Location, location, location. Where you live can make a huge difference in how you live, no matter who you are. Even within the U.S., location has a major impact on how far your wealth goes—and how comfortable your lifestyle feels. Some states offer tax advantages, a community of other wealthy households, and seemingly infinite opportunities to multiply your millions. Other states might drain your resources at an unexpected—and unpleasant—pace. In this article, you’ll find the best states for a millionaire in 2025. We factored in taxes, cost of living, millionaire density, and the overall economic strength of the state.
What Makes a Millionaire?
A “millionaire” is often defined as having at least $1 million in investable assets—not counting your primary home. There are more millionaires in the United States than in any other country. In fact, the 23.8 million millionaires in the country collectively are more than the population of Florida! Being a millionaire puts you in the top tier of American wealth, but what your money can buy—and how far it stretches—can vary drastically depending on which state you call home.
Taxes
Taxes are an enormous consideration for millionaires. Six states—California, Connecticut, Maine, New Jersey, New York, and Washington D.C.—have a special “millionaire tax” for high earners. California, for example, taxes income over $1 million at 10.3%, while New York’s top rate is 8.82%. Meanwhile, eight states—including Florida, Texas, and Wyoming—have no state income tax at all. These states may be prime real estate for anyone focused on preserving dollars as they come in.
Cost of Living
However, taxes are just one piece of the puzzle. The cost of living can silently erode a millionaire’s buying power too. States like Mississippi and Arkansas have the lowest living costs, but as a tradeoff, they might not offer the level of amenities or economic opportunities that some millionaires are looking for. In contrast, Massachusetts and New York are some of the most expensive places to live, with sky-high prices for housing, healthcare, and daily expenses. The amenities and economic opportunities, though, tend to be more prevalent.
States with the Highest GDP
If you’re a millionaire in search of the next big thing, it’s useful to live where the economic action is. In this realm California, Texas, and New York dominate the national GDP rankings. California alone boasts an economy worth more than $3.8 trillion as of 2025—more than many full nations. These states offer thriving real estate markets, strong financial sectors, and booming tech hubs. They’re flush with opportunity, but that opportunity comes with a higher cost of living and steeper taxes.
Safety and Quality of Life
Millionaires frequently rank safety and lifestyle very high on their priority lists. States like Massachusetts and New Hampshire shine here, boasting some of the lowest property crime rates in the country. New Hampshire, in particular, has the nation’s lowest property crime rate. This makes it a popular choice for affluent families who want security and peace of mind.
Where Millionaires Cluster: Top States by Numbers
Living in a community of fellow millionaires often provides social and professional perks, including networking opportunities and access to elite services. California has over a million millionaires and leads the nation in raw numbers. New York has about 650,000, while Texas and Florida have about half a million millionaires apiece. Illinois, New Jersey, and Massachusetts all have around 350,000 each.
What matters more than the total number is the density, however, as that makes it more likely that millionaires will encounter one another and that businesses catering to them will find it profitable to locate there. New Jersey leads the U.S. in millionaire density, followed closely by Maryland and Massachusetts. In these states, you’ve got a higher chance than anywhere else that a random person out and about will be a millionaire, which creates vibrant communities filled with high-end amenities.
Amenities and Culture
For many millionaires, tax rates and cost of living aren’t the only factors in choosing a home state—it’s also about lifestyle. California and New York, despite high costs, attract the wealthy with their rich cultural scenes, luxury real estate, fine dining, and opportunities for global influence. But these perks come at a steep price, with expensive housing and high taxes biting a chunk out of even sizable fortunes.
The Verdict: Best States for Millionaires in 2025
Ultimately, the “best” state to be a millionaire depends on your personal priorities—whether you’re most invested in minimizing taxes, maximizing your lifestyle perks, or finding a community where you fit right in.
- Overall, most millionaires have decided to live in California and New York: places with large numbers of wealthy people, economic opportunity, vibrant cultural life, and elite services. These advantages for most of the wealthy outweigh the high taxes, congestion, and concerns about safety in these states.
- For those concerned about taxes, Florida and Texas are two of the better choices that still offer many of the lifestyle and economic advantages of California and New York.
- Finally, Massachusetts and New Hampshire are great choices for those who want a higher density of millionaires in a quieter and safer environment.
But hey, depending on how much of a millionaire you are, there’s no need to choose just one. How about a summer home on Martha’s Vineyard and a winter one in Fort Lauderdale?
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