Americans who earn six-figure incomes and want to earn more They're gathering in Florida.
The Sunshine State has the highest concentration of high-income workers making at least $200,000, according to a new analysis from SmartAsset. And given that Floridians typically enjoy a lower cost of living than those living in more expensive states, high-income earners tend to move to Florida even in expensive cities like Miami. Doing so could potentially save you hundreds of thousands of dollars.
A June SmartAsset study found that a person living in Manhattan and earning $650,000 could save about $200,000 in living and tax-related expenses by moving to Miami and keeping the same salary. That's what it means.
new york is one of the world The most expensive city. According to SmartAsset, costs in Manhattan are approximately 137% higher than the U.S. average, which is why jobs in New York City pay more than the average U.S. salary.
According to the most recent data available from the Bureau of Labor Statistics, the cost of living in Miami is nearly 23% higher than the national average, and the typical worker earns slightly less than the national average. Workers in the Miami, Fort Lauderdale and West Palm Beach areas earn an average hourly wage of about $28.36, slightly below the national average of $29.76, according to the agency's latest report.
Florida has no state income tax, which also means that taxes for high earners are generally lower than in other metropolitan areas in the country. According to SmartAsset, someone with a six-figure annual income and living in Miami would typically be taxed between 27% and 35%, while someone at the same income level living in Manhattan would see an effective tax rate of 36% to 45%. That's what it means.
San Franciscans may not be able to save as much as New Yorkers, but they could still benefit financially from moving to the Sunshine State. High-income earners living in San Francisco could save about 24% of their salary by moving to Miami, a SmartAsset study found.
They may find Miami's tax system more advantageous. In San Francisco, people who earn between $150,000 and $650,000 typically pay a tax rate of 36% to 46%.significantly exceeds the amount Miami taxes you according to your income level.
According to SmartAsset, high-income earners who move from Chicago to Miami may be able to lower their taxes, although the savings may be modest. Although the cost of living in Chicago is lower than Miami, a Chicagoan with an income of $150,000 to $650,000 will be taxed a higher tax rate of 32% to 40%, according to SmartAsset.
According to SmartAsset, here's how much money someone earning between $150,000 and $650,000 can save by moving to Miami from San Francisco or Chicago.
If you are considering moving, be sure to do more than just research. It includes not only the cost of living, but also factors that can affect your potential quality of life, such as access to local culture, entertainment, food, and medical services.
While the promise of lower taxes may seem appealing, it's important to remember that taxes fund local infrastructure, public transportation, and other essential services. Be sure to consider the trade-offs.
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