12 States High-Earning Americans Move To the Most
While many Americans are feeling the effects of the rising cost of living, some households are thriving. According to SmartAsset, high-earning American households can significantly impact the tax base and finances within a state.
To determine the states that high earners are moving to the most, SmartAsset examined the inflow and outflow of tax filers who made at least $200,000 in each state between 2020 and 2021. They subtracted the outflow from the inflow to determine where each state ranks on this list.
Here’s where folks making over $200,000 per year are flocking to.
1: Florida
The Sunshine State came out on top for a second year in a row with the largest influx of high-earning households. It gained 40,134 households earning at least $200,000 a year and only lost 12,567. Its lack of state income tax likely attracts people with big salaries. It added a net total of 27,567 high earners.
2: Texas
It shows just how significant Florida’s growth is that the second-highest-ranking state saw just a third of Florida’s net migration. The net inflow of high earners in Texas sits at 9,008; the Lone Star State lost 13,743 high-earning households and gained 22,751.
3: North Carolina
North Carolina is steadily rising as an ideal place for retirees and young professionals alike. In 2021, it saw an inflow of 11,437 high-earning households, while 5,991 fled the state. It snagged the third-highest net migration on SmartAsset’s list, at 5,446.
4: Arizona
The Grand Canyon State is calling many high earners. With burgeoning cities like Scottsdale, Phoenix, and Tucson, Arizona had a net influx of 4,563 households making more than $200K annually. Breaking it down, 9,763 households moved in, while 5,200 left the state.
5: South Carolina
Not to be left behind by its northern neighbor, South Carolina also saw a lot of high money-makers move to the state in 2021. With a net total migration of 4,510 high-earning households, only 2,802 high-earning households left the state, and 7,312 newcomers arrived.
6: Tennessee
With bustling hotspots like Nashville and charming, laid-back cities like Chattanooga, Tennessee is a haven for high earners. In 2021, the city saw an influx of 7,353 households making more than $200,000. Exactly 3,436 of them left Tennessee, leaving it with a net migration of 3,917 high-earning households.
7: Nevada
Home to one of the fastest-growing metros in America, many high earners are rolling the dice and packing their bags for Nevada. A net 2,785 households earning more than $200K migrated to the state in 2021.
8: Idaho
Idaho doesn’t get the attention that Florida and certain other states on this list do. But with only 931 high-earning households leaving the state in 2021, it’s a place where folks are moving in and staying put. Idaho has a net total migration of 2,315 high-earning households.
9: Colorado
Many people who dream of living in a picturesque mountain town have considered moving to Colorado. With plentiful skiing, outdoor recreation, and booming cities like Denver, it makes sense why 8,771 high-earning households moved there in 2021. But with 6,719 leaving, it “only” has a total net migration of 2,052.
10: Utah
It’s no secret that Utah is a fast-growing state, and high-earners have shown they want to be part of it. The Beehive State saw a total net migration of 1,752 in 2021, with 3,579 high-earning households moving in and 1,827 heading out.
11: New Hampshire
Two New England states round out the top 12, starting with New Hampshire. Well known as home to affluent earners in certain parts, the northern state saw an influx of 2,852 households earning more than $200K in 2021. Accounting for the 1,520 that fled, New Hampshire had a net total migration of 1,332 high earners.
12: Maine
Rounding out the list is Maine, which, according to data from Updated Points, recently experienced a 5.5% net increase in wealthy millennials. The popular New England state saw a total net migration of 1,089, with 825 high-earning households leaving and 1,914 coming in.
What Gives?
If you’re wondering why many of the states land on this list, low state income tax (or lack thereof) plays a significant role. SmartAsset says four out of the ten states with the largest net influxes don’t levy a state income tax.
Saying Goodbye
America’s capital had the opposite effect for the states on this list, with high earners leaving Washington D.C. in droves. SmartAsset says that as a percentage of all filers, high earners left D.C. faster than any other state; it lost a net total of 2,009 high-earning households.
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