking in person at a branch may choose to stick with a traditional bank. Think carefully about what suits your financial style and needs best.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with eligible direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

FAQ

Is online banking the same as mobile banking?

While both online banking and mobile banking are digital forms of banking, there is a difference. Online banking refers to accessing your accounts using a web browser and can provide a full suite of services. Mobile banking refers to using an app to access your accounts, and, depending on the financial institution, may offer more limited functionality.

Can I deposit cash into an online bank account?

Yes, you can typically deposit cash into an online bank account, but it can require an additional step. Since online banks don’t have physical branches, you may have to deposit into its network of ATMs or at a retailer or buy a money order that you then mobile-deposit.

How do online banks make money?

Online banks may charge lower fees and offer higher interest rates, but they still have ways to make money. Typically, this is from the higher interest charged on lending vs. the interest paid on deposits, as well as from various fees.

Are online banks FDIC-insured?

Yes, most online banks are insured by the Federal Deposit Insurance Corporation, or FDIC, just as with brick-and-mortar banks. Your money on deposit is protected up to $250,000 per depositor, per account ownership category, per insured bank, in the very rare event of a bank failure. However, it’s worth checking with your financial institution to be sure they offer this coverage.

What kind of technology do you need for online banking?

In terms of what kind of technology is needed for online banking, customers typically just need secure internet access and a compatible device, such as a laptop and/or mobile device.

SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. The SoFi® Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.

Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet

Eligible Direct Deposit means a recurring deposit of regular income to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government benefit payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Eligible Direct Deposit”) via the Automated Clearing House (“ACH”) Network every 31 calendar days.

Although we do our best to recognize all Eligible Direct Deposits, a small number of employers, payroll providers, benefits providers, or government agencies do not designate payments as direct deposit. To ensure you're earning the APY for account holders with Eligible Direct Deposit, we encourage you to check your APY Details page the day after your Eligible Direct Deposit posts to your SoFi account. If your APY is not showing as the APY for account holders with Eligible Direct Deposit, contact us at 855-456-7634 with the details of your Eligible Direct Deposit. As long as SoFi Bank can validate those details, you will start earning the APY for account holders with Eligible Direct Deposit from the date you contact SoFi for the next 31 calendar days. You will also be eligible for the APY for account holders with Eligible Direct Deposit on future Eligible Direct Deposits, as long as SoFi Bank can validate them.

Deposits that are not from an employer, payroll, or benefits provider or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, Wise, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, or are non-recurring in nature (e.g., IRS tax refunds), do not constitute Eligible Direct Deposit activity. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. SoFi Bank shall, in its sole discretion, assess each account holder's Eligible Direct Deposit activity to determine the applicability of rates and may request additional documentation for verification of eligibility.

See additional details at https://www.sofi.com/legal/banking-rate-sheet.
*Awards or rankings from NerdWallet are not indicative of future success or results. This award and its ratings are independently determined and awarded by their respective publications.

We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at sofi.com/legal/banking-fees/.
^Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Third Party Trademarks: Certified Financial Planner Board of Standards Center for Financial Planning, Inc. owns and licenses the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®

SOBNK-Q425-044

A chiropractor is a licensed health care professional who supports spine and nervous system health, providing care and rehabilitation to patients. Those who work in this role are typically experts on causes and treatments of back, neck, and shoulder pain.

To become a chiropractor, you need to get a Doctor of Chiropractic degree, which is usually a four-year program (on top of three years of undergraduate study). However, the investment of time and money in your education can pay off in a job that offers high satisfaction and a good salary. The average annual salary for a chiropractor in the U.S. is $91,830, according to latest figures from the Bureau of Labor Statistics (BLS).

If you’re interested in working in the healthcare field and enjoy working with people, a job as a chiropractor may be ideal for you. Read on to learn more about how much money a chiropractor makes, as well as other factors to consider before you decide to jump on this career path.

What Are Chiropractors?

A chiropractor is a type of medical professional who specializes in evaluating and treating a patient’s neuromusculoskeletal system. Their primary duty is to help patients reduce pain and gain greater levels of mobility. They may perform treatments like massage therapy, physical rehabilitation strategies, or spinal adjustments and procedures.

Tasks involved in being a chiropractor typically include:

•   Reviewing a patient’s medical history and listening to their concerns

•   Performing physical examinations to analyze posture, spine, and reflexes

•   Advising patients on health and lifestyle issues, such as exercise and nutrition

•   Providing neuromusculoskeletal therapy, which involves adjusting a patient’s spinal column and other joints

•   Giving additional treatments, such as applying heat or cold to a patient’s injured areas

•   Referring patients to other healthcare professionals if necessary

Chiropractors often work in healthcare clinics, physical therapy centers, yoga studios, massage centers, or gyms. Some open their own private practices. Because the majority of a chiropractor’s day is devoted to patient care, this job is always in-person and is not a good fit for anyone looking for a work-from-home job.

If a chiropractor runs their own practice, they may also have to take on additional responsibilities related to accounting, record keeping, hiring, and managing employees.

How Much Do Chiropractors Make When They Are Starting Out?

Starting salaries for most chiropractors can range anywhere from $74,000 to $98,500, according to ZipRecruiter. However, those in this role can generally expect their income to rise significantly over time.

Starting salaries for chiropractors can range anywhere from $23,000 to $82,000 or higher, per ZipRecruiter. However, those in this role can generally expect their income to rise significantly over time. The highest-earning chiropractors in the U.S. make $110,000 or more a year.

Whether you’re juggling an entry-level salary or one in the six figures, a spending tracker app can help you determine what you can and can’t afford.

What Is the Average Salary for a Chiropractor?

How much you can earn as a chiropractor will vary based on your geographical location, company, years of experience, certifications, and other factors. On average, however, a chiropractor earns an hourly rate of $44. This is the equivalent of around $1,766 per week or $7,652 per month. The average amount a chiropractor earns per year in the U.S. is $91,830.

The Average Chiropractor Salary by State for 2025

How much money a chiropractor makes can vary by location. What follows is a breakdown of how much a chiropractor makes per year, on average, by state (highest to lowest) based on the most recent BLS data.

Chiropractor Job Considerations for Pay & Benefits

On top of their average salary of $91,830, chiropractors earn more once you take their employee benefits into account. Chiropractors who work full time for an employer can expect to gain access to standard employee benefits like healthcare and paid vacation. However, many chiropractors choose to work part-time or are self-employed. Those who are self-employed and run their own practice will need to provide themselves and their employees with benefits.

Pros and Cons of Chiropractor Salary

Becoming a chiropractor requires pursuing years of higher education. Before making that time and financial commitment, it’s a good idea to carefully evaluate both the pros and cons of working as a chiropractor.

Pros of Being a Chiropractor

Here’s a look at some reasons why you might consider becoming a chiropractor:

•   A positive job outlook. According to the U.S. Bureau of Labor Statistics, employment of chiropractors is projected to grow 10% from 2024 to 2034, much faster than the average for all occupations. The government predicts about 5,400 chiropractor job openings a year, on average, over the decade.

•   Ability to help people. Chiropractors help people function better, have less pain, and reach their health goals. This type of work generally comes with high job satisfaction because chiropractors know that what they are doing is meaningful.

•   Job flexibility and autonomy. Compared to other types of healthcare jobs, chiropractors enjoy a high level of autonomy and independence. Many choose to own and operate their own private practices after they graduate. Becoming an entrepreneur gives you the freedom to make your own schedule and work for yourself.

•   Earn a good salary. The national average salary of chiropractors is $91,830 per year, but chiropractors who complete more education and earn special credentials can negotiate for a higher salary, and may earn as much as $100,000 per year. In addition, those in this role may pursue supervisory positions or create their own practice, which can come with higher pay.

Cons of Being a Chiropractor

Being a chiropractor also comes with some downsides. Here are some to keep in mind:

•   A long time in school. Becoming a chiropractor requires completing extensive schooling. Indeed, it can take up to eight years of school and training to become a chiropractor. However, many chiropractic students find the time and effort worth the reward.

•   Working overtime. While some chiropractor positions allow you to work regular, 40-hour weeks, many chiropractors work 50-plus hours per week to see patients, conduct research, and complete paperwork.

•   Risk involved. Some chiropractic procedures involve a patient’s spinal cord and nervous system, such as spinal manipulation and decompression, which can cause pain and involve some risk to the patient. That’s why it’s important that chiropractors have extensive training in conducting these procedures.

•   Salary is lower than other types of doctors. While chiropractors do practice health care, they typically don’t earn as much money as other kinds of doctors. For example, the average national salary for a general physician is $239,200 per year. Keep in mind, though, that it takes more schooling and training to become a general physician.

Recommended: Best Low-Stress Jobs for Introverts

The Takeaway

Chiropractors specialize in the anatomy and physiology of people’s nervous systems and spine, and their primary duty is to help patients reduce pain and gain greater levels of mobility.

Choosing to pursue a career path as a chiropractor can be stable and lucrative, with annual salaries as high as $110,000 or more.

Before you can make that much money, however, you’ll need to invest in going to chiropractic school. This may require saving money up over time and/or taking out student loans. Whatever path you choose, learning how to budget and manage your monthly income and expenses can help you reach both your career and your financial goals.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What is the highest paying chiropractor job?

Traveling chiropractors and sports team chiropractors tend to earn higher salaries than other chiropractic roles. You can also earn a higher-than-average income as a chiropractor by owning your own practice and employing professionals from other medical disciplines, such as physical therapy, massage therapy, and acupuncture.

Where you work can also have an impact on how much you earn as a chiropractor. The states with the highest average salaries for chiropractors are California, New Jersey, North Carolina, New York, and Alaska.

Do chiropractors make 100K a year?

It’s possible for chiropractors to make $100K a year. In fact, annual salaries for chiropractors can be as high as $110,000 or more.

How much do chiropractors make starting out?

Starting salaries for chiropractors can range anywhere from $23,000 to $82,000. However, a chiropractor’s income typically increases over time. The highest-earning chiropractors in the U.S. make $110,000 or more a year.

About the author

Jacqueline DeMarco

Jacqueline DeMarco is a freelance writer who specializes in financial topics. Her first job out of college was in the financial industry, and it was there she gained a passion for helping others understand tricky financial topics. Read full bio.

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SORL-Q425-032

As long as people rely on indoor plumbing, we will need experienced, skilled plumbers to install, repair, and maintain the systems we use every day. Being a plumber is not only an in-demand job but one that generally pays well. A plumber’s average annual salary in the U.S. is $69,940, according to the Bureau of Labor Statistics (BLS).

A plumber’s expertise spans from diagnosing and repairing leaks in people’s homes to planning commercial piping and municipal sewer systems.

If you enjoy working with both your hands and machinery, have strong attention to detail, and are a good problem-solver, being a plumber might be the right job for you. Read on to learn more about how much plumbers make per hour, how salaries vary by region, and other factors to consider before you decide to pursue a career in plumbing.

What Are Plumbers?

Plumbers are skilled professionals who install, maintain, and repair plumbing systems that supply residential and commercial properties with water and gas and carry away waste. Plumbers play a crucial role in ensuring these systems function properly and efficiently. Their expertise applies both to municipal sewers and single-home septic systems.

Plumbers diagnose and fix various issues related to plumbing systems, such as leaks, clogs, and malfunctions in pipes or fixtures. They also perform routine maintenance to prevent problems and keep plumbing systems in good working order.

In some cases, plumbers are involved in the initial design and planning stages of construction or renovation projects, ensuring that plumbing systems are installed efficiently and meet local building codes and regulations. Some plumbers may specialize in specific areas, such as commercial plumbing, industrial plumbing, or specific types of systems like hydronic heating.

How Much Does a Plumber Make Per Year Starting Out?

A plumber can make a good entry-level salary that continues to increase over time. For example, plumbers with less than one year of experience earn, on average, $47,096, while the average salary for a plumber with more than 10 years of experience is $68,325 per year, per Indeed.

What Is the Average Salary for a Plumber?

Plumbers can earn either an hourly rate or an annual salary, depending on the type of work they do. How much a plumber makes per hour can range anywhere from around $19 to $55. The average hourly pay for a licensed plumber in the U.S. is $33.63 an hour, per the BLS. As mentioned, the current national average for how much a plumber makes a year is $69,940.

How much money a plumber makes can vary by location. What follows is a breakdown of how much plumbers make a year (on average) by state.

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Plumber Job Considerations for Pay & Benefits

Plumbing has become a popular trade because of the various perks and financial advantages that come along with the job. First, the average starting salary of $47,096 is higher than in many industries. Plus, some plumbers are union members, which means that their salaries are protected by a contract and they may receive attractive health insurance and retirement packages.

Learning to be a plumber is also less demanding than obtaining a four-year bachelor’s degree. You can study to be a plumber by attending trade school or technical college. Usually, it takes anywhere between four and 24 months to complete your schooling.

Furthermore, plumbers-in-training typically can become apprentices while they’re completing their education. Apprenticeships let you work and learn simultaneously, meaning you’ll earn competitive pay while you work toward certification. For these reasons, plumbers can often finish their education with little to no student loans.

Plumbing is also a steady profession that will likely always be in demand. Even during economic downturns, residential and commercial buildings won’t stop needing running water and working toilets.

Lastly, plumbers can advance through the ranks to increase their pay and move into new roles. For example, attaining journeyman status often leads to a significant bump in salary. On average, journeyman plumbers earn $69,723, per ZipRecruiter — a $22,627 increase over the average starting salary.

Likewise, you could become a plumbing engineer or a superintendent to manage municipal jobs. Many plumbers also start their own businesses, which could lead to a job that pays $100,000 or more.

Regardless of how much you make as a plumber, a money tracker app can help you keep tabs of where your income is going.

Pros and Cons of a Plumber Salary

As with any profession, there are both advantages and disadvantages to being a plumber. Carefully considering each can assist you in determining if this is the right career for you.

Pros of Being a Plumber

Becoming a plumber can offer several attractive advantages:

•   Job security Plumbing is an essential service that is always in demand. Even during an economic recession, people will always need plumbing services.

•   Good pay Plumbers are well compensated for their expertise from the get-go. With experience and expertise, plumbers can earn a substantial income. Plus, less need for student loans means debt likely won’t erode your earnings.

•   Daily exercise Plumbing work often involves physical tasks such as lifting, bending, and carrying equipment. This aspect of the job provides plumbers with regular physical activity, contributing to a healthier lifestyle.

•   Promotion and business ownership opportunities As a plumber gains experience and expertise, they can ascend the ranks (such as moving from journeyman to master plumber) to increase their pay and access new projects. Additionally, some plumbers choose to start their own businesses, which can be highly profitable and offer independence.

•   Variety during work Plumbers typically encounter a wide range of challenges and tasks on the job. For example, you might replace piping one day and fix a host of leaky faucets the next. This variety can keep the work exciting and engaging.

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Cons of Being a Plumber

However, plumbers also face the following challenges:

•   Physically taxing. Plumbing work often requires physical strength and endurance. Plumbers may need to lift heavy equipment, crawl into tight spaces, and crouch for hours on end. These repeated tasks can lead to strain or fatigue.

•   Lack of routine. Plumbing work can be less predictable than some office jobs that follow a set schedule. The unpredictability can be stressful for those who want the same pattern in their work every day or week.

•   Working at all hours. Plumbing issues can arise at any time, including nights, weekends, and holidays. Plumbers may need to be on-call or work during off-hours to address urgent situations. These situations impact work-life balance and require a degree of flexibility in one’s schedule.

•   Risk of injury. Working with plumbing systems and tools can pose certain risks. Plumbers may be exposed to sharp objects, hot surfaces, chemicals, and falling pipes. Additionally, working in confined spaces or at heights can increase the risk of accidents or injuries.

•   High-pressure environment. Addressing leaking sewage and malfunctioning water systems can be stressful and clients may be stressed and difficult to work with. Furthermore, plumbers must navigate unpredictable environments and situations, necessitating the ability to remain composed even in hazardous conditions.

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The Takeaway

Plumbers make a desirable starting salary with plenty of room to advance their careers. They can enjoy the satisfaction of helping others with an essential aspect of life and rest in the fact that the profession isn’t going anywhere.

However, plumbing can impose physical wear and tear, cause injuries, and require work in extreme conditions. The tradeoff for low or no student debt and consistent, lucrative work is the tough physical labor and the possibility of working late hours.

Even after weighing the potential cons, however, you may decide that a trade profession such as plumbing can help you further your professional and financial goals.

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FAQ

What is the highest paying plumber job?

The highest paying plumber job is a plumbing engineer, which requires engineering knowledge and project management skills. This position can pay as much as $129,500 annually, according to ZipRecruiter.

Do plumbers make 100K a year?

Plumbers at the highest levels of the profession can make $100,000 per year. Specifically, plumbing engineers (who design plumbing systems for private, public, or commercial buildings) and plumbers who own their own companies can potentially earn six figures a year.

How much do plumbers make starting out?

Plumbers with less than one year of experience earn, on average, $47,096 per year.

About the author

Ashley Kilroy

Ashley Kilroy is a seasoned personal finance writer with 15 years of experience simplifying complex concepts for individuals seeking financial security. Her expertise has shined through in well-known publications like Rolling Stone, Forbes, SmartAsset, and Money Talks News. Read full bio.

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The value of a stock is made up of several factors, including the company’s ability to continue making a profit, its customer base, its financial structure, the economy, political and cultural trends, and how the company fits within the industry. Understanding those basic factors will go a long way toward helping you select stocks for your portfolio.

If you’ve never bought or sold stocks in the past, the thought of trading for the first time might be daunting. But once you’ve done your homework and have developed the right habits, it may not be nearly as intimidating.

Getting Started With Stock Evaluations

Learning how to evaluate stocks starts with some basic homework. But even for those familiar with the stock market basics, it can be helpful to keep some overarching things in mind.

•   When you buy a stock, you’re not simply buying a piece of paper. A stock is an ownership share in a company — you’re buying into that company and its potential performance. When a person invests, they gain an opportunity to join in on its success or failures over the long haul.

•   The more you know about the company, its industry, and general stock market trends, the better. Professional advice is important, but so is trusting common sense.

•   A consumer may be able to spot investing trends that eventually translate to a company’s strong performance down the line, asking questions like: Why am I investing in this company? Why now?

•   It’s important to assess your individual tolerance for risk before investing, and check in on that periodically. Additionally, make time to review your stocks’ performance and watch the market on a regular basis.

•   When considering how many stocks to buy, most investors may want to keep portfolio diversification in mind, with stocks across a range of sectors and risks. Being invested in only one stock means that if the company fails, you could lose your invested money.

Understand the Two Main Types of Stock Analysis

There are two general types of stock analysis: Fundamental, and technical.

Fundamental analysis as it relates to stocks involves analyzing the underlying company’s financial health and operations. It may include looking at financial statements, earnings reports, annual reports, and more, and the overall goal is to get a sense of the stock’s intrinsic value.

Technical analysis, on the other hand, incorporates the use of data and indicators from charts to try and identify patterns and trends. Its goal is to determine where a stock’s value might go next.

Review Stock Materials

With some general evaluation guidelines in mind, the next step is to dig deeper to calculate stock value. This involves reviewing a stock’s materials and documentation.

Balance Sheet and Other Financials

The Securities and Exchange Commission (SEC) requires all public companies to file regular financial documents that disclose their performance. These quarterly filings indicate profit and loss, material issues that can affect performance, expenses, and other key information that will help you gauge a company’s health, and get a better idea of a potential return on equity.

Consumers can find these and other reports on the SEC’s website:

Balance sheet: This records whether the company reduced or increased their debt. Some major items to look for here are the company’s tax paid and tax rate, along with expenses that aren’t related directly to profits, like administrative expenses.

Income statement: The revenue, major expenses, and bottom-line income may reveal trends in the company’s profitability.

Cash flow statement: Not all income is realized, so the cash flow statement shows you what the company actually got paid during the quarter — not what it’s expected to receive from sales 30, 60, or 90 days from now. The operating cash flow (which excludes a windfall or unusual influx of cash) provides a sense of the real, day-to-day (or quarter) activity of the business: how much cash comes in and how much goes out; how the company handles assets and investments; and the money it raises or distributes to lenders and shareholders. Some companies might have meager profits relative to their sales but impressive cash flows.

In particular, as you read through these statements, pay attention to:

•   Revenue: The company’s gross income

•   Operating expenses and non-operating expenses: These are typical day-to-day expenses, and also ones that don’t relate to the core business (for example, a non-operating expense might be any interest paid on debt)

•   Total net income: This is the company’s actual profit, after deducting all expenses from revenue

•   Earnings before interest, taxes, depreciation, and amortization (also known as EBITDA): This figure excludes non-operating expenses

Financial performance ratios offer insight into a company’s financial health.

Form 10-Q

While publicly traded companies tend to release their own financial statements in the form of a presentation for investors, analysts, and the media every three months, they are also required to produce a more comprehensive quarterly report known as the 10-Q, which is filed with the SEC.

This document “includes unaudited financial statements and provides a continuing view of the company’s financial position during the year,” according to the SEC, and can be useful to investors as it provides a comprehensive overview of the company’s performance for the previous three months. The 10-Q also offers insight into other factors that might give an impression of a company’s overall health, including:

•   Any risk factors to the business

•   Information about legal matters

•   Issues that might impact a company’s inventory

Form 10-K

Form 10-K is similar to form 10-Q but it comes out on an annual, as opposed to quarterly, basis. The form is meant to “provide a comprehensive overview of the company’s business and financial condition and includes audited financial statements,” according to the SEC. The annual 10-K can give investors a broader picture of the business through the ups and downs of a year, during which sales and expenses can often fluctuate.

These reports include both detailed financial information and actual writing from the company’s management about how their business is doing. They also outline how executives are paid, which is one more piece of information about the company’s management that can be useful to shareholders.

💡 Quick Tip: Are self-directed brokerage accounts cost efficient? They can be, because they offer the convenience of being able to buy stocks online without using a traditional full-service broker (and the typical broker fees).

How to Value Stocks With Financial Ratios

If learning how to evaluate a stock starts with analyzing financial statements, step two is understanding performance through financial ratios. Ratios offer insight into a company’s financial health, allowing for comparisons to other companies in the same industry or against the overall market.

These are important financial ratios to know.

Price-to-Earnings Ratio (P/E)

This is a stock valuation formula that will help you determine how one company’s stock price compares to another. The price-to-earnings ratio is straightforward: It divides the market price of a company’s stock by the company’s earnings per share. The ratio can reveal how many years it will take for a company to generate enough value to buy back its stock.

Price-to-earnings (PE) ratios can also indicate how much the market expects the company’s profits to grow in the future. When investors buy stocks with a high PE ratio, it typically means they’re “buying” present earnings at a high price, with the expectation that earnings will accelerate going forward. On the other hand, a stock with a low PE ratio could give an investor a good value for their money — but it could also be a sign that investors aren’t confident in the company’s future performance.

Looking back historically, the market has tended to have a PE ratio of about 15, meaning investors pay $15 for every $1 of earnings. But different companies and even different sectors can have wildly different PE ratios.

For example, software companies, especially younger ones, tend to have high PE ratios as investors think there’s a chance they could get much, much larger in the future and turn fast-growing revenue into profits. In software, PE ratios can be in the 30s or even much higher when companies see their stock prices take off quickly, with a PE or around 90.

Earnings Per Share (EPS)

Earnings per share (EPS) tells investors how much earnings each shareholder would receive if the company was liquidated immediately. Investors like to see growing earnings, and rising EPS means the company potentially has more money to distribute to shareholders or to roll back into the business. This figure is calculated by taking net income, subtracting any preferred stock dividends, and dividing the result by the total number of outstanding common stock shares.

Return on Equity (ROE)

Return on equity is a key guide for investors to measure the growth in profit for a company. ROE is determined by dividing the company’s net income by the shareholders’ equity, then multiplying by 100. The ratio tells you the value you would receive as a shareholder should the company liquidate tomorrow. Some investors like to see ROE rising by 10% or more per year, which reflects the performance of the S&P 500.

Debt-to-Equity Ratio (D/E)

The debt-to-equity ratio, determined by dividing total liabilities by total shareholder equity, gives investors an idea of how much the company is relying on debt to fund its operation.

A high debt-to-equity ratio indicates a company that borrows a lot. Whether it’s too high depends on a comparison with other companies in the industry. For example, companies in the tech industry tend to have a D/E ratio of around 2, whereas companies in the financial sector may have D/E ratios of 10.

Debt-to-Asset Ratio (D/A)

A debt-to-asset ratio can be informative when comparing a company’s debt load against that of other companies in the industry. This allows potential investors to better gauge the riskiness of the investment. Too much debt can be a warning sign for investors.

How to Evaluate Stocks With Qualitative Research

It’s important to note that using financial ratios and stock materials to evaluate stocks is a form of quantitative research. Investors can also use qualitative research methods to evaluate stocks, too. That can include intangible value and outside influences.

Intangible Value

Some investors have argued that traditional metrics don’t capture the values of intangible assets a company might hold, like brand power and intellectual property. These have become increasingly important to a company’s worth in more recent years, particularly when it comes to tech stock investing.

For instance, a software company’s patents or intellectual property rights may be incredibly valuable. But on the other hand, it wouldn’t have assets like factories or equipment that are easier to appraise.

Investors should also look at a company’s growth trends, such as at what pace it’s growing its revenue or customer base. Paying attention to “company guidance” — the projections the corporation gives when it releases earnings — can also be helpful in trying to gauge growth.

Outside Influences

Investors can also learn a stock’s beta, or its sensitivity to volatility in the broader market. Some companies are more vulnerable to changes in the domestic or global economy, and others may see their fortunes swing depending on the political party in charge of a government.

Learning a stock’s beta or finding one’s portfolio beta are ways investors can better gauge how much volatility their holdings will experience when there’s turbulence in the broader market.

Pay Attention

Once a potential investor has evaluated a stock they’re hoping to buy by analyzing the company’s financial filings and employing a few stock valuation formulas, there is one last step that can help inform the decision: Paying attention.

There are hundreds, if not thousands, of helpful online news sites and tools to help you research companies, screen stocks, and model a stock’s potential in the future. Here are some viable options.

Financial News Sites: There are numerous financial news sites to read, and you can even try looking at stock market forums to stay on top of things.

Online Financial Tools: Stock screeners help you filter stocks according to the parameters you set, whether you’re looking for blue chip stocks or less-established companies in which to invest.

Company Details: Research more than just the financial facts and figures. Find out how it makes money, the core values of the business, CEO performance, and more. Much information can be gleaned by searching reputable news and business media sites for articles and features about the company and its leaders.

Value Traps

Another common term to be familiar with is value trap — a stock that appears deceptively cheap but is actually not a good pick. Investors who follow the value style of investing tend to be very wary of value traps.

Because while these might seem like bargains, they’re usually not good businesses and may be trading at cheap valuations due to a permanent downhill move or industry changes, rises in costs, or bad management.

Whether a stock is a value trap depends on how the stock performs. If it moves back up to its “intrinsic value” or its true worth, it was indeed a bargain. But if it continues downward or stagnates, the market value was basically a true reflection of its intrinsic value.

The Takeaway

There are a number of key terms, indicators, tools and tips that can help potential investors learn to evaluate a stock and its company’s performance. Investors can review a company’s balance sheets, and forms 10-Q and 10-K to get relevant information about a company’s financial performance and outlook.

Investors looking to evaluate stocks should also be familiar with certain ratios, which can indicate earning potential, debt, and dividend performance, among other indicators that can signal the health of the company and the stock.

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FAQ

What is the difference between price-to-earnings ratio and price-to-sales ratio?

The difference between price-to-earnings ratio and price-to-sales ratio is that P/E ratios compare a company’s share price to its annual profits, and P/S ratios compare share price to annual revenue.

What are some online financial tools that can help me screen and compare stocks?

There are numerous online stock screeners, market simulators, and comparison tools that can be found online, and investors who are interested can try them out to see which they prefer.

How far back should you go when evaluating stocks?

Investors may want to go back a couple of decades when evaluating stocks, as too short of a time frame may not provide enough context, and too much may not prove helpful. But ultimately, it’ll be up to personal preference.

What are some factors that can affect the stock price of a company besides its financial performance?

Stock values can be influenced by any number of factors, including changes to the economy, political changes in a given country, and even things like bad weather.