Quick check on CoL - Ohio to San Diego (San Francisco: apartments, rental)

[learn24]

Hello all,


I am a single male living in Ohio making 100k. I am offered a job profile in San Diego which promises to pay "up to" 146k. It means, it can range anywhere from 136k to max 146k in San Diego.



Now, I am a frugal guy. I recently lost hard earned savings due to Covid in a foolish business (thousands of dollars!). So my goal is to earn and save better going forward.



I am a renter, not a house buyer. I currently live in a 550 sqt 1BHK for $700. My max monthly spend here is 1k per month.



I checked out few rents in Mira Mesa and everything is north of 2k per month! Also, need to consider CA taxes, insurance etc. in SD. I don't have a good idea.


Question: Knowing what I gathered from above, is it worth moving to SD knowing the CoL increase here? Is this a good move in terms of salary bump?



Thanks!

[joosoon]

Do you like Ohio? Have you ever visited San Diego before and/or do you like it here? Since it doesn't sound like you're being forced to move, I'd prioritize those questions over the financial stuff first. You could make it on your salary here but if you're looking for a similar max monthly output of what you're spending in Ohio now, it's not going to work.

[Redflag71]

If you are tired of the cold weather that would be a motivation to relocate. If you are already frugal, then you are in it to win it. You may want to consider renting a room vs renting a place just to start.
The Sunshine Tax is very real lol.

[Medicallabscientist]

Originally Posted by learn24

Hello all,


I am a single male living in Ohio making 100k. I am offered a job profile in San Diego which promises to pay "up to" 146k. It means, it can range anywhere from 136k to max 146k in San Diego.



Now, I am a frugal guy. I recently lost hard earned savings due to Covid in a foolish business (thousands of dollars!). So my goal is to earn and save better going forward.



I am a renter, not a house buyer. I currently live in a 550 sqt 1BHK for $700. My max monthly spend here is 1k per month.



I checked out few rents in Mira Mesa and everything is north of 2k per month! Also, need to consider CA taxes, insurance etc. in SD. I don't have a good idea.


Question: Knowing what I gathered from above, is it worth moving to SD knowing the CoL increase here? Is this a good move in terms of salary bump?



Thanks!

I moved from Flint, Mi to San Diego this year and took a pay increase from like 65,000 a year in Michigan to 110,00 or so here and I am doing much better financially, I am now maxing my 403b, paying all bills, and still have about 1500 extra cash. My motivation for moving here was to become a millionaire as fast as possible by living like a broke college kid and making double the salary I could earn in Michigan and so far its working great. I could never make 100K in the midwest due to my job (my field is only paid high in California) however, the fact you are making my current income in a LCOL area is like a dream come true and I would consider staying in midwest with your income though, The weather is nicer here but there are other drawbacks like inability to afford a house in good area, traffic, and overcrowding.

If you want to give it a shot check out La Jolla Nobel apartments in UTC. One of the nicest areas in Sam Diego and can get a 1 bedroom for like 1700 if you sign a 1 year lease. (6 weeks free rent)

I make 52.22 an hour and after max 403b contribution and taxes i am left with like 2,500 or so biweekly deposited into account. One paycheck covers rent, car, food, bills, etc and the second 2,500 is fun money.

You would be doing better then me at 136-150k. However I think you may find a lifestyle drop here as you are king **** making 100K in Ohio and 136K here is kind of middle class schlubbing it.

[gemstone1]

Why not use a COL comparison tool....like this one ?

Regards
Gemstone1

[someguy10]

Congrats on the job offer!

From a financial perspective: in Ohio at $100K, your pay net of federal and state taxes is going to be right around $72K/yr or $6000/mo. In San Diego, at $136K, your take home would be around $93K/yr or $7750/mo.

Housing will be by far your biggest expense change from OH to San Diego, as you've realized. Some things are more or somewhat more in SD as well -- utilities, gas, car registration, etc. Call that roughly $250/mo which should more than cover those. So, for $1500/mo more (or $2200/mo total based on your $700/mo OH apartment), I would absolutely expect that you could get a similar (probably better) apartment in San Diego.

This analysis assumes roughly equal jobs in terms of health insurance cost, retirement contributions by the company, etc. If those are not, you'll need to adjust a bit. It also doesn't consider income growth potential over time or company stability. In your field, how easy would it be to find a job tomorrow in OH vs San Diego? And finally, you will find it financially harder to buy a home and/or raise a family in San Diego, if those are near-term considerations.

At the moment, overall, this absolutely works for you from a money stand point.

[moved]

Keep in mind that you're not going to find a rental here for $700/mo, not even a closet.

[someguy10]

Also, are you really spending only $300/mo on everything else except rent? Utilities, cell phone, entertainment, groceries, dining out, car, insurances (renters, car, etc)?

Where is the job in San Diego located? I think in most places, you could find a 1BR apartment for $1500-$1800, which would put you financially ahead in SD (with the assumptions from my earlier post).

In either location, you should be able to save a substantial portion of your income.

[learn24]

Originally Posted by joosoon

Do you like Ohio? Have you ever visited San Diego before and/or do you like it here? Since it doesn't sound like you're being forced to move, I'd prioritize those questions over the financial stuff first. You could make it on your salary here but if you're looking for a similar max monthly output of what you're spending in Ohio now, it's not going to work.

Thank you joosoon,


I do like Ohio and don't mind cold weather. I have been to SD as a tourist a decade ago. I used to visit San Francisco pre-covid often for work related stuff and heard from folks how expensive CA is in general.



Now this offer is technically a bump up by one level but in terms of salary, I am making sure my savings don't go down. Also, I don't plan to settle down in SD long term...maybe couple of years.



But if I do remain in OH, then I feel like I am going to be career limited and stuck in my current role for a long time....

[learn24]

Originally Posted by Redflag71

If you are tired of the cold weather that would be a motivation to relocate. If you are already frugal, then you are in it to win it. You may want to consider renting a room vs renting a place just to start.
The Sunshine Tax is very real lol.

Agreed!