The Bay State might be turning into the Bye-Bye State, as new research from Boston University’s Questrom School of Business found annual net outmigration from Massachusetts soared by 1,100% to 39,000 people since 2013 – and it could reach 96,000 by 2030.
The study found outmigration cost Massachusetts $4.3 billion in adjusted gross income (AGI) and $213.7 million in tax revenue during the 2020-21 tax year. Most of the money from the exiting residents went to Florida ($1.77 billion), New Hampshire ($1.1 billion), and Maine ($393 million) – and those numbers could rise to $19.2 billion in AGI and $961 million in lost tax revenue by 2030.
Income tax, housing costs, and costs of health care were cited in the study as being the largest drivers of outmigration – and the 11 states to which Massachusetts lost the bulk of its departing residents all scored better in those categories. The age group leaving in the largest numbers is 26-34, although most of the lost AGI comes from the departures of those aged 55-64. More than half of people who exited Massachusetts earn well over the state average.
“To make matters worse, those who are leaving tend to be younger and earn more than state averages,” said Mark Williams, Boston University Questrom School of Business primary researcher and lecturer. “These are the people the Commonwealth needs to bolster its future workforce. This isn’t just retirees leaving Massachusetts for warmer weather – over half the residents who leave stay in New England.”
Photo: JJBers / Flickr Creative Commons
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