Simple strategies to help you save money
Sorry New Yorkers, when it comes to saving money, it stinks.
According to a recent study by MagnifyMoney, a financial services website, New York City ranked third among the worst states for spending money.
It could be worse. Our friends from Lost Frontier finished last. High unemployment and low wage growth, combined with relatively expensive housing relative to income, make Alaska the worst state for savings. The Sunshine State is doing only slightly better – billed as the second worst state to spare – thanks to stronger wage growth and lower unemployment.
According to the study, a high median income here in New York helps offset high housing costs, giving us an advantage over Florida and slightly better conditions for saving.
We only have to look east to see the true loyal savers. When it comes to withdrawing money, Vermonters are the most disciplined savers. Low unemployment and rising wages help. From May 2020 to May 2021, the state posted an employment growth rate of 10.1% as well as an unemployment rate of 2.6%, the second lowest in the country behind New Hampshire.
You can always move to a more creditworthy state. Cutting costs is one of the most common reasons consumers decide to move. Over the past few months, the proliferation of remote working has prompted some to move to a cheaper or generally more desirable location, but MagnifyMoney’s senior content director, Ismat Mangla, encourages those people to weigh all the factors.
“Will your company adjust your salary based on where you live?” Mangla asks. âIf you have to leave this job, will there be other opportunities for you in your new field? Just make sure that you make a decision like this with a clear head and that you consider all the scenarios. “
Since saving money is the foundation of financial security, the struggle remains real here in New York. You can swear to spend less and save more, but somehow, every time you commit to putting more money aside, something shows up. One week your water heater breaks down. The next week someone slips your car aside and leaves no notes.
The reality is that the right time or the right terms to save money may never come, no matter where you live. But, if you aspire to great savings, here are some tips, courtesy of MagnifyMoney.