LordosisParticipantStatus: PhysicianPosts: 1860Joined: 02/11/2019
I consider NY to be an unfriendly state for physicians and high earners in general. I was at a conference and a representative from one of the state medical societies and a couple of state representatives was explaining their plan to make the state a single payer system and they would afford this by doubling the state tax. I questioned the effect that doubling an already higher then average state tax would have on recruiting new physicians to the state and they assured me that was not going to be a problem because people do not look at those things or care much about local taxes. I gave up and walked away.
First off I know this is likely not going to happen and the people I was talking with were small potatoes so I do not expect much.
Am I crazy to think that If my state tax went from 7 to 14% that might deter people from working in the state? I live here because of family and would hate to move but PA is not that far away and I would consider it if it would greatly impact my financial life.
Do you think this scenario would effect the average doctor from coming to NY or just the financially literate ones? (who will probably retire early anyways) As dumb as our profession can be with finances we seem to be a pretty tax adverse group.
I would love other opinions.
“Never let your sense of morals prevent you from doing what is right.”LithiumParticipantStatus: PhysicianPosts: 1177Joined: 02/15/2016
Rick Scott wrote an op ed in the WSJ yesterday about why New Yorkers are moving to Florida. It is pretty much financial/political porn but I do think the effect of this is real. Some in your face nuggets that stood out were that AOC’s mother moved to Florida, and that Florida recently passed New York for third place in US population. Pennsylvania also recently passed Illinois, an even more crooked state.
One nice thing I will say about New York is they have kept their pension well funded. Many of their neighbors aren’t in such great shape and may have to raise taxes eventually to make up the shortfall.GParticipantStatus: Physician, Small Business OwnerPosts: 1799Joined: 01/08/2016
As I’ve stated elsewhere on this forum, although there were multiple reasons that I left NY after training, a major consideration was the state income tax.
I left NY to do locums in a no-tax state before I settled in a different no-tax state.
To your point, there are plenty of docs who have no grasp of their finances and just as many who feel it is worth paying a residency tax.
Hard to measure the data.March 21, 2019 at 8:18 pm MST #200249ZzyzxParticipantStatus: PhysicianPosts: 198Joined: 09/24/2018SeanParticipantStatus: PhysicianPosts: 94Joined: 01/15/2016
Surprising how many docs are oblivious to the tax situation where they live and work. Maybe because they need to be there for whatever reason(s) anyway, they subconsciously ignore the subject. I was speaking to one from Maryland and pointed out that not only does that state have a 5.75% state income tax, each county adds another 2-3% on top of it as a county income tax! This doctor said she doesn’t pay that! Huh? I’m guessing he just lets his accountant do the taxes and cuts a check.March 21, 2019 at 8:46 pm MST #200255RosieQParticipantStatus: PhysicianPosts: 181Joined: 06/03/2017
If I were to invest all the amount that I spend in CA income tax and invest it at 5% real return it would add 1.7 million to my retirement portfolio in 30 years. That hurts. That being said Ill have more than enough to retire by my mid 40s to 50s and live in a beautiful place next to family so not sure how much there is to improve. It kills me seeing all the debates in the state government about even raising taxes further.LordosisParticipantStatus: PhysicianPosts: 1860Joined: 02/11/2019
Sorry CA folks. I know you have it worse. But at least you get nice weather.
“Never let your sense of morals prevent you from doing what is right.”ENT DocParticipantStatus: PhysicianPosts: 3517Joined: 01/14/2017
Sounds like doubling down on stupid to me.hatton1ParticipantStatus: PhysicianPosts: 3064Joined: 01/11/2016
I think some people will leave. Some types of practice are very mobile. I am always amazed that people stay in states with high state taxes and property taxes. Some people have literally never visited a low tax state.
I blog at http://doctoroffinancemd.com/March 22, 2019 at 5:05 am MST #200297CordMcNallyParticipantStatus: PhysicianPosts: 2846Joined: 01/03/2017they assured me that was not going to be a problem because people do not look at those things or care much about local taxesClick to expand…
If they didn’t look at it before, they will once the new tax hits their paycheck.
“But investing isn’t about beating others at their game. It’s about controlling yourself at your own game.”
― Benjamin Graham, The Intelligent InvestorSerrateAndDominateParticipantStatus: PhysicianPosts: 487Joined: 02/01/2018
I’m doing my first fellowship in Upstate NY now. While I enjoy my coworkers, no way I’m staying up here
Earn everything.bean1970ParticipantStatus: PhysicianPosts: 550Joined: 07/12/2017It is pretty much financial/political porn but I do think the effect of this is real. Some in your face nuggets that stood out were that AOC’s mother moved to Florida, and that Florida recently passed New York for third place in US population.Click to expand…
it’s real here down in FL and getting pretty crazy (more so than usual). Where i live from the interstate (less than a mile) there used to be one traffic light and two lanes each way with a few businesses. Now there are four lights and road ripped out going to four lanes each way. And that’s just my street. The increase in people everywhere is very noticeable particularly in the last two years. My husband and I talk about moving just to get out now. Willing to pay the tax just to be less crowded. (like middle of nowhere Midwest). We also had a governor candidate just run on a platform of starting state tax. And he almost won….March 22, 2019 at 7:08 am MST #200319PanscanParticipantStatus: ResidentPosts: 1090Joined: 03/18/2017
How are you going to have a state single payer system. Can you imagine what a nightmare that would be? If they do single payer it will be national.
Very foolish pointsENT DocParticipantStatus: PhysicianPosts: 3517Joined: 01/14/2017
Yes but laws were passed that essentially made it all but impossible to raise taxes in FL – requiring a supermajority in both legislatures. So had the socialist won he wouldn’t have been able to do anything. FL will be no state tax for some time.DreamgiverParticipantStatus: PhysicianPosts: 868Joined: 03/09/2017
We moved away from NJ and the awful taxes were part of the reason. I don’t think we could do FL, the heat and humidity are just too much, plus I need desert, mountains and snow, all within a short drive from our house.