Just recently, I wrote a blog titled Level of education and salaries. I briefly compared education to average salaries and noted the highest ranked state and lowest ranked state in terms of median household income. I took it one step further to dive into highest ranked and lowest ranked state in terms of education to compare to the median household income I recently talked about. You can reference this wikipedia link for the data.
The 5 highest ranked states for % bachelor degrees are Massachusetts, Colorado, Maryland, Connecticut, and New Jersey. Each of these states are in the 10 highest ranked states in terms of median household income. These state average salaries range from $66,596 to $76,805.
The 5 lowest ranked states for % bachelor degrees are West Virginia, Mississippi, Arkansas, and Louisiana. Each of these states are in the 10 lowest ranked states in terms of median household income. These state average salaries range from $40,037 to $48,825.
According to cnbc these are the top 10 most expensive states to live in:
According to cnbc these are the top 10 least expensive states to live in:
All of this data is readily available for anyone who can work a mouse and the internet. Since we know on average, the more educated you are, the more money you are probably going to make, then you should be motivated to get educated. This means at least a bachelors degree and if possible, a graduate degree. We see the least educated states are getting paid less salary on average. We see the most educated states are getting paid more salary on average. We also see some of the more expensive states to live in have more educated and higher paid people. We see some of the less expensive states to live in have less educated and lower paid people. I am sure it goes much deeper into this, but for now we can utilize these statistics to make some life choices.
If you can land a high paying job in a state with lower cost of living, you may actually end up benefiting from that. You will have more money to invest and save for retirement. You may end up to live in a nicer home and pay much less tax than some of those more expensive states. I currently live in New Jersey and do not have plans on moving out of state anytime soon. If I did not have family close by and had an option to move somewhere else, I would most definitely look into the 10 least expensive states to live in. Let me know your thoughts.