Last updated on June 25th, 2023 at 06:31 pm
A while ago I had the pleasure of speaking with a delightful young woman who works for Jackson County, MS. I had an inquiry about my property taxes and we discussed not only my taxes but how residents view their property taxes. Life is truly a matter of perspective.
I explained how I moved from Southern California to the Mississippi Gulf Coast. To be specific, Jackson County, MS. During this conversation at the Tax Assessor’s office, I learned that many people complain about their taxes being too high. I could not help but chuckle a bit because I believe that my Jackson County property taxes are reasonable.
Mississippi Taxes are low compared to most other states
From my perspective, the property and for that matter most taxes that I pay in Mississippi are moderate to low compared to where I moved from. I mentioned that the average person on the Mississippi Gulf Coast would be shocked to know how much people pay for property taxes in other areas particularly in Southern California.
Life is a matter of perspective. I believe from my perspective that taxes here are more equitable while others who live near me feel they are too high. But, too high compared to what? It’s all about the standard of comparison. If you have lived most of your life in the same area, your standard of comparison is here. For me, I can compare tax rates here against those I have paid in several other states.
Cost of Living Index
| State | Cost of Living Index | Compared to US average |
|---|---|---|
| California | 150.0 | 150% |
| Mississippi | 87.1 | 87.1% |
| New York | 133.6 | 133.6% |
| New Jersey | 129.4 | 129.4% |
| Illinois | 102.6 | 102.6% |
| Washington | 116.9 | 116.9% |
| Oregon | 105.6 | 105.6% |
Gasoline in California $1.40 per gallon more than Mississippi
Since I moved to the Mississippi Gulf Coast, I have found that the price of gasoline is considerably lower than that in Southern California. The difference can be as high as $1.40 per gallon. When the average person in Jackson County is paying for example $3.00 per gallon for gas and it goes to $4.00, that’s a significant increase that people complain about.
I bought my home in Jackson County a few years before I moved here. Each time I traveled to my Jackson County home from California, the price of gas changed. Regardless of how much it went up, it was still less expensive than California so I laughed it off. Unfortunately, now that I am a resident, I look for stations with lower prices. Life is a matter of perspective. I should just drive in and pay the going price. Perhaps in the future, I will complain about the property tax rate.
The two beaches below are a matter of perspective. One could say the the Ocean Springs, MS beach is crowded or the beach photo on the right is crowded.
Jackson County MS taxes 53% lower than in some Southern California locations
I owned a home in California that was worth more than the home I purchased in Jackson County. My California home was 62% smaller than my Mississippi home and it was located on a lot that was 5.5 times smaller. My taxes in Jackson County for more home and more property are 53% lower than my smaller house in California.
Seriously, it will be a long time before I, if ever, complain about my property or other taxes in Mississippi. After much contemplation, I can not honestly determine what I received for the higher tax burden in California except even higher taxes.
The roads in Califonrnia were in fair condition, the roads in the Mississippi Gulf Coast area as good if not better. Public services are better on Mississippi Gulf Coast, no two-hour-long waits to renew a vehicle registration. My interaction at the tax office proves that Mississippi Gulf Coast people are friendlier (subjective). So what was I getting in California for all that extra taxes?
Wow, thousands of dollars for slightly better weather
Oh, I know! No humidity in California during the summer! Wow, thousands of dollars for slightly better weather. Wait, not just thousands of dollars but tens of thousands, I forgot lower state income taxes in Mississippi and you do not have to pay the grocery store to buy a bag to carry your groceries.
Just as I thought this article was making a point, I recalled a conversation I had about the cost of running the state government. Mississippi has a true citizens run government. What I mean is that the legislature is in session only a few months at the beginning of the year. The elected officials must have gainful employment or a trust fund to survive based upon what they are paid for their government services. These individuals more often operate small businesses or work for firms that pay them a salary.
Average Salary of State Legislators
| State | Average Pay |
|---|---|
| California | $117,831 |
| Mississippi | $29,598 |
| New York | $56,253 |
| New Jersey | 112,104 |
| Illinois | $82,915 |
| Washington | $63,166 |
| Oregon | $57,547 |
The major difference between Mississippi and some other states including California is that California has a full-time legislature. Many of the elected officials earn their entire income from the state. Along with a full-time job comes the need for full-time staff and committee staff and others to keep the legislature running 24/7. This cost is tremendous compared to sates with part-time legislatures. The hundreds of millions of dollars that are expended to support this large and complex organization is a drain on the state coffers.
The table above indicates how little Mississippi legislators earn compared to California and some other high cost states. Who is paying for this cost plus the staff members?
Full time state legislatures are very expensive
How much more in taxes would Mississippi residents be required to pay if the legislature went full time in Mississippi as it is in California? Back to the title of this article life is a matter of perspective. If you have never lived in a high tax state with a full-time legislature, you could not know how well you have it at home. It’s difficult to convey this message to Mississippi residents and residents of other states with part-time legislatures where there is pressure to go full time.
Average Tax Burden by State
| State | Average Tax Burden |
|---|---|
| California | 13.3% |
| Mississippi | 9.3% |
| New York | 10.3% |
| New Jersey | 11.1% |
| Illinois | 9.9% |
| Washington | 10.2% |
| Oregon | 9.6% |
There are many other reasons why taxes are lower in Mississippi than in some other coastal states and the reasons are that the state and local governments pay attention to the residents/voters and want smaller government. It’s far better for an economy if the treasure is in the hands of those who create it.
Update: I have lived in Jackson County, MS full time now for more than two years. Taxes are still low, they creep up a bit as with anywhere but they are not going up as fast as they are in California where members of my family are still “suffering” under the burden. Eventually it’s my hope to have more of them move here.
Life is truly a matter of perspective
This blog was not originally created to tout the greatness of the Mississippi Gulf Coast or drag down California or other high cost states. However, as I encounter more things and situations that beg comparison, the more I am convinced that life is a matter of perspective. Most residents of Mississippi may not agree that taxes and the cost of living are not high.
I also have to recognize that in order for people to live in the high cost states, they must earn more to afford the higher cost of their home. The chart below indicates how much a family of four must earn to live in the states listed.
How much does a family of four need to live?
| State | Required Income for Family of Four |
|---|---|
| California | $101,378 |
| Mississippi | $51,572 |
| New York | $92,178 |
| New Jersey | $99,598 |
| Illinois | $74,272 |
| Washington | $84,666 |
| Oregon | $78,547 |
Notice that the cost to live in Mississippi is considerably less than the cost to live in California by about half. This is very significant. People living in Mississippi could not afford to pay costs that people in California pay.
People living in Mississippi spend less time commuting to work and less time on the job than other states. This may be a sign of a better quality of life. More time spent with families. All of these charts lead to one
Average work and commute hours per week
| State | Average Hours of Work | Average Commute Time |
|---|---|---|
| California | 37.6 | 26.8 minutes |
| Mississippi | 36.7 | 17.7 minutes |
| New York | 38.2 | 30.6 minutes |
| New Jersey | 38.0 | 29.1 minutes |
| Illinois | 37.4 | 27.9 minutes |
| Washington | 37.7 | 25.2 minutes |
| Oregon | 37.5 | 24.1 minutes |
Conclusion for me, life is indeed a matter of perspective. When you live in an area where you can attend your child’s after school baseball game and then home for dinner with the family, that’s quality of life. Yet, there is no doubt that my friends on the Mississippi Gulf Coast think this is normal.
They have no idea how many hours people in large metros commute to their work place and how that erodes away their time with family. I will relate a story.
Many people in Southern California want to buy a house but they look around near their work place and find that they can not afford a house. Someone tells them if they move from Orange County to Riverside County they can afford a house. Sounds good right? They drive out on a Saturday through traffic (who would think there is traffic on the weekends) and find a nice house. They can afford the house.
Which photo contains traffic? The one on the right is on the Mississippi Gulf Coast
The two hour commute
Before they sign, they look at that one hour commute each way back to Orange County. Knowing that their previous commute was just 15 minutes, they know sometimes accidents could cause a two hour delay. The additional gas and depreciation on their vehicle is a big bill but it allows them to buy a house.
They sign and buy. At first the commute is not too bad, time is about what they expected. Over the years, more and more people are on the road because they too bought in that area. The commute gets longer and the cost of that commute in fuel and auto repairs e.g. tires, oil changes is eating in to their budget.
Before long, both husband and wife are both working in Orange County and commuting. Their young kids join Little League and it falls to a neighbor to take them to games because the parents are not able to be there (commuting). The commute begins to wear on their marriage and family life not to mention the high cost. These commuters have forgotten that life may have been better before the long commute.
Long work commutes have negative consequences
| Reason | Impact |
|---|---|
| Less time for family activities | Can make it difficult to eat dinner together, go to the park, or just relax and spend time together |
| Increased stress | Can spill over into family life, making it difficult for parents and children to relax and enjoy each other’s company |
| Financial strain | The cost of gas, tolls, and parking can add up, especially if the commute is long |
| Reduced productivity | Employees who have long commutes are more likely to be late for work, take sick days, and be less productive overall |
| Increased risk of accidents | Drivers who are tired or stressed are more likely to make mistakes, which can lead to accidents |
| Environmental impact | The more people who drive, the more pollution is created. This can contribute to climate change and other environmental problems |
| Reduced social interaction | People who spend a lot of time commuting are less likely to get out and socialize with friends and neighbors. This can lead to feelings of isolation and loneliness |
| Increased risk of obesity | People who spend a lot of time sitting in traffic are less likely to get exercise. This can lead to weight gain and other health problems |
| Reduced quality of life | People who have long commutes are more likely to be unhappy and stressed. This can lead to health problems, relationship problems, and other negative consequences |
| Increased risk of burnout | Employees who have long commutes are more likely to feel exhausted and overwhelmed. This can lead to health problems, relationship problems, and job dissatisfaction |
Once again Life is a Matter of Perspective
Once again, life is a matter of perspective. The commuters have lost track of the reasons for the home. People in Mississippi have no idea how difficult long commutes can be on families because the don’t have long commutes. Each family goes about their daily activities not knowing that for one family there may be a better way. The other family not knowing that they have a great life.
To conclude, this article is not about everyone moving to the Mississippi Gulf Coast. It’s about how sometimes we fail to see the advantages that life has laid out for us and the opportunities that we fail to recognize. My wife and I gave up all of the negatives because we “knew” the difference between living on the Mississippi Gulf Coast vs Southern California. We knew the cost of everything was lower, virtually no traffic even at 5:00 PM and people who are happy because they have a family life.
When you live in a crowded big metro area and you are always chasing the dollar, it’s hard to the see the forest for the trees. That there is a better place, a better way to live. I found it, perhaps you can as well.
Please read some of our other articles on similar topics such as Why you need to retire on the Mississippi Gulf Coast!. Leave comments to let us know how we have done. You can sign up for notifications about new articles.
Should you be interested in making a life changing move to the Mississippi Gulf Coast, please contact Logan-Anderson Gulf Coastal Realtors. Sign up on the website to see homes for sale.
