Those who are both young and rich are on the move.
Recently, financial service SmartAdvisor Match pored over the most recent data — from 2021 — in all 50 states and the District of Columbia to determine where young, rich people have been moving. It defined these high-earners as people between the ages of 26 and 35 who earn at least $200,000 in adjusted gross income annually, counting them based on the inflow of such folks’ tax returns to the state.
Two states — New York and California — are losing the largest number of these folks. But where are they headed?
Here are the states that are attracting young, well-heeled new taxpayers in droves.
Net migration to this state by people ages 26 to 35 with an adjusted gross income (AGI) of $200,000 or more: 2,175
If you are piling up the money, moving to Florida can make sense. The state is among nine that do not charge an income tax.
Net migration to this state by people ages 26 to 35 with an adjusted gross income (AGI) of $200,000 or more: 1,909
Like Florida, Texas does not have a state income tax. It’s also home to major cities full of opportunity, such as Dallas, Houston and Austin.
3. New Jersey
Net migration to this state by people ages 26 to 35 with an adjusted gross income (AGI) of $200,000 or more: 1,048
Unlike the No. 1 and No. 2 states, New Jersey has high taxes on income. However, if you want to leave New York but don’t want to roam too far away, New Jersey is a good alternative.
SmartAdvisor Match notes that wealthier residents generally left the Garden State in 2021 while the remaining mix of high earners “leaned more into the 26 to 35 crowd.”
The rest of the top 10
Here are the rest of the top 10 states and the number of rich young people arriving in 2021:
- Colorado: 754
- North Carolina: 721
- Connecticut: 660
- Washington: 464
- Tennessee: 441
- Arizona: 321
- South Carolina: 318
If you want to join the wealthy — whether you are young or old — check out “The 10 Golden Rules of Becoming a Millionaire.”