New York's declining share of millionaires
May 1, 2025
There is a nonpartisan, nonprofit think tank based in New York called the Citizens Budget Commission (or CBC). And this week they launched Competitive NYC. The intent is a kind of dashboard that provides insights into NYC's overall competitiveness — specifically its ability to attract and retain both residents and businesses. I won't summarize all of the findings; if you'd like to take a look, you can do that here. But I did want to point out one finding.
Here's a chart showing the top 10 states for people with incomes greater than $1 million:
The number of "millionaires" in New York state increased from 35,802 in 2010 to 69,780 in 2022, but its share of US millionaires declined the most. Previously it was 12.7%, and in 2022 it had dropped to 8.7%. On the other end of the spectrum, the state with the biggest share gain was Florida.
The tracker goes on to suggest that high taxes may be a factor for households moving out of New York City. Here's a chart showing taxes per $1,000 of personal income:
New York state is the highest and is 56% above the US average, whereas Florida is 31% below the average. Florida also has the sunshine thing going for it. This migration trend aligns with what was talked about a lot during the pandemic. Between April 2020 and July 2022, NYC lost nearly half a million residents, a chunk of which went to Palm Beach and Miami-Dade Counties.
It's a reminder not to take competitiveness for granted, especially when there's a clear trend toward places with warmer weather. People can and will vote with their feet.
Cover photo by Andre Benz on Unsplash; charts from CBCNY
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