Austyn Brock
If you’re like me, you may want to live in a big city sometime in the future. All the people, skyscrapers, and things to do are compelling and exciting. The city can seem inviting for young people with its lively atmosphere at all times.
On the other hand, we have all heard of the costs that come with living in the city, which might make us wonder, is it worth it?
One of the most important and costly parts of living is housing. This is also one of the biggest gaps between city and small town living. Housing costs are much more in big cities. This is due to the fact that more people want to live in the city and the limited space drives prices upward. According to Marian White, “while someone making $60,000 a year can afford a 3-bedroom home in Raleigh, NC, they may have to settle for a small, walk up apartment (and several roommates) in New York City.” And as shown in the cart above, the cost of mortgage in a larger city is 359% more than in a smaller town.
Additionally, other everyday necessities such as food, gasoline, and utilities can be over two times more expensive in cities than smaller towns. These costs, although sometimes forgotten about, begin to really add up. Overall, the total cost of living in the city according to Saving 2 Invest is $10,120 while the cost of living in a small town is a tiny $3,815 in comparison. This seems like a huge difference right? Luckily, city living also has its perks and there are ways to save money.
Although city life is about 165% more expensive than small town life, the average monthly income is about $5,500 more than the income of those who live in a small town. This increase in salary is enough to cover the extra costs of living in an urban area. The city also opens up better job opportunities, more options, as well as shorter commutes to work.
There are also a couple of easy ways to save money while living in a city in order to decrease the cost of living.
Living with a roommateShopping wisely
Eating at home
Create a budget
In an urban area it is easy to spend more money than you mean to, with increased prices on almost everything, but creating a budget and saving money on things like clothing and food can help you decrease your monthly spending. Living with a roommate can also be a great way to cut housing costs in half. On the same note, living in a city early in life, before having a family, might be the way to go, as the cost of children can seriously increase in the city due to the cost of daycare, clothing, and food.
Overall, although it may seem impossible, living in an urban area after college, might not be as impractical as you think. All things considered, although the cost of living in a city is significantly more, salaries are higher and job opportunities are better, making city living just as sensible as suburban living early in life.
Works Cited
“9 Easy Ways to Save Money Living in NYC.” Metropolis Moving, 27 May 2019, metropolismoving.com/blog/save-money-living-new-york-city/.
Andy, and Sam Dalal. “Monthly Budget Comparison – Big City $10,000 vs. Small Town $4,000.” Saving to Invest, 20 Dec. 2013, www.savingtoinvest.com/monthly-budget-comparison-big-city-10000-vs-small-town-4000/.
Jensen, Carl. “Small Town Vs. Big City: What Are The Pros And Cons?” MoneyMow, 10 June 2019, www.moneymow.com/small-town-vs-big-city-what-are-the-pros-and-cons/.
White, Marian. “Thinking of Moving? Here's What It Costs to Live in These 30 Cities.” Moving.com, Moving.com, 24 Jan. 2019, www.moving.com/tips/how-to-determine-the-cost-of-living-in-a-city/.
This is a great piece. You do have to keep in mind that not all major cities cost the same. DC, as you used above, is one of the most expensive places to live while Indianapolis, still a decent sized city is a lot cheaper. Secondly, if you live in the city, it might not be necessary to own a car with the public transportation around which could save you money as well. Overall, it is very dependent on how people chose to spend their money.
ReplyDeleteI really loved this post. Many people that I know want to live in a big city or even go to college in one. I really think having a roommate, like you said, will decrease the cost of housing by a lot. Also knowing how to budget like not spending a lot of money going out and eating or entertainment could save you a lot of money. Overall, I think people just have to know how to spend their money wisely and not make bad decisions with it if they want to live in a big city.
ReplyDeleteIt's interesting that while the cost of city living is higher, the increased salary almost balances it out. I'm someone who is considering living in a city in the future, as a lot of jobs in my field would be located near one, and while the numbers seem overwhelming at first, you have to keep in mind what your salary will be and what you're willing to spend towards where.
ReplyDeleteAs a person who also wants to move to a big city after college, this information is quite shocking to me. However, the tips you provided seem easy to endure and could definitely take some of the stress off financially. I think the cost of living in the city might differ depending on where it is, but this example you provided is great. Going from living in a small town like Pewaukee to a city like New York is a crazy change, but the benefits are worth it. Great job.
ReplyDeleteA big city is exactly were I see myself living right out of college. Although every time I bring a big city up in a family conversation I get a boatload of, you're gonna be in so much debt, you're never gonna make enough to support yourself, and the list goes on. These comments have never stopped me from believing I will be successful in a big city. I just need to be sensible about, just like you said in your paper. I need to start bringing this dream to reality, by making a budget, figure out were to live, and most importantly get a well paying job.
ReplyDeleteThis was such an interesting topic. And while personally I don't want to live in a big city there are job perks that may come up in my life where living in a larger city may come in handy for my goals. I know a lot of people love cities and some even love them enough to make them their homes. I thought that the comparison of costs of living in the city were really surprising. I knew it was more expensive, but I didn't know housing costs were %359 more. I think the overall message of this topic is it takes a special type of person to live in a city, who is willing to work hard, be responsible and enjoy where they are.
ReplyDeleteLike you I also want to live in a big city and I realize it costs a lot, but are the increased job opportunities worth it? Judging by your data table it would seem that the increased salary of living in a big city does make a difference. Not only are there opportunities for higher wages, but there are simply more opportunities for a wide range of jobs. This can help quell unemployment as well as underemployment. However, I do wonder what the cost is like to live in other big cities. DC is one of the more expensive big cities, but there are other large urban cities that cost much less. Therefore, I’d say not only is it important to budget while planning to live in a big city, but it’s equally important to make sure you are choosing the right big city.
ReplyDeleteThis was interesting for me to read because I as while have put thought into living in a big city. I've always thought that it was unrealistic due to the high prices. However, I never realized until this post that the job pay was higher in cities as well, allowing you to have more money to spend. Also, the fact that you don't necessarily need a car depending on the city you live in, and you can always have roommates and budgets for yourself, makes living in the city seem more reasonable.
ReplyDeleteThis is almost relieving in a way. Just thinking about the prices of housing in college is worrying when I plan to go to a big city school, and the indication that that's the lowest it'll ever be is scary. I am curious, however, how smaller jobs are impacted based on this economic contrast. Are minimum wage jobs in Wisconsin slightly higher in big cities, so that those employed at, say, a fast food restaurant, paid a bit better than they would be here? It feels like the only way those low-skill jobs would thrive. For example, I know that working at certain fast food places, specifically Starbucks as I have more experience there, you can get full health coverage just for being a part time worker. Even with that perk, is it financially feasible to work at a job like that in, say, Boston? This could easily create a debate over what job is best for a college student, and I'm curious what would be said.
ReplyDeleteI agree that living in a big city is extremely expensive and like you listed there are many ways to cut the costs. I don't think there is a way to lower the price of living in a city as a whole. There is a surplus of people in cities and yes the housing is expensive but people still live there, so if companies and businesses can charge this much for housing and still have a surplus of people in the city I do not think it is likely for the price of living in the city to go down. So overall people just have to budget and learn how to spend their money wisely if they do end up moving to the city.
ReplyDeleteI found this topic pretty interesting. I personally don’t really want to live in a big city because of traffic and over population, but it might be better due to prices and some of my personal goals. There are some people that really like cities and the urban setting. The comparison of cost of living between cities and small towns was very surprising. I knew it was more expensive but seeing that house costs are 359% more blows my mind. I really think it takes a certain type of person to live in a city while that may not be me, it would definitely be a great setting for others.
ReplyDeleteI feel like this a very underrated argument. Big cities are terribly overpriced, and I feel that, even though you compared the two, that this disparity is even greater. You used Raleigh (which still has just under 500,000 people), to compare to another big city, and while Raleigh may be cheap, I feel that is you used a town that was even smaller, this disparity would be even greater.
ReplyDeleteI think a lot of us, at least myself, have wanted to live in a big city after college. I think it's a great place to have lots to do, be able to interact with new people and surround yourself in a fast paced environment. But, the costs are so high. I also think a lot of people don't realize how much they are actually going to spend, because eating out is easier than cooking or going out with friends every night can get expensive. If you create a budget that you stick to, I think living in the city can be easier. But, you should start saving when you are young and building up money for retirement early, and you do not want that to be halted just so you can live in a city.
ReplyDeleteI like how you went about this topic and explained different way to save money if you're living in a bigger city where things are more money than they are anywhere else. A lot of times people think you have to be making a lot of money to live in big cities, but you explained many ways to make it affordable
ReplyDeleteThis is interesting information because I have given thought to living in a big city and will be living in a city for college. I never truly realized the gap in the cost of living from big city to small town. However, I was also unaware that the pay at a job was also larger in a city than a town, although, it does kind of make sense. Even with the cost of living being high in a city, I think there are many ways to save like walking or using the bus instead of a car, or living with a roommate instead of living alone. With the costs being so high, it is still very manageable to live in the city if you use your money wisely.
ReplyDeleteWhile living in the city has a higher cost of living, but also a chance for a higher income, and living in a small town does mean less job opportunities, but lower costs, couldn’t there be a compromise on both sides. A compromise where you could get the higher income of the city, but also a lower cost of living. Couldn’t you live in the suburbs, and work in the city. If you live in the suburbs, the commute will be longer, but it’s a small price to pay because the city costs 165% more than living in a suburb like you said. By living in the suburbs and commuting to work in the city, just like thousands of Americans, you can reap the benefits of both the suburbs and the city, without having large consequences. Therefore, I have to disagree with your post.
ReplyDeleteI have never particularly wanted to live in the heart of a city, and have always had a more suburban lifestyle goal than cosmopolitan. This post was compelling nonetheless. It is interesting to think, though, that if you live in a big city you don’t necessarily have to purchase all of your goods, such as groceries and gas, near your home. Perhaps it is worth driving a short little way to buy your goods. I am also curious as to how it compares to households in which they work in the big city, but live elsewhere, or work elsewhere and live in the city-center, respectively. And just how far out of the city do you need to get to begin saving? Is it true for only rural hick towns, or is it also true for nearby towns, such as Wauwatosa is to Milwaukee?
ReplyDelete11/15/19- Austyn, a well-composed sensible article. It’s interesting to think about how much my family would be able to afford in a busy city. It creates an interesting dynamic with higher wages and higher prices in a city. This is an answer to why people commute to a big city for their jobs every day. My basketball coach commutes to Chicago and back every day while making practice in season.
ReplyDeleteThis is a very relevant topic to people our age in my opinion. This is because many people choose to live in a big city when they are in their 20's or in their later years due to not wanting to raise kids in a big city. I always had that stereotypical mindset that yes I would love to live in a big city but I will likely never be able to afford it. However, recently I realized that that's not true at all. My brother and his new wife just recently moved to Manhattan and this is his first real job out of college. I didn't realize that higher incomes make up the cost of living in a big city. Yet, of course one still has to be logical about their purchases and choose not to overindulge or their income won't be high enough for their cost of living. Overall, I really enjoyed this article and it makes me want to fulfill that ambition of living in a big city!
ReplyDeleteThis is a very interesting, and I think to many of us, very relevant piece as I've heard from many people our age that living in a big city is something they want to do. I am also one of those people and I was very relieved to find out that even though the cost of living is higher, the salaries are higher as well. I never knew that before so that was very helpful and reassuring. Overall, very compelling and very interesting!
ReplyDelete