‘Young And Rich’ People Are Flocking To New Jersey, Study Says

NEW JERSEY — New Jersey ranks among the top five states where the “young and rich” are moving, according to a new report.

SmartAsset examined the most recent publicly available tax returns in an attempt to find where the most adults aged 26 to 35 – and who earn a household income of $200,000 or more – are moving.

New Jersey landed at the number three spot on the list, behind only Florida and Texas. The Garden State saw an inflow of 3,311 people that reached the threshold and saw an outflow of 2,263: a net addition of 1,048 “young and rich” residents.

According to SmartAsset:

“While high earners in general left New Jersey, rich young people are flocking to it. Across all age groups, New Jersey lost 2,617 high-earning tax filers in 2021. However, the state netted 1,048 new rich young professionals in the same year. This was the most dramatic reversal from the aggregate trends.”

Nationwide for people aged 26 to 35, only 2 percent of tax returns filed show an income of $200,000 or higher. Despite its small size, this cohort actually makes up 16 percent of the income for this age group – an outsized tax base that can impact local businesses and government revenues, researchers said.

Read the full report and see its methodology here.

LEAVING NEW JERSEY: FACT OR FICTION?

Are people moving out of New Jersey? It depends who you ask.

Some people point to an annual study done by United Van Lines, which said that more residents moved out of New Jersey than any other state in 2022 – the fifth consecutive year New Jersey found itself atop the list. According to United Van Lines, 67 percent of New Jersey moves were outbound, which is down from the five-year trend of 70 percent.

Many pundits have thrown water on that number and dubious distinction, however.

“It’s bunk,” a report from the New Jersey Monitor declared after the most recent study was released, pointing out that researchers are basing their conclusions by only analyzing data from United Van Lines’ parent company – and ignoring data from its competitors, such as U-Haul, or people who choose to move using their own vehicle.

According to the U.S. Census Bureau, New Jersey only saw a 0.3 percent drop in its population between April 2020 and July 2022, going from about 9,289,031 residents to 9,261,699.

• See Related: NJ's Population Grew By More Than 500K By 2020, Census Bureau Confirms

Another recent study from Rent.com said that renters around the country are on the move, and many of them have headed to the Garden State. From July through September, 194,171 renters moved to New Jersey, while 103,532 left the state, researchers said. Only North Dakota had a higher proportion of renters moving in than moving out during that span.

• See Related: Rent Surges In NJ As Tenants Flock To State: Study
• See Related: Newark Is Still New Jersey's Largest City – Here's Why It Matters

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