How far your dollar goes depends a great deal on where you live. Some places in America have a lower cost of living than others. Indeed, in some cases you might find that $40,000 in a small town can go further than $60,000 in a major city.
If you are hoping to improve your financial situation, you might be able to make serious headway by moving to a less expensive location. There are numerous factors that go into determining what makes a “cheap” place to live. As you consider your options, here are some things to keep in mind:
First of all, it can help to live in a state with a higher minimum wage. The Federal minimum wage in the U.S., as of this writing, is $7.25 an hour. However, there are states that have higher minimum wages. According to 24/7 Wall St., here are the states with the highest hourly minimum wage:
- Washington: $8.67
- Oregon: $8.50
- Nevada: $8.25
- Illinois: $8.25
- Connecticut: $8.25
- Vermont: $8.15
- California: $8.00
- Massachusetts: $8.00
However, even though the minimum wage is high, you are likely to find the cost of living in many of these states can also be quite high. For instance, even with the high minimum wage in Massachusetts, you might still be hard-pressed to make ends meet, since the state has a high cost of living. Illinois, however, has the 17th lowest cost of living, so your dollars might go further.