Wyoming Leads Annual Bloomberg Personal Finance List of Wealth-Friendly States

Tennessee, Nevada Top List; Rhode Island, Montana Rank Last



Apr 10, 2001, 01:00 ET from Bloomberg Personal Finance

    NEW YORK, April 10 /PRNewswire/ -- As the tax cut debate rages in
 Washington, D.C., Americans looking for relief sooner than later may want to
 move to Wyoming, which tops Bloomberg Personal Finance's annual list of states
 with the lowest tax burdens.
     For the fourth year in a row, Wyoming leads the nation when it comes to
 letting families keep more of what they earn and own, while Rhode Island comes
 in dead last, according to the exclusive survey which appears in the
 magazine's May issue.
     Bloomberg Personal Finance, the premier monthly magazine for serious
 investors, is part of the Bloomberg news and information family, the world's
 financial news leader.
     In measuring the tax bite of each state for four hypothetical families,
 the magazine once again found significant inequities just across state lines.
 Wyoming's neighbor to the north, Montana, ranked 50th on the list, while
 Pacific Northwest states Washington and Oregon rank 4th and 46th,
 respectively.
     Other states earning high-marks for "wealth-friendliness" were Tennessee
 (#2), Nevada (#3), Washington (#4), and Alaska (#5). Among the states hitting
 taxpayers the hardest were Wisconsin (#47), Maine (#48), and New York (#49).
     The survey also revealed that despite budget surpluses in many states,
 overall income tax rates dropped just a hair while state spending boomed. Last
 year, state income tax rates dropped on average just 22 cents per
 $1,000, while state spending increased by a robust 7.2 percent, the largest
 hike since 1985.
     "Of course, no tax survey can measure the intangible assets of community
 or culture," said editor Steve Gittelson. "But our survey does provide some
 very useful information to people making a move or just thinking about it."
     For the second year, Bloomberg Personal Finance also rated the best and
 worst states for retirement according to how unearned income is taxed. Wyoming
 (#1) again took top laurels, followed by Louisiana (#2) and Tennessee (#3).
 Minnesota (#48), Montana (#49), Wisconsin (#50), and Vermont (#46) were ranked
 among the least friendly states for retirees -- not for their cold climates,
 but for their year-round chill of high tax rates on investment income.
     To calculate the wealth friendliness of the 50 states and the District of
 Columbia, the magazine used information on the top income earners in the
 Federal Reserve's latest (1998) survey of household finances to create four
 hypothetical families (married, filing jointly) of varying mixes of income and
 assets.
 
     A state-by-state breakdown follows:
 
     Wealth-Friendliest States:
     Wyoming, A+
     Tennessee, A+
     Nevada, A
     Washington, A
     Alaska, A
     Florida, A
     South Dakota, A
     Louisiana, A-
     Alabama, B+
     Texas, B
 
     Least Wealth-Friendly States:
     Nebraska, D+
     District of Columbia, D+
     Minnesota, D+
     Vermont, D+
     Oregon, D+
     Wisconsin, D
     Maine, D
     New York, D
     Montana, D-
     Rhode Island, F
 
     Wealth-Friendliest State by State Breakdown
 
                     Overall      Overall    Retirement
                      Grade        Rank        Rank
     Alabama            B+           9           7
     Alaska             A            5           9
     Arizona            B            14          12
     Arkansas           C            31          17
     California         C-           39          15
     Colorado           B            12          18
     Connecticut        C-           38          42
     Delaware           B            11          6
     Dist. of Columbia  D+           43          29
     Florida            A            6           8
     Georgia            C            27          28
     Hawaii             C            30          14
     Idaho              C-           41          38
     Illinois           C            28          31
     Indiana            B-           17          21
     Iowa               C            36          33
     Kansas             C-           37          44
     Kentucky           C            35          13
     Louisiana          A-           8           2
     Maine              D            48          43
     Maryland           C+           18          22
     Massachusetts      C            32          30
     Michigan           C+           24          34
     Minnesota          D+           44          48
     Mississippi        C+           20          10
     Missouri           C+           25          39
     Montana            D-           50          49
     Nebraska           D+           42          47
     Nevada             A            3           5
     New Hampshire      B            13          37
     New Jersey         C            34          32
     New Mexico         C+           21          35
     New York           D            49          45
     North Carolina     C-           40          16
     North Dakota       B-           16          36
     Ohio               C            26          20
     Oklahoma           C            33          27
     Oregon             D+           46          40
     Pennsylvania       C+           19          23
     Rhode Island       F            51          51
     South Carolina     C            29          19
     South Dakota       A            7           11
     Tennessee          A+           2           3
     Texas              B            10          25
     Utah               B-           15          26
     Vermont            D+           45          46
     Virginia           C+           22          24
     Washington         A            4           4
     West Virginia      C+           23          41
     Wisconsin          D            47          50
     Wyoming            A+           1           1
 
 

SOURCE Bloomberg Personal Finance
    NEW YORK, April 10 /PRNewswire/ -- As the tax cut debate rages in
 Washington, D.C., Americans looking for relief sooner than later may want to
 move to Wyoming, which tops Bloomberg Personal Finance's annual list of states
 with the lowest tax burdens.
     For the fourth year in a row, Wyoming leads the nation when it comes to
 letting families keep more of what they earn and own, while Rhode Island comes
 in dead last, according to the exclusive survey which appears in the
 magazine's May issue.
     Bloomberg Personal Finance, the premier monthly magazine for serious
 investors, is part of the Bloomberg news and information family, the world's
 financial news leader.
     In measuring the tax bite of each state for four hypothetical families,
 the magazine once again found significant inequities just across state lines.
 Wyoming's neighbor to the north, Montana, ranked 50th on the list, while
 Pacific Northwest states Washington and Oregon rank 4th and 46th,
 respectively.
     Other states earning high-marks for "wealth-friendliness" were Tennessee
 (#2), Nevada (#3), Washington (#4), and Alaska (#5). Among the states hitting
 taxpayers the hardest were Wisconsin (#47), Maine (#48), and New York (#49).
     The survey also revealed that despite budget surpluses in many states,
 overall income tax rates dropped just a hair while state spending boomed. Last
 year, state income tax rates dropped on average just 22 cents per
 $1,000, while state spending increased by a robust 7.2 percent, the largest
 hike since 1985.
     "Of course, no tax survey can measure the intangible assets of community
 or culture," said editor Steve Gittelson. "But our survey does provide some
 very useful information to people making a move or just thinking about it."
     For the second year, Bloomberg Personal Finance also rated the best and
 worst states for retirement according to how unearned income is taxed. Wyoming
 (#1) again took top laurels, followed by Louisiana (#2) and Tennessee (#3).
 Minnesota (#48), Montana (#49), Wisconsin (#50), and Vermont (#46) were ranked
 among the least friendly states for retirees -- not for their cold climates,
 but for their year-round chill of high tax rates on investment income.
     To calculate the wealth friendliness of the 50 states and the District of
 Columbia, the magazine used information on the top income earners in the
 Federal Reserve's latest (1998) survey of household finances to create four
 hypothetical families (married, filing jointly) of varying mixes of income and
 assets.
 
     A state-by-state breakdown follows:
 
     Wealth-Friendliest States:
     Wyoming, A+
     Tennessee, A+
     Nevada, A
     Washington, A
     Alaska, A
     Florida, A
     South Dakota, A
     Louisiana, A-
     Alabama, B+
     Texas, B
 
     Least Wealth-Friendly States:
     Nebraska, D+
     District of Columbia, D+
     Minnesota, D+
     Vermont, D+
     Oregon, D+
     Wisconsin, D
     Maine, D
     New York, D
     Montana, D-
     Rhode Island, F
 
     Wealth-Friendliest State by State Breakdown
 
                     Overall      Overall    Retirement
                      Grade        Rank        Rank
     Alabama            B+           9           7
     Alaska             A            5           9
     Arizona            B            14          12
     Arkansas           C            31          17
     California         C-           39          15
     Colorado           B            12          18
     Connecticut        C-           38          42
     Delaware           B            11          6
     Dist. of Columbia  D+           43          29
     Florida            A            6           8
     Georgia            C            27          28
     Hawaii             C            30          14
     Idaho              C-           41          38
     Illinois           C            28          31
     Indiana            B-           17          21
     Iowa               C            36          33
     Kansas             C-           37          44
     Kentucky           C            35          13
     Louisiana          A-           8           2
     Maine              D            48          43
     Maryland           C+           18          22
     Massachusetts      C            32          30
     Michigan           C+           24          34
     Minnesota          D+           44          48
     Mississippi        C+           20          10
     Missouri           C+           25          39
     Montana            D-           50          49
     Nebraska           D+           42          47
     Nevada             A            3           5
     New Hampshire      B            13          37
     New Jersey         C            34          32
     New Mexico         C+           21          35
     New York           D            49          45
     North Carolina     C-           40          16
     North Dakota       B-           16          36
     Ohio               C            26          20
     Oklahoma           C            33          27
     Oregon             D+           46          40
     Pennsylvania       C+           19          23
     Rhode Island       F            51          51
     South Carolina     C            29          19
     South Dakota       A            7           11
     Tennessee          A+           2           3
     Texas              B            10          25
     Utah               B-           15          26
     Vermont            D+           45          46
     Virginia           C+           22          24
     Washington         A            4           4
     West Virginia      C+           23          41
     Wisconsin          D            47          50
     Wyoming            A+           1           1
 
 SOURCE  Bloomberg Personal Finance