Here’s where the young and rich are moving – and it’s not New York or California
A new study reveals that many affluent, young Americans are relocating to new cities – but it’s not necessarily to the places one may expect.
To determine where the young and rich are moving, SmartAsset used IRS data to rank states by the net inflow and outflows of young and rich households – those earning at least $200,000 per year and aged between 26 and 35.
According to the financial company, many affluent, young people often relocate for better jobs, lifestyle upgrades and tax advantages, as well as new experiences, friendships and relationships.
Young, rich people moving to Florida, Texas
SmartAsset found that Florida and Texas attracted more than double the young and rich households than any other states.
According ot the data, Florida had the biggest gain at 1,786 households, and Texas ranked second with a net gain of 1,660 young and rich households. Colorado trailed behind in third place.
SmartAsset also found that half of the top 10 states attracting the most young and rich households do not charge income tax: Florida, Texas, Washington, Tennessee and Nevada.
The data revealed that the young and rich earned the most in Nevada. The average adjusted gross income (AGI) for the young and rich in Nevada was $731,000. Wyoming ranked second for this metric at $612,000, and Floridians earned third-most at $526,000.
Top states for young, affluent adults
- Florida
- Texas
- Colorado
- North Carolina
- Washington
- South Carolina
- Tennessee
- New Jersey
- Arizona
- Nevada
California loses 3,000 young, rich households
In contrast, the study also found that California lost over 3,000 young and rich households.
FILE: Rodeo Drive in Beverly Hills, California. (Credit: David McNew/Getty Images)
Illinois lost second-most studywide with an emigration of 1,323 households. The outflow was worth approximately $5.1 billion in taxes. Massachusetts lost a net of 1,102, and New York ranked fourth-lowest with a net loss of 345 households.
Gen Z, millennials not moving to NYC, LA
This new data backs up previous studies which found younger generations opting for locations outside of the Big Apple or the Golden State.
A recent analysis published earlier this year from housing platform Zillow found that Texas gained the most Gen Z movers year-over-year.
RELATED: Millennials are moving to these cities – and it’s not Los Angeles or NYC
"Texas offers job opportunities and relative affordability. Many parts of Texas have been successful [in] building a lot of new housing to better accommodate its new residents," Zillow’s principal population scientist Edward Berchick told FOX News Digital.
Another study, published in April by Hire A Helper, found that many millennials were also moving to cities and metropolitan areas in warmer locations, much like retirees.
The moving company found that Tampa, Florida and Jacksonville, Florida had the highest net gain of millennial residents in the country in 2023.
Sandwiched between these two cities was Las Vegas, Nevada, which saw 52% more millennials move in than leave last year.
RELATED: Gen Z has found their state of choice
The Gen Z magnet Austin, Texas was also high up on the board, with 47% more millennials moving in versus moving out of the city in 2023.