We moved from California to Utah for the financial freedom to start our own business, but it wasn't as affordable as we thought. After 3 years, we're ready to move back home. (2023)

FAQs

Why do people move from California to Utah? ›

A lot of people from places like back East and California, they want to get out of the big cities and get somewhere where they can live a more healthy lifestyle.” Another big draw of Utah is the health of our economy, Cutler and Anderton agree.

Cost of Living in Utah vs. California

Overall the cost of living in California is 32.3% more expensive than Utah, and you don't get the traffic you do in CA!

#2. California to Utah Means Lower Taxes

California tops the list with the highest income tax rate of 13.30%, whereas Utah has a flat income tax rate of 4.95%. Combined State and local sales tax rates for California come in at 8.82%. Utah's combined tax rate is 7.19%.

Strictly from a financial standpoint, Utah is generally a more advantageous place to live than California. However, that's not the whole story. As one of the world's largest economies, California and its major cities provide immense opportunities – from education and jobs to culture, entertainment, and so on.

Utah is known for its scenic beauty, and it might seem that it's one of the most expensive places to live in the country. However, this outdoor adventure paradise is actually cheaper than many states in the US. With low energy prices, property taxes, and a low utility index score, Utah has plenty to boast about.

The state uses a flat tax rate of 4.95% for all income levels and the sales tax rate is 4.85%. Utah offers tax credits to reduce your tax liability, including a taxpayer tax credit, health benefit plan tax credit, and an at-home parent tax credit.

Utah also has a flat 4.85 percent corporate income tax. Utah has a 6.10 percent state sales tax rate, a max local sales tax rate of 2.95 percent, and an average combined state and local sales tax rate of 7.19 percent. Utah's tax system ranks 8th overall on our 2023 State Business Tax Climate Index.

The state with the highest taxes is New York. New York is one of the states with highest income tax rates as well as high sales tax rates, high property taxes, and high excise taxes.

Is California the highest taxed state? ›

But in case you're wondering, California eventually has the highest state tax rate in the country, with 13.30% charged on any income over $1 million.

Larceny-theft is the most prevalent property crime in Utah, making up 78% of all reported property crime—7% higher than the proportion nationally. Burglary is less common in Utah than throughout the country, accounting for 11% of all property crime in the state, versus 14% of all property crime in the US.

Utah is home to five national parks and 43 state parks, many of which are right around Salt Lake City. Lots of people moving to Utah consider the statewide scenery and abundant natural beauty to be just as enticing and attractive as the strong economy and moderate cost of living.

1 was California, which fell to No. 4 in the latest estimates, with 8,504 Utahns moving there. Others top 10 destinations for Utahns who moved in 2019 included: Arizona, 8,917; Idaho, 7,371; Nevada, 6,593; Washington, 5,440; Oregon, 3,684; Florida, 3,433; Ohio, 2,629; and Colorado, 2,458.

Utah saw the highest percentage of population growth among all states from 2010 to 2020, according to U.S. Census data. California is the biggest source of people moving into Utah, studies have shown. In 2018, there were some 18,000 Californians who moved to the Beehive State.

The minimum wage in Utah is $7.25 per hour.

Minors under the age of 18 must be paid minimum wage; however, and employer may pay a minor $4.25 per hour during the first 90 days of their employment.

Best overall: Roy

Located about half an hour north of Salt Lake City, Roy tops our list of the most affordable cities. With a relatively low PTI and lower-than-average rent prices, Roy is a good option for both home buyers and renters.

The economy of Utah is a diversified economy covering industries such as tourism, mining, agriculture, manufacturing, information technology, finance, and petroleum production. The majority of Utah's gross state product is produced along the Wasatch Front, containing the state capital Salt Lake City.

What is middle class income for Utah? ›

Pew explains that a middle income equals an annual household income of $52,000 to $156,000 for a family of three, based on 2020 dollars.

If you make $70,000 a year living in the region of Utah, USA, you will be taxed $16,918. That means that your net pay will be $53,082 per year, or $4,424 per month. Your average tax rate is 24.2% and your marginal tax rate is 34.5%.

$13.45 is the 25th percentile. Wages below this are outliers. $27.11 is the 75th percentile. Wages above this are outliers.

While the Beehive State saw an influx of newcomers (including remote workers) in 2020 partly due to the pandemic, many people are now leaving the northern Salt Lake City area as house prices and rents increase due to factors including gentrification and density.

Why Are Home Prices So High in Utah? Utah boasts the nation's strongest pace of job growth, along with rock-bottom unemployment, ultra-low mortgage rates, few mortgage delinquencies, and low state and local taxes.

The census reveals Provo has the highest poverty rate in the state at 31 percent. That's nearly one in three people living below the poverty line there.

Utah nonprofit corporations can obtain an exemption on state sales tax if they have been granted 501c3 status by the federal government. To apply for the state exemption, nonprofits need to complete and submit Form TC-160 and a copy of the IRS' Letter of Determination to the Utah State Tax Commission.

Is Utah a business friendly state? ›

Utah ranked as the best state for businesses for the 16th straight year in an annual conservative economic forecast this week, with New York ranking dead last.

Utah is a state that has something for all types of retirees. Its thriving metropolitan areas in Salt Lake City, Provo and St. George host exciting cultures. Utah also has striking natural scenery for active adults who want to reconnect with nature during retirement.

While you might not have to pay state income tax, your overall tax bill actually might end up being higher, depending on your lifestyle. If you don't own property and you use public transportation, for example, your tax bill likely will be significantly lower.

All of the data below comes from the Census Bureau's 2021 1-year American Community Survey (ACS) Estimates. Hawaii has the lowest property tax rate in the U.S. at 0.27%. The Aloha state has a home median value of $722,500.

The average federal income tax rate was 13.6% in 2020, according to a January analysis from the Tax Foundation. But the top 1% of earners paid an average rate of about 26%, while the bottom half of taxpayers had an overall rate of 3.1%, the analysis found.

The richest 1% of California tax filers pay the largest share of their income in state and local taxes (12.3%), but the 20% of filers with the lowest incomes pay the next highest share (11.4%).

With high-income tax rates in the Golden State, some residents wonder what the money is used for. Generally, tax money is used to pay for public primary education, parks, roads, and public safety, according to the state's Legislative Analyst's Office. Income tax is used to fund the state's budget.

Herbert Hoover, the president who's best known for fumbling America's economic policy during the start of the Great Depression, was also one of the country's most prolific tax raisers. The Revenue Act of 1932 raised the top rate from 25% to 63%, but no income bracket was spared.

Memphis, Tennessee

The most dangerous city in the USA is Memphis, Tennessee. With a population of 628,127, Memphis has a crime rate that is 237% higher than the national average. Memphis has 7,913 crimes per 100,000 people, with an exceptionally high violent crime rate.

1. Alaska. The most dangerous state in the USA is Alaska, as it has the highest combined violent and property crime rate out of any state. Out of a population of 736,081, Alaska's crime rate was 32.14 per 1,000 people in 2022, making it the state with the highest crime rate.

What to avoid in Utah? ›

The cost of living in Utah is less expensive than the national average in the United States. Many commodities and services cost less in Utah than in the United States overall. The State of Utah as the 24th highest cost of living overall. It is more expensive to live in urban areas than rural areas in the United States.

Some of the best schools and colleges are in Utah. It's no secret that Utah is regarded as one of the most beautiful states for its natural beauty. Mountains, lakes, canyons, and red rock are just a few of the state's high points. Many people come just for the activities Utah has to offer.

Is Utah a good place to live? Yes, based on the great job market, stellar economy, and amazing access to nature/recreation, Utah is among the best places to live in the US.