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Texas is attracting young and rich movers ditching California and New York

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Texas is attracting young and rich movers ditching California and New York


Move aside old, Texas money; nouveau riche is moving to the Lone Star State.

Amid the state’s attempt to snatch the crown as the financial hub of the United States, Texas now ranks second in the country for attracting young and rich people. The state had a net gain of 1,660 new young and rich households based off a study by SmartAsset using 2021 and 2022 data from the IRS.

‘Why not Dallas?’ How ‘Y’all Street’ aims to become America’s next financial titan

Individuals aged 26 to 35 who earn more than $200,000 are considered wealthy, according to the study. Only Florida narrowly beat out Texas with a net gain of 1,786 new young and rich residents.

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Still, it underlines the growing sentiment affluent individuals feel about states like California and New York as both were in the top five for negative net migration. California lost 3,226 young and rich households while 345 young and rich households abandoned New York.

California and New York ranked first and fourth respectively for losing young and rich households.

Between 2010 and 2019, Texas attracted over 25,000 establishments to move to the state. Many have said it’s due to the state’s business friendly climate over issues like taxes. The state has no income tax; a move which may also be attracting the young and rich.

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Half of the other states winning over the latest breed of young money, like Florida, Tennessee and Nevada, also don’t have income tax. Nine states in the U.S. don’t charge income tax and five of them made it into SmartAsset’s top 10 list for young, affluent movers.

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Since rich people have the most to win or lose from charging income tax, it’s likely one of the biggest drivers pushing households to Texas, said SmartAsset’s director of economic analysis Jaclyn DeJohn.

“While this study didn’t include data that pins down exactly what’s driving the shift, there are several economic incentives that may entice the young and rich to move to Texas,” she said. “In particular, the state and local governments do not charge income tax on residents, which may shave off a sizable portion of income taxes for high-income young people living in states that do charge income taxes.”

More companies focusing on big money industries like technology, finances, real estate and more is also a big factor that’s attracting young talent to the state, DeJohn said. Areas like Dallas, Austin and Houston are mostly to credit with gaining corporate relocations like SpaceX, AECOM, CBRE and more.

Winning over the rich and young is a victory for the state economically speaking, Dejohn said.

“Overall, more wealth coming to Texas helps add to the bottom line of local businesses. While no income tax is collected on these newcomers, they do still have an impact on Texas’s tax base via sales, excise and property taxes,” she said. “The age group of incoming wealth also has an impact on which businesses, services and amenities are in demand, potentially leading to changes in supply.”

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Why are Californians moving to Texas and how that might change the state

The young and rich moving to Texas is also a part of a bigger trend of the state’s young workforce growing. Texas is gaining more Gen Z movers than any other state, according to a study from Zillow Group Inc. Plus, it adds to the Dallas’ already existing reputation as a haven for affluent individuals.

Dallas is the 22nd most wealthy city in the world, sixth in the U.S., according to a report from London-based private investment migration consultancy firm Henley & Partners.

‘Why not Dallas?’ How ‘Y’all Street’ aims to become America’s next financial titan

New business relocations, a stock exchange and much more are at the center of Dallas’ next stage of business growth.

A worker climbs aboard a locomotive at a CPKC rail yard Wednesday, Aug. 21, 2024, in Kansas...
Labor dispute stops Canadian freight rails, could cause major economic disruption in U.S.
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All rail traffic in Canada and all shipments crossing the U.S. border have stopped, although CPKC and CN’s trains will continue to operate in the U.S. and Mexico.



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Texas

Small plane makes belly landing in Texas after landing gear fails

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Small plane makes belly landing in Texas after landing gear fails


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The pilot of a small plane asked an airport in Arlington, Texas, to spray foam on the runway to make the touchdown a little smoother because their landing gear was not working. The plane skidded to a halt with no issues, and all three people onboard walked away without injury.



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Jace LaViolette injury update: Texas A&M baseball star leaves SEC tournament with hand injury

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Jace LaViolette injury update: Texas A&M baseball star leaves SEC tournament with hand injury


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(This story was updated with new information)

As Texas A&M baseball continues to fight for its NCAA Tournament hopes, the Aggies have lost a key member of their team.

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In the top of the fifth inning of Thursday’s SEC baseball tournament game vs. No. 10 Auburn, Aggies star outfielder Jace LaViolette exited the game with an apparent hand injury after taking a pitch off his hand from Tigers’ left-hander pitcher Carson Myers.

After Thursday’s win vs. Auburn, Texas A&M manager Michael Earley told the SEC Network that LaViolette will miss the remainder of the conference tournament, confirming an earlier suspicion once LaViolette returned to the Aggies’ dugout in the seventh inning wrapped up in a split.

LaViolette is one of the more recognizable names in the Aggies’ offense, and entered Thursday’s game with a .259 batting average and 18 home runs. He is ranked as the No. 7 prospect in this year’s upcoming MLB draft by MLB Pipeline.

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Texas A&M staved off a solo ninth-inning home run to beat Auburn 3-2 at Hoover Met Stadium in Hoover, Alabama. The Aggies’ win advanced them to Friday’s quarterfinals vs. No. 3 seed LSU, the No. 1 nationally ranked team in the country.

Here’s the latest on Laviolette’s injury:

LaViolette left Texas A&M’s second-round game vs. Auburn on Thursday with an apparent hand injury. The SEC Network Broadcast showed LaViolette attempting to swing at a pitch before the ball came in on him and hit him off his knuckles and the knob of the bat.

After initially taking a pitch to his hand during an at-bat, LaViolette trotted down to first base while showing signs of pain. The SEC Network broadcast then showed LaViolette signaling to the Aggies’ dugout that he couldn’t stay in the game.

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He was replaced at first by pinch runner Jamal George, who would then enter the game in LaViolette’s place in the lineup the next half inning. After a lengthy time away from the dugout for X-rays, LaViolette was shown on the SEC Network broadcast returning to the dugout in the seventh inning with his left hand all wrapped up with a splint.

ESPN’s Kris Budden reported earlier on the SEC Network’s broadcast that LaViolette left the Aggies’ dugout for further testing after initially entering and going to sit on the bench once he came off the field.

“There is an X-Ray machine onsite so he does not have to leave and go to the hospital to have it checked out. He has not come back here in the dugout,” Budden reported. “When that happened, this place was so silent that from across the field that I could hear Jace screaming out in pain.”

Michael Earley on Jace LaViolette’s injury

After Texas A&M’s 3-2 win against Auburn on Thursday, Aggies manager Michael Earley told the SEC Network that LaViolette will miss the remainder of the conference tournament.

“I’m not sure if I can say but he will be out for the remainder of the tournament,” Earley said.

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What is Jace LaViolette’s injury?

While it has not been confirmed by Texas A&M, it appears that LaViolette sustained a hand injury in Thursday’s SEC tournament game.



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Texas legislation: Wednesday sees progress on school funding, THC ban discussions

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Texas legislation: Wednesday sees progress on school funding, THC ban discussions


Texas lawmakers made progress on several bills Wednesday, including one regarding public school funding.

More discussion remains before those bills are passed. As the end of the legislative session approaches, Texas lawmakers are working to get multiple key pieces of legislation passed. 

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House Bill 2: Public School Funding

On Wednesday, it was announced that a tentative deal was struck regarding HB 2, known as the public school funding bill.

The compromise between the House and Senate includes the Senate’s proposed $55 per student increase to the basic allotment, compared to the House’s original allotment of $350.

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The compromise also decreases the House’s original plan to increase teacher pay from $4.4 billion to $4.2 billion.

However, it adds $500,000 for fixed costs, bringing the total amount to $8.5 billion. 

Some of the issues were first raised during a hearing over the Senate’s plan last week, when some district leaders suggested a higher per-student allotment, giving schools more flexibility.

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The bill is expected to be taken up on the Senate floor Thursday. 

What they’re saying:

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West Hardin CISD Superintendent Donald Heseman spoke on the bill.

“If you picture every ISD as a boat, I think Barbers Hill might be a cruise ship and we are a johnboat. Paint Creek might be a kayak, but we all have leaks. We all have leaks. In doing the basic allotment, we can fill those holes as needed. 

Senate Bill 3: THC Ban

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In reaching this compromise, it opened the door for discussion on the Senate’s tougher THC bill, SB 3, which equates to a total ban on THC products. 

This bill is a priority of Lt. Gov. Dan Patrick, who claims that CBD stores and vape shops are selling higher concentrations of THC than the legal consumable limit. 

After the chambers brokered a deal earlier in the day, the House took up the bill Wednesday night. At the time of reporting, the bill was still being actively discussed.

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What they’re saying:

“I want people to have access to medications to help them when they have medical conditions, that those medications can be a benefit,” said Rep. Tom Oliverson (R-Cypress) “What we’re doing here is correcting a problem that we created in 2019 where we essentially created a pathway by which people could sell drugs.” 

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What’s next:

More is to come tomorrow, and the legislative session ends June 2. 

The Source: Information in this article came from coverage of a Texas Senate proceeding.

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AustinTexas Legislature



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