Continuing a trend of high salaries, The Detroit Lions’ Matthew Stafford agreed to a deal that will make him the highest paid player in NFL history. While he’s certainly celebrating, he won’t be once Michigan income taxes take a sizable chunk.
Welcome to Michigan: Taxes, Please.
The deal will have an average annual value of $27 million, putting Stafford ahead of the five-year contract that pays $25 million annually to Oakland Raider’s QB Derek Carr.
Stafford will have to contend with Michigan’s relatively high state income taxes. Michigan ranks 44th out of 50 states with an effective state and local tax rate of 13%. Perhaps Stafford should have demanded a trade to the Tennessee Titans and their 7.97% state and local median tax rate?
Regardless, the point is that different states and even cities have different costs of living. A contract in another state might have saved Stafford millions on his deal; though being the highest paid player in NFL history is nothing to sneeze at!
Simply put, cost of living matters. A large part of your cost of living is the impact of state and local taxes. City vs City is an app that considers the effect of all major taxes on your cost of living.
You don’t have to be an NFL quarterback looking to escape Michigan income taxes to want to save money. If you’re considering a move to a different city; consider downloading the City vs City app today and see where you can get the most bang for your buck!