Lacks the rich.
New York’s share of US millionaires dramatically declined in recent years, causing a nearly $11 billion loss in much-needed tax revenue in just one year, according to a bombshell new analysis.
The study released Monday by the Citizen Budget Commisison showed the Empire State’s share of the nation’s millionaires dipped from 12.7% to 8.7% between 2010 and 2022 – the largest decline of any state.
“New York’s declining share of high-income taxpayers has meaningful consequences,” the analysis states.
“Had New York maintained its share of the nation’s millionaires over the past decade, personal income tax collections would have been substantially higher – roughly $10.7 billion more in tax year 2022.”
The study comes amid fears that Mayor Zohran Mamdani’s push to “tax the rich” will drive even more wealthy out of New York City – and provides an at-times disquieting snapshot of stagnation gripping the Empire State for years before the young socialist took office.
The findings show:
- New York has lost more population to every state than it has gained from them, with Florida and Texas among the biggest recipients of former New Yorkers.
- After seeing a mass exodus during the coronavirus pandemic, New York City’s population rebound in 2023 and 2024 was driven by international immigrants.
- A “growth corridor” from New York City and Long Island to Albany largely drives the state’s economy, with upstate and other rural regions hemorrhaging workers.
- The Empire State leads the nation in state and local taxes collected, with per capita collections at $12,495 – or 78% above the US average.
New York also had the second-largest share of the nation’s millionaires – 12.7% – in 2010, according to the analysis.
By 2022, the state actually had roughly more 34,000 millionaires, but other states far outpaced that growth, according to the study.
“New York’s number of millionaires doubled, but it tripled in California and Texas and quadrupled in Florida, leaving New York State with the fourth-most millionaires behind those states,” the study states.
The diminishing share of millionaires – along with uneven population growth and ever-increasing taxes – raised alarms among experts, who warned more wealthy residents could pull up stakes.
Those fears have been amplified since the election of Mamdani, who pushed tax increases on the wealthy and corporations.
“If we don’t course-correct and get laser-focused on keeping the city and state attractive to the people and businesses that drive our economy, the affordability crisis will only deepen because the people leaving are the ones paying the largest share of a budget that funds the social programs meant to help our most vulnerable,” said Steve Fulop, CEO of the Partnership for New York City.
Other experts said Albany lawmakers for years pushed policies that made the state more expensive and less competitive.
Ken Girardin, research fellow at the Manhattan Institute, pointed at a tightened rent control law approved in 2019 and the state’s green energy law as a one-two punch that reduced housing supply and raised energy costs.
“Albany is directly responsible for the stagnation,” he said.
New York City, however, fared overall better than regions such as the North Country and Southern Tier – which saw consistent population declines, according to the study.
“It’s difficult to not be alarmed by this data,” said Justin Wilcox, Executive Director, Upstate United. “With this CBC tool, Upstate New Yorkers can see for themselves the devastating impacts of Albany’s policies — businesses failing to grow, population decline, and the loss of revenue. NYS needs to course correct now before it’s too late and we become permanently entrenched in a cycle of fewer people paying increasingly higher taxes and inflated prices.”
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