A recent study shows that wealthy millennials are leaving blue states on both coasts and heading to red states in the South by the thousands.
Millennials (ages 26 to 45), whose households earn more than $200,000 a year, are leaving California and New York in droves, and increasingly moving to Florida and Texas. According to smart asset analysis.
An analysis of the latest tax return data for 2021 and 2022 shows that California had the highest number of high-income job departures with a net loss of 9,181 households, followed by New York state with a net loss of 4,251 households. It was big.
In the Golden State, 14,139 affluent millennials moved to the state border, while an additional 23,320 left the state.
Similarly, New York gained 11,340 new affluent millennial residents but lost 15,591, the study said.
Both states have some of the highest costs of living in the country, and even the wealthy can spend more money in other parts of the country where the cost of living is lower and taxes are lower.
For example, Florida and Texas attracted the most affluent Gen Y members.
Florida saw a net increase of 6,188 affluent millennials, and Texas saw a net increase of 5,151. North Carolina was next with 1,970.
The average income for Millennials in the United States is approximately $84,000 per year.
People earning more than $200,000 “have higher disposable income and economic freedom than the median earner, so their impact on local economies can be outsized,” the report said.
Their selective migration to states “also comes with disproportionate economic power,” the report's authors said.
