October 7, 2014

Oregon Center for Public Policy: Move Across State Lines for $40 a Month?

ITEP Work in Action

 

Say that you’re the sole breadwinner for your family and you earn $100,000 a year in Oregon. Would you pack your belongings and move your family north to Washington for a $40 monthly raise? It’s hard to imagine.
That is why any Oregon business worried that it might lose employees to firms in Washington or other states, or have better employee retention if the company relocates outside Oregon, can rest assured. Generally, taxes matter little, if at all, when it comes to where people choose to locate. And Oregon’s tax structure in particular should make little difference to workers on whether to stay or go.

Say that you’re the sole breadwinner for your family and you earn $100,000 a year in Oregon. Would you pack your belongings and move your family north to Washington for a $40 monthly raise? It’s hard to imagine.

That is why any Oregon business worried that it might lose employees to firms in Washington or other states, or have better employee retention if the company relocates outside Oregon, can rest assured. Generally, taxes matter little, if at all, when it comes to where people choose to locate. And Oregon’s tax structure in particular should make little difference to workers on whether to stay or go.

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