At some point in time, most people end up moving to a different state. This could be for education, to follow a career path, or in an attempt to get a fresh start at life. Moving to a different state is different from moving within one, though. There are some expenses you should take into consideration before making the decision to move.
Cost of Living
Anyone who’s paid bills in different states knows that the cost of living can vary greatly from state to state. The cost of living is highest in California, closely followed by New York. Mississippi, on the other hand, has a cost of living that is thousands less. The price of your mortgage, healthcare, and even groceries can vary significantly from state to state. This can have a huge impact on your household budget, especially if your income doesn’t change to match. Look carefully at how your cost of living will change and how it compares to what your income will be before you move.
Taxes are considered part of the cost of living. Along with the other facets involved, it will vary from state to state. Each state dictates what citizens should be paying in income taxes, sales taxes, and property taxes. This extends to building custom homes in addition to those already built. Building a custom home can mean a number of city and state taxes. Part of your research before moving to a new state should include a closer look at what you can expect your taxes to look like.
Transportation may not be one of the things you think about first when considering the cost of moving to a new state, but it should definitely be on the list. There are some cities with great public transportation systems, while others don’t have much infrastructure to support such systems. Depending on where you move to, you may need to purchase a car. Consider your commute to work as well. If you move to a state that has toll roads you need to use to get around, you’ll need to plan that into your budget.
There’s a lot that goes into the decision to move to a new state. Financial considerations should be given a good amount of priority when making the decision. Think about things like the cost of living, what tax rates you’ll have to pay, and how you’ll be paying for transportation. If all of that works into your budget, that’s one less thing you’ll need to be concerned with.
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