Report: New York City gains population as high earners return, bringing billions in income

Escape from New York City.

New York City experienced a significant outflow of high-earning residents from 2017 to 2022, who departed with billions of dollars in income. However, the city saw an increase in population in 2023 and 2024 due to a surge in migrants, as indicated by a recent report.

The population of New York City began to decline in 2017, with a sharp drop during the pandemic resulting in a loss of nearly half a million residents between April 2020 and July 2022, according to the report published by the nonpartisan Citizens Budget Commission (CBC) based in Albany.

The report highlights that many of the residents who relocated moved to Miami-Dade and Palm Beach counties in Florida. The total personal income that shifted from New York to Florida amounted to $13.7 billion.

New York City witnessed an outflow of tens of thousands of high-earning residents from 2017 through 2022 who took billions of dollars of income with them. (iStock)

Recently, the outward trend reversed with the population of New York City growing by 120,000 residents over the last two years, per the report. Although not mentioned in the report, that would still indicate a net outflow of New York residents leaving the city, given New York City Mayor Eric Adams said the city has catered to more than 234,000 asylum seekers since the spring of 2022.

Andrew Rein, president of the CBC, said New York City’s long-term success depends on its ability to stay competitive.

“With the evolving economy, affordability, and quality of life challenges, New York City’s competitiveness—its ability to attract and retain residents and businesses—is one of the most important issues of our time,” Rein said. 

New York state and its localities are the national high-tax leaders, having collected the most taxes per person—23% more than second-place California and 79% more than the national average, per the report. New York maintains its first-place ranking when assessing taxes as a portion of personal income.

With a population of around 8.25 million people, New York City’s FY 2025 budget is $110 billion. 

In comparison, Florida’s population is nearly three times as big, at 23.35 million people, with an annual budget of $115.6 billion. The Sunshine State famously has no income tax.

Asylum seekers line up in front of the historic Roosevelt Hotel, converted into a city-run shelter for newly arrived migrant families in New York City. (Selcuk Acar/Anadolu Agency via Getty Images)

According to a survey by the CBC, New Yorkers feel quality of life and public safety declined from 2017 to 2023, with only 30% rating life as good or excellent, down from 51% with many feeling unsafe in subways and parks, especially at night. 

Still, most view local parks, playgrounds and cultural offerings positively, which helps attract residents and tourists, the report said.