this post was submitted on 22 Jul 2023
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My brother in law may be involved in this as he seems to think there’s tax advantages to living on the Oregon / Washington border. Would you say this is true? It’s not like I buy a lot of stuff, am I crossing the border for groceries? Trying to see what he’s seeing.
The main tax advantage there would only apply if you lived in Washington and drove to Oregon for significant purchases (cars, electronics, potentially groceries, whatever makes up the bulk of your spending). This is because Oregon doesn't have sales tax and Washington doesn't have income tax (Oregon has some of the highest income taxes in the nation, depending on your tax bracket, 4.75-9.9% per nerdwallet. Property taxes are roughly the same at the state level.
If you're thinking about moving because you have free agency and want to get the most bang for your buck, considering tax burdens of places you're looking at should definitely be a data point, since that can make a big financial difference depending on your lifestyle, spending habits, and future income.
Thanks!