Salary comparison from previous city to DFW (Houston, Dallas: rent, car insurance)

[nissan]

We moved from Philly 5 years ago and, same as other members, I took a pay raise to come here. It was not a company relo, but I was tired of the commute in Philly and weather, so I looked at new opportunities in a couple states. The offer was higher than what I would have gotten if I had switched companies in PA. My wife was on an NYC salary at the time and maintained that. There's no way I would have moved if the offer had "adjusted" for the lower cost of living.

Over that period of time, we've been able to purchase a much larger home, send 2 toddlers to private school and upgraded our cars (after the usual 401K maxes, add'l savings, etc.). Unquestionably, if someone has an east/west coast salary, their $ will go farther. Since then, my wife works from home on a San Fran salary, so companies just value the experience and skills you bring and [shouldn't] adjust salary based on where you choose to live.

[TexanByMarriage]

Originally Posted by EDS_

I don't understand that logic at all. If the company says we'll move you to say Frisco but cut your salary to $85 or even $65K.............from a purchasing power perspective the OP should make the move.

________________________

I did a little bar napkin analysis for one of my wife's employees a while back (I've done maybe 100 over the years for people considering leaving SF, NYC and DC and a few considering moving to these places). I don't have the numbers at hand so I might be off a little - but this'll be close.

In San Francisco my wife's employee made $165K his wife made around $50K. His commute was car + ferry + foot totalling a shade less than 2 hours morning and night. They lived in a clunker old house apparently.

Catalyzed by a relatively severe family issue he and my wife agreed he'd move to Nashville keeping his salary @ $165K. The net is they bought a very nice new-ish home with a garage and a legit yard, the lady of the house was able quit working in order to attend to the family issue noted above, his commute is about 3 minutes by car although he usually walks. And the kicker according him his kids attend markedly better schools in Nashville.

Would think the analysis (from an economical stand point) on the move from SF to Nashville with the same salary is pretty easy :-) The difference within the country is pretty remarkable.

[Soccernerd]

Of the three places that we've lived (St. Louis, Atlanta and Dallas), DH and I have found that they all have about the same COL. In terms of taxation, St. Louis probably was highest with Dallas following it. Our house in Frisco is a bit cheaper without being too smaller than our former house in Atlanta.

Groceries are probably slightly more in Atlanta than in St. Louis or Dallas. Utilities are also slightly more.

It’s overall been a wash. With each move, we have gotten pay raises but that’s probably atypically.

[TurtleCreek80]

Originally Posted by RJ312

I previously lived in Phoenix, Arizona, which is a slightly less expensive metropolitan area. I also moved to Dallas without a job. Phoenix did not provide me with the career opportunities that I was seeking. For a city of its size, Phoenix has surprisingly underwhelming job quality. The quality of jobs in Phoenix is on par with what would be expected in a smaller metro area, such as an El Paso. Part of this is because Phoenix was essentially nothing before the spread of cheap air conditioning. In 1950, Maricopa County (containing all of metro Phoenix) had a population of 331,770. By 2000, it was over 3 million and it is now 4.4 million. The growth has been phenomenal but infrastructure has not kept up. Corporate headquarters have not relocated there as the population has grown. It is a situation where because the city used to be small, legacy companies like the Procter & Gamble's of the world aren't there, nor did any innovative tech companies headquarter in Phoenix when the internet took off starting in the 1990s. Phoenix caters to retirees (immense medical jobs), tourists, government (state capitol), and Arizona State. If a person isn't in any of those fields, employment isn't great.

In 1950, the combined population of Dallas-Tarrant-Collin counties was approximately 1 million, which is 3x the size of metro Phoenix at that time. It is a city with greater history than Phoenix, and legacy companies have headquartered here. Over time, more companies have chosen to make DFW their home. There is a friendly business climate in DFW than in Phoenix as well.

My money has only gone further here simply because there's more money to be made here than Phoenix..

For sure DFW has a larger and more diverse economy but there is plenty of money to be made in Phoenix. My wealthiest self-made friend (like, literally broke for years after college) owns a digital agency based in Phoenix with over $35M annual revenue and rapidly growing. His company started catering to local businesses and now has 1000+ clients worldwide. They have a gorgeous place in Scottsdale.

[RJ312]

Originally Posted by TurtleCreek80

For sure DFW has a larger and more diverse economy but there is plenty of money to be made in Phoenix. My wealthiest self-made friend (like, literally broke for years after college) owns a digital agency based in Phoenix with over $35M annual revenue and rapidly growing. His company started catering to local businesses and now has 1000+ clients worldwide. They have a gorgeous place in Scottsdale.

I was disappointed it didn’t work out in Phoenix. It was the first city I lived in after college, so I had high hopes for it. Those 65-80 degree winter/spring days with low humidity are great.

From like 2011-2015 or so, when I would go out in Uptown, the bar scene would remind me of Old Town Scottsdale. Sometimes, I didn’t even know where I was, and that wasn’t due to overconsumption of alcohol. Similar attitudes from the bar attendees.

Your friend is a real success story there. That’s a nice sized agency. Building a marketing agency is hard work. Scottsdale has some nice areas. I was more partial to Paradise Valley, which I think is their equivalent of the Park Cities. Scottsdale would be like Plano.

[TurtleCreek80]

Originally Posted by RJ312

I was disappointed it didn’t work out in Phoenix. It was the first city I lived in after college, so I had high hopes for it. Those 65-80 degree winter/spring days with low humidity are great.

From like 2011-2015 or so, when I would go out in Uptown, the bar scene would remind me of Old Town Scottsdale. Sometimes, I didn’t even know where I was, and that wasn’t due to overconsumption of alcohol. Similar attitudes from the bar attendees.

Your friend is a real success story there. That’s a nice sized agency. Building a marketing agency is hard work. Scottsdale has some nice areas. I was more partial to Paradise Valley, which I think is their equivalent of the Park Cities. Scottsdale would be like Plano.

They are actually in Paradise Valley, forgot you would know that I think most tourists would just think it was Scottsdale since that’s what most of the resorts in PV are named. We just visited this last fall. Old Town Scottsdale is super cute! Except for the nine million bachelorette parties running around on the weekends!

[TheOverdog]

Catalyzed by a relatively severe family issue he and my wife agreed he'd move to Nashville keeping his salary @ $165K.

Did you have a serious typo, because your example agrees with me?

[ea0337]

Originally Posted by eastdallasmom

I think "standard Pre-K program" is intended to refer to pre-school/pre-K programs that do not run on a full-time schedule. For example, the pre-school that my kids went to had options for the younger kids to attend only 2-3 days a week, in the morning hours. Although after care was also available, there were a lot of kids from one income families or where a parent worked part/flex time, or there was some other situation (nanny or grandparent help) such that the family didn't need full-time daycare.

That makes sense, thank you.

[ea0337]

Originally Posted by Soccernerd

Of the three places that we've lived (St. Louis, Atlanta and Dallas), DH and I have found that they all have about the same COL. In terms of taxation, St. Louis probably was highest with Dallas following it. Our house in Frisco is a bit cheaper without being too smaller than our former house in Atlanta.

IMO the opportunity for an arbitrage offers the biggest financial benefit to the people who move here from the left coasts, without a COL "adjustment" to your salary as someone mentioned.

[EDS_]

Originally Posted by TheOverdog

Did you have a serious typo, because your example agrees with me?

No my example does not agree with your point above. You left out/forgot that their family income went from ~$215K to ~$165K.