If you earn $150,000 a year in NYC, moving to Miami could save you one-third of your income — here's how the math works (plus 2 ways to save big without having to relocate)

If you make $150,000 a year in New York City, moving to Miami and earning the same salary could save you roughly one-third of your income in total cost of living expenses and taxes, according to a new study by financial information provider SmartAsset.

Living in Manhattan costs roughly 138% more than the national average, while living in Miami costs just 23% more, the SmartAsset study found. This analysis accounted for differences in housing, transportation, utilities, groceries, healthcare and miscellaneous costs between the country’s largest cities.

Altogether, a person living in New York earning $150,000 could save close to $49,000 of their total income after taxes and average cost of living in Miami. That’s roughly 32% of income left over for discretionary spending (on times such as holidays) or investments. Disposable income in New York was significantly lower, which could meaningfully impact quality of life.

This stark contrast in income value could partly explain what’s driving more people from New York City to Miami in recent years. Overall, nearly 65,000 Empire State residents (64,577) moved south to the Sunshine State in 2022, according to analysis of Florida Department of Highway Safety and Motor Vehicles data by the New York Post.

In the midst of national inflation headaches, moving to a cheaper, less-taxed city makes sense. However, relocation isn’t the only way to save money. Here are two ways to save big without packing your bags.