Moving from Florida (Cost of Living Question) (San Francisco, Oakland: sales, rent)

[jspisak]

Ok guys so I am in a bit of a pickel here and am looking for some advice. I am going to be offered a Job in San Francisco but I am worried that the increase in pay, is not going to cover the increase in cost of living and taxes.

Currently in florida I am at 82k (with obviously no state tax). My offer is going to be for 105k, which in Florida I would take in a HEARTBEAT, but I am struggeling because of everythign I have been finding using [URL="http://www.paycheckcity.com"]www.paycheckcity.com[/URL], the increase in monthly income, is going to barley cover how much a small little studio is going to be in the city, not to mention parking.... Unless Im doing this all wrong (I really hope), it looks like it from a financial standpoint might not make sense... I dont know just need some extra advice. thanks!

[mayorhaggar]

$105k is a pretty high income for someone with no kids, you should do fine.

A studio is around $1100-1200 in SF. A one bedroom is around $1400 at the cheapest and more if you want somewhere nicer. Parking is sometimes included in rent but that is pretty rare for places that aren't really expensive. Renting an off-street parking space of some sort would probably be $200 a month at least.

Prices in the suburbs are generally a couple hundred less for the same type of units, and street parking is easier and usually safer.

[jspisak]

Doing the math on it all I know it can be done... I guess what I am more worried about is the expendable income. based on my budget and bills my expendable income will go down moving there, even on a higher salary. So I guess my questions really are is the city and lifestyle really enough to move and take a hit to my expendable income? or is that website really even right on how much is goign to be taken out in taxes... From what I can tell its accurate...

[mayorhaggar]

It's up to you if you think it would be worth it. If you are tired of the weather and how boring Florida can be, then it could be nice to live in the Bay Area. Also if you worked in SF for a couple years and got established you could probably get another job in the area for a better salary.

Compare the studio and 1 bedroom prices in SF with costs for the same type of places in Florida, because that is the main difference in costs between Florida and California. Groceries and gas are a bit more expensive but if you're in SF or near the Bay you don't have to run the a/c all the time so you don't have $200+ a month electric bills like you do in Florida or in hotter places like Walnut Creek CA. Yes there is state income tax though. It doesn't bother me because it's pretty small compared to what I pay in federal taxes but I guess mo money mo problems.

At $105,000 you should be able to afford something like $2000 a month in rent, in SF you'd get a very nice 1 bedroom for that price and some 2 bedrooms. Or you could live somewhere like Rockridge in Oakland which is a very nice area and only 20 minutes from downtown SF on BART, where you could get a basic 2 bedroom for $1200 or pay more for a nicer/bigger place. If you live in SF you really pay a premium in exchange for a denser and more walkable and transit friendly place, but the weather is colder and SF can be pretty noisy and grubby.

[gone down south]

You can 'get by' in San Francisco on considerably less than half of what you're making now - with a raise, you'll be sitting pretty.

[jspisak]

Thank you all very much for your input. The recruiter I am working with says the same thing, but damned if the math just doesnt work for me. I mean I know ill "get by", but I guess I am just shocked by how much of a increase like that can get eaten up by taxes, and then cost of living to where its almost a worse off position. I mean yeah the upside is living in San Fran, and your right Im bored out of my mind here in Florida, Moved down here for a job, got married, now divorced, there is just nothign left for me here, which is and was my main motivation for persuing the job.

I am just worried I am going to be what my dad calls "house poor" where all the money goes into simply living and you cant have fun with the extra

[capoeira]

Originally Posted by jspisak

I am just worried I am going to be what my dad calls "house poor" where all the money goes into simply living and you cant have fun with the extra

The 9.55% tax rate kicks in at just below $47,000 for single filers. Then there is the 9.5% sales tax and the huge auto registration fees.

2010 California Tax Rates and Exemptions

I think 105K in SF will feel like $40 to 50K in Florida especially if you have plans to purchase a house.

[jspisak]

Originally Posted by capoeira

The 9.55% tax rate kicks in at just below $47,000 for single filers. Then there is the 9.5% sales tax and the huge auto registration fees.

[URL="http://www.ftb.ca.gov/forms/2010_California_Tax_Rates_and_Exemptions.shtml"]2010 California Tax Rates and Exemptions[/URL]

I think 105K in SF will feel like $40 to 50K in Florida especially if you have plans to purchase a house.

Not planning on buying any time soon... and WOW based on my calculations it looks more like feeling like 80k then 40-50 thats crazy low...

[capoeira]

Originally Posted by jspisak

Not planning on buying any time soon... and WOW based on my calculations it looks more like feeling like 80k then 40-50 thats crazy low...

When you start looking at places to live in SF and see how junky and small they are you will see what I mean. My near million dollar SF condo is not as nice as a 150K townhome in the Atlanta area.

[jspisak]

Originally Posted by capoeira

When you start looking at places to live in SF and see how junky and small they are you will see what I mean. My near million dollar SF condo is not as nice as a 150K townhome in the Atlanta area.

Well ok, I know what you mean there... yeah I have been looking... Ill be lucky to get a studio in the Marina for 1500 that allows me to bring my dog... lol and yeah hello 500 sq feet of living space... It will be a change thats for sure, leaving a three bedroom house with a two car garage and backyard for the dog... But that the price you pay for city living I guess...