Why Are So Many People Moving? -How fed up are people becoming?
People relocate for a variety of reasons. The numbers vary slightly from year to year. However, now people are moving out of certain states at a staggering rate. Most people want to live somewhere that is affordable, reasonable, safe, and someday can afford to retire where they lived their entire life. However, things have changed over the past decades. Decades ago, families stayed in the same general area or state. Not as many young people attended college, more manufacturing plants were open, and our youth attended colleges closer to home. After graduation, they returned home to find a job. Sons went to work where their fathers worked. As manufacturing plants closed and opportunities for college students increased in other areas of the country, there has been a new trend and transition of families living in different parts of the country over time. This is not a bad thing; it is evolution. A sign of changing times as opportunities have changed. When I was younger, before becoming a firefighter, I worked for two companies that relocated to other states. They offered jobs to employees that wanted to relocate, but few did during those times. Most did not want to leave their children or grandchildren. However, there is a larger issue at play here, and this is why?
We all know the drill. Companies, especially those located in the Northeast and other colder climates, move because of the high heating costs. Those and many others have moved to other states because of advantageous tax benefits. Some also relocated out of the country because labor costs are so much cheaper. Many companies moved their customer service and tech support areas to overseas companies again; the labor costs are much cheaper. This contributed to the loss of many jobs. The facts are simple. Every company will increase their bottom line profits or do what they must to stay in business. Look at how many big department stores have closed their retail brick and mortar stores and converted to online stores only. Another loss of many jobs. Although some of these changes created new jobs, they do not equal the number of jobs lost. For all these reasons and more, people find themselves having to relocate to states where the job market is better. However, how about the other reasons? What about the people that cannot afford to live in their state anymore or disagree with the political climate in their state? Many retire and face the reality that between the cost of medical insurance and the rate of inflation, they cannot afford to retire where they lived their entire life. Basically, the question is, are people actually fed up with rising taxes and the constant increase in the cost of living in certain states? States where retirement for most is almost impossible.
When this occurs, people are forced to work till a much older age. Working is healthy as we get older. It keeps our bodies in shape and our minds sharp. I am now referring to the people who DO NOT want to work past their full retirement age but are forced to survive. What happens in these cases is a reduced turnover of employment opportunities. I have seen guys with 30 years on the job coming from the fire service, and their pension is fully maxed out. If they stay, they will not receive any higher pension amount. Their houses are paid off, but they stay. After all, they need to work because their property taxes and other expenses are too high. We live in a three-generational society. The oldest generation only had a small pension at best and their social security. The next generation introduced a variety of 401k plans that replaced many private company pensions. If they could afford to put enough in, and their company contribution was fair, they usually did okay with that and their social security, IF they also saved money along the way and didn't have a mortgage, car payment, and higher credit card debt. How many people do you think fall into that category? Not many. That led to a dramatic increase in bankruptcies so people could afford to live. Is it reasonable to ask whether giving out credit so easily with high limits a sensible decision? Is the system setting people up for failure?
Finally, a few years back, the bankruptcy laws changed, requiring people to pay back their debt over a fixed period of time, all based on their income. The issue is that bankruptcy courts do not consider what other bills you have and what you need to survive. Let's face it. People cannot run up tens of thousands of dollars in credit card debt and always have it all forgiven. ANd many people were doing this every ten years. Then people wonder why credit card interest rates are so high. Basically, like car insurance, you may never have an accident, but your car insurance goes up each year to cover the payouts made because of all the people who have car accidents. This is the never-ending cycle of finances.
One of the most difficult items people face at retirement age is the cost of medical insurance.
Medicare A and B are not enough. You still need eye care coverage, prescription coverage, and Medi-Gap insurance to cover what everything else does not cover. Some medications have very high co-pays. These costs are somewhat cheaper depending on the state you live in, hence why people relocate. We musk ask ourselves, are some states doing all they can to keep their citizens and keep their population intact? Do they really care? They say they do, but they never seem to do anything about it, but they talk a good story. The states that do something about it are the thriving states, and their population is increasing. Once people are on a fixed income, and I know this from when my parents were alive and retired, the cost of living increase they receive from social security doesn't begin to meet the rate of inflation and the normal rise in living costs. For example, inflation has increased by 5% in the past year, which doesn't include living costs. People on Social Security received 1.5%. Do the math, and if you have a pension, that is fixed and usually does not change at all. It does not take long for the door to swing around and start to hit you in the rear end. Hence, people move.
I always believed that from the day you start working, your Medicare contribution should be higher each week, so when you reach full retirement age, all your medical benefits are fully covered at no charge for the rest of your life. As the saying goes, "Pay me now or pay me later," and in most cases, the majority of the people cannot afford to pay later. The saddest calls I responded to as a 32-year paramedic was to have to pronounce someone deceased only to find that they had not filled their medications in months because they could not afford them. These are life-sustaining medications that kept them alive. Did they have to die? Would they have died if they were taking their medications?
NO ONE SHOULD DIE BECAUSE THEY CANNOT AFFORD THEIR MEDICATIONS
Do not be foolish and think you will never find yourself in this situation because it does exist and could happen to anyone—even you. Unfortunately, in my opinion, the medical insurance system for retired individuals is severely broken. Unfortunately, it is easy to turn a blind eye to it until you are faced with the same problem. When negotiating our union contracts, all the young members of the department cared about the raise, not the retirement benefits. The older members cared more about the retirement benefits. Depending on the ratio of younger members to older members determined the outcome. The truth is, when we are young, we only care what we need right now to help support our family, raise our children, and survive. We do not see ourselves as getting older. However, everyone will. It's the cycle of life. I think we can all remember our parents saying to us to plan for the future. Save your money. How many actually did that? Also, that is understandable because I also believe we would all agree that we cannot only work and save, we all need some form of enjoyment in our lives. However, when we are young, we do not have the experience to balance achieving our goals. Let's take a look at some facts.
SOME INTERESTING FACTS:
So far, in 2021, almost 330,000 Americans have moved to Florida. I think you can figure out why, but here is a link to an informative article you might want to read. MOVING TO FLORIDA.
Many other folks have moved from Californian and New York to other states. Texas, and Connecticut. The biggest problem with those who lived in New York moving into Connecticut is that New York salaries are much higher than in Connecticut. Therefore, many New Yorkers are relocating to Connecticut and commuting to New York. This raises the per capita income for Connecticut, making it appear to be a richer income state. Guess what? The other people living in Connecticut do not make those salary ranges and pay the price.
How about the mass exodus from California? Here is another link.
My point is, people are flocking out of many states and restarting their lives somewhere else.
Anywhere where they can financially survive. Some might also be leaving due to the political environment in their state. We all know our present political system has many problems that require fixing. Wow, doesn't this all sound so depressing? I guess to some degree it is. However, like everything else, it is repairable, but the fix is not easy and will not occur overnight. As a society, we all must take great care and interest in the officials we elect at all levels of government. I have always clearly stated that I do not vote based on any political party. I vote for the individual that I believe will do the job that needs to be done. It makes no difference to me if they are a republican or democrat. In reality, does it really make a difference? A generation of two back, if you were a registered democrat or republican, you walked into a voting booth and pulled the lever for the party you were affiliated with. However, you never really knew what you were getting. Today we are all a bit more educated, or I would like to think we are, although many still act foolishly. Political debates used to be about the issues, not about a bashing party on TV. We knew better back then what a candidate stood for. The world is changing and evolving. How we do things is taking the same path. However, I can only speak for myself when I say regardless of how the world changes or evolves, I will do what I think is right, and those are the choices each of us need to make for ourselves.
Ask yourself this question. If you are a registered republican or democrat, would you vote for the person your party endorses if you think they would not do a good job? If you would, you really should rethink your thought process. Everything in life comes down to choices. Choices we all need to make. The tricky part is knowing whether we are making the right choice for the right reason. Sometimes either choice may not be the right choice, but it's a matter of choosing the better of two evils.
WHAT PRICE WILL PEOPLE PAY?
A few years back, there was another housing boom. Houses were way overpriced, and there were bidding wars on properties. Much the same that is going on in some states now. But with everything comes a price. After the last boom, the housing market settled. As t always does. However, many now found themselves in a pickle. The values came back down to normal, and they found their houses were no longer worth what they paid for them. Those with high mortgages found that their houses weren't worth what they owed on them to add insult to injury. Well, if the economy holds, they can stick it out. However, back then, it did not. Many found themselves in what is defined as a "flip situation." Those whose hours were cut or got laid off led to a period of massive foreclosures.
So, are we here at the start of this same situation again? I can tell you this, due to the many people moving from New York, the houses in my state are easily 20 to 30 thousand dollars or more overpriced. Yes, a great time to sell if you are moving to a place where housing is cheaper. Not so much if you are making a lateral move unless, of course, you want to move. There are many theories on what the economy is going to do in the future. Many economists anticipate the increased government spending, and we will have a recession to some degree. How bad, or even if? Who knows. I do believe that at some point, the money being spent has to be replaced because every time inflation and the national debt increases, our dollar becomes worth even less, meaning you can't buy as much with a dollar as you used to be able to. Many say our children and grandchildren will pay the price for this increased spending. The government seems confident that they will be creating additional tax revenue which will pay for all this spending. Who do you believe?
History has taught us when we increase taxes on businesses, one or many of many factors occur. Layoffs, product price increases, companies move to where the cost to operate is cheaper. It is simple math, folks. No company can survive if they are losing money. Every company, including small businesses, faces survival challenges, and they will do what is necessary to survive. Therefore, if and when this occurs, what did we really accomplish? Did we sit there spinning our wheels? The fact to know is, when it is all said and done, it's the taxpayer that pays the price: each one of us. I am not an economist, but I have common sense after owning my own business and working in the corporate world after retiring from the fire service. These are the facts based on our history, and this has occurred many times. I cannot and will not tell you it's unavoidable because, like you, I am not privy to everything there is to know. However, when we all see the spending that we feel is NOT necessary, spending to help big business that is already profiting millions and even billions a year, we must wonder why we are giving them taxpayer money, and that is only one example—just something for you to think about.
At the end of the day, people will do what they need to do to survive. I've lived in New England my entire life. I raised three children here. Two of my three children have already relocated out of the state. My grandchildren live out of the state. My parents are gone. I have recently taken inventory of my life, as most people do from time to time. I asked myself, what is keeping me here in Connecticut? I can certainly afford to stay here. However, is that a reason to stay? My other son still lives in Ct. and does not plan on moving, YET. My sister lives in Ct. and has her business here, so she will not be moving. I have said many times my other passion other than writing is boating. It's my form of stress relief, but you really only get four usable months a year to enjoy the sport in Ct. I get aggravated when I see the yearly cost of owning a boat in New England and divide that number by the usable months. Talk about a wake-up call to reality, not counting the high insurance and fuel costs. Sometimes things in life are not about whether you can or cannot afford it. Rather, it's more about does it make sense? Why don't you dry yourself off with hundred dollars bills after a shower? Even if you could, it doesn't make sense.
I like to think I did a good job of raising my children and teaching them the most important things in life they need to know to achieve their goals. With that said, the one thing I always taught them was to go after what makes them happy. The reality of life is me, and your mother will not be here forever, so you must think about your future and not worry about us. All we want is for each of you to be happy. They have done exactly that, and I am very proud of the choices they have made. Therefore, after speaking with my family, I have chosen to relocate. In the next couple of months, I will leave New England. The place that has been my home for my entire life. Not because I can't afford it, I am luckier than most. I can. It's the logical choice. During my years as a firefighter and paramedic, I've broken many bones and had 13 job-related surgeries. I no longer enjoy the cold months, which are far too many, and I can move to a climate where I can enjoy my boat year-round.
The state I live in gets increasingly more expensive to live in each year, more so than most others. From a financial standpoint, whether I can afford to stay or not, I could certainly enjoy life better somewhere where the cost of living is less expensive, a state where I believe more in its political future and choices, and my money will go much further. This was a hard decision for me to make, but one that is in my overall best interest, and I am excited about it. I have done a great deal of volunteer work in my area, especially in domestic abuse. However, I have also reached a time in my life where that consumes too much of my time. I have reached a point when I need to spend my time enjoying what I do most: writing books, this blog, and boating. Like firefighting and being a paramedic, you reach a point when it's time for others to step up to the plate and do their part.
I share this with you to show you that people relocate for many different reasons. Reasons that only we as individuals can decide. Change and evolution are inevitable. Like it or not, they will both occur. Some will be for good, and maybe others, not so much. Those are individual decisions, but the fact remains they will occur. Anyone who cannot adapt to these times will be left to suffer their wrath or rewards. Without having a crystal ball, we have no way of knowing which it will be. I always tell my friends never to think about where you are; think about where you are headed. Because where you are headed is where you will end up. Good, bad, or indifferent. Therefore, be sure of your path and that your path is leading you to where you want to be.
Stay safe and be well. Thank you.
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