SAN DIEGO — The #1 state wealthy Americans are leaving? California! You may not guess the top state they are moving to.
High-income earners are moving in "The Great Wealth Migration."
New data from MyEListing, an online resource for commercial real estate, provides insight into the current lifestyle trends.
They ranked U.S. states based on tax laws, economic prospects, and lifestyle offerings.
Here are the top nine states with the most significant net negative outflow of wealth ranked. In other words, this reflects which states high earners are leaving the most.
States With the Largest Net Negative Tax Income Migration
1. California (-$343.2 million)
2. New York (-$299.6 million)
3. Illinois (-$141.7 million)
4. New Jersey (-$135 million)
5. Massachusetts (-$129 million)
6. Ohio (-$122 million)
7. Pennsylvania (-$119 million)
8. Michigan (-$117 million)
9. Indiana (-$115 million)
According to recent IRS data, California is #1 with a staggering net loss of $343.2 million.
Why?
Many high-income earners are fleeing the Golden State due to sky-rocketing income tax rates and high cost of living, making it a less desirable destination for wealthy Americans.
The study also finds this could impact job creation as high-income earners play a role in business expansion.
Conversely, high-income earners are relocating to these three states: Florida, Texas, and Arizona.
States With the Largest Net Positive Tax Income Migration
1. Florida ($12.4 billion)
2. Texas ($10.7 billion)
3. Arizona ($9.4 billion)
4. Colorado ($8.6 billion)
5. North Carolina ($7.8 billion)
6. South Carolina ($7.2 billion)
7. Tennessee ($6.9 billion)
8. Utah ($6.7 billion)
9. Georgia ($6.6 billion)
Florida has a net income migration of 12.4 billion dollars.
A main reason? Florida has no personal income tax, and neither does Texas.
Also rounding off this list, wealthy Americans are moving to Colorado, North Carolina, South Carolina, Tennessee, Utah, and Georgia.
So that begs the question, are you staying in California or moving? Let us know on social media.
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