Hidden Costs of Cheaper States (Baltimore, Frederick: bad credit, property taxes, health insurance)

[jaindow]

One thing that I've seen come up often on the board is the desire to move to a cheaper state than MD, and I thought it might be helpful to list some of the "hidden" costs that one might not think to consider, but maybe should consider, before deciding which cheaper state to move to.

For instance, during the time we lived in Louisiana (LA),

• Sales Tax On Food: We paid 9% sales tax on everything we bought, including food.
• Car Insurance: We paid more for car insurance in LA because there was such a high incidence of accidents and uninsured motorists. We were with Nationwide when we moved to LA and they would not insure us anymore. They told us the company did not cover LA since it was such a high risk state (That was ironic and quite hilarious given their name!)
• Health Insurance Premiums: We paid more health insurance premiums and out-of-pocket costs there because the plans we had were not as comprehensive.
• Car Transfers: At the time we transferred an out-of-state vehicle to LA, in addition to the normal fees for transfer, there was another fee for doing so, which was a percentage of the blue book value of your car.

Does anyone else have any suggestions for things to consider?

[mom2boys37]

Originally Posted by jaindow

One thing that I've seen come up often on the board is the desire to move to a cheaper state than MD, and I thought it might be helpful to list some of the "hidden" costs that one might not think to consider, but maybe should consider, before deciding which cheaper state to move to.

For instance, during the time we lived in Louisiana (LA),

• Sales Tax On Food: We paid 9% sales tax on everything we bought, including food.
• Car Insurance: We paid more for car insurance in LA because there was such a high incidence of accidents and uninsured motorists. We were with Nationwide when we moved to LA and they would not insure us anymore. They told us the company did not cover LA since it was such a high risk state (That was ironic and quite hilarious given their name!)
• Health Insurance Premiums: We paid more health insurance premiums and out-of-pocket costs there because the plans we had were not as comprehensive.
• Car Transfers: At the time we transferred an out-of-state vehicle to LA, in addition to the normal fees for transfer, there was another fee for doing so, which was a percentage of the blue book value of your car.

Does anyone else have any suggestions for things to consider?

Sales tax and luxury tax here in maryland

Insurance--bad credit=higher rates regardless of your driving record..ever try to insure a car in Baltimore City??? I will be paying more in Garrett County than I will in Frederick where there are a bunch of idiots driving around here

Health Insurance-I pay 700 a month for myself and my kids without my husband on the policy

Car Transfers---Maryland MVA is a big ole rip off..you have to pay for everything and god forbid if you don't turn your tags in they will really sock it to ya

[kjg1963]

Until this recent sales tax hike in MD, we had some of the lowest rates. Many other states tax food also. One state even adds an additional tax to prescription drugs. In Maryland, your car can only be taxed once at time of purchase. We don't have to get it inspected every year like other states either. MVA only charges for registration and emmissions, a 2-year tag for under $200 is not bad. If you don't turn in your tags, who's fault is that? That has more to do with having your vehicle insured than anything else.

BTW, wasn't this a discussion of other states, not about Maryland bashing?

VA has yearly taxes on your vehicle and yearly inspections. They tax food.

[mom2boys37]

Originally Posted by kjg1963

Until this recent sales tax hike in MD, we had some of the lowest rates. Many other states tax food also. One state even adds an additional tax to prescription drugs. In Maryland, your car can only be taxed once at time of purchase. We don't have to get it inspected every year like other states either. MVA only charges for registration and emmissions, a 2-year tag for under $200 is not bad. If you don't turn in your tags, who's fault is that? That has more to do with having your vehicle insured than anything else.

BTW, wasn't this a discussion of other states, not about Maryland bashing?

VA has yearly taxes on your vehicle and yearly inspections. They tax food.

NO it was about other prices in other states..shall we compare property taxes, rents, and the prices of houses ??and trust me MD MVA does not just charge your for the registration and emissions. Ever buy a car from a private party?? Thats called inspection fees that you must pay the state and not to mention all the time you lose standing in line. I would rather have my car inspected once a year and show proof of insurance than all these people driving around uninsured.

[Tim Rankin]

We had friends who moved to Texas and thought they'd save money because of no state taxes.

But their property tax went from $3000 to $10,000, property insurance from $500 to $3500, and their electricity rate almost tripled! [per month]

On the other hand we moved from MD to NM, and our state taxes dropped from about $185 to $90. Everything else stayed about the same.

[kjg1963]

Originally Posted by mom2boys37

NO it was about other prices in other states..shall we compare property taxes, rents, and the prices of houses ??and trust me MD MVA does not just charge your for the registration and emissions. Ever buy a car from a private party?? Thats called inspection fees that you must pay the state and not to mention all the time you lose standing in line. I would rather have my car inspected once a year and show proof of insurance than all these people driving around uninsured.

Inspection is $70 bucks. Like I said, its a one time thing for the time you own the vehicle. Do you want to not pay it and drive around in a death trap? Standing in line in a Motor Vehicle Administration is not just a Maryland thing. Also, most of the things you would need to do (tag renewal) can be done on line. Maryland is also very strick about insurance. All insurance companies will notify MVA when your insurance is no longer in effect. When I lived in Virginia my yearly inspection did not include showing proof of insurance. So, when do you plan on moving to another state? You seem to be a mighty miserable person and Maryland seems to be the cause. Hope you can get to that utopia you believe is anywhere else but here.

[ESFP]

Well, you get what you pay for, I guess. A lot of people in Virginia home school because the public school conditions and education potential are so horrible there. You can tell when you enter VA because the roads suddenly turn bad. I don't mind the taxes in Md. When I need police, or any other tax revenue pay service, MD usually responds pronto. In WV or VA, which I've lived in both, you'll hear service will be restored within 5 days, or 48 hours... Other things include ease of voting, traffic control, libraries... Everybody has an opinion, and I'm sure MD has not performed well for everyone. That's the great thing about the U.S.A. You can live wherever you want, for whatever reason.

[Tim Rankin]

Originally Posted by ESFP

I don't mind the taxes in Md. When I need police, or any other tax revenue pay service, MD usually responds pronto. ... Other things include ease of voting, traffic control, libraries...

Great points, ESFP!

p.s. Like the screen name too.

[jaindow]

Originally Posted by kjg1963

BTW, wasn't this a discussion of other states, not about Maryland bashing?

Yeah, the intention of the thread was to be helpful by highlighting some of the cost of things one might want to look into before moving to another state or to compare among a few different states before making a final decision where to go.

In the past I have moved from Arizona to Louisiana, which have both been considered cheaper states by many people. On the surface they appeared to be an equal choice for cost of living, but once I moved to Louisiana there were plenty of costs much higher than Arizona's that would have never crossed my mind to look into before moving and it would have been extremely helpful to know about them.

[mom2boys37]

Originally Posted by kjg1963

Inspection is $70 bucks. Like I said, its a one time thing for the time you own the vehicle. Do you want to not pay it and drive around in a death trap? Standing in line in a Motor Vehicle Administration is not just a Maryland thing. Also, most of the things you would need to do (tag renewal) can be done on line. Maryland is also very strick about insurance. All insurance companies will notify MVA when your insurance is no longer in effect. When I lived in Virginia my yearly inspection did not include showing proof of insurance. So, when do you plan on moving to another state? You seem to be a mighty miserable person and Maryland seems to be the cause. Hope you can get to that utopia you believe is anywhere else but here.

Oh I will and you all can have this place. And I was thinking, how do you get off saying you are only taxed once on a vehicle. When you buy a car you are taxed, when you buy another car you are taxed and so forth.