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AFFORDABILITY CRISIS
REPORT
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RECLAIM
NEW YORK
ACKNOWLEDGEMENTS
Reclaim New York would like to thank J. Scott Moody, Brandon Muir, Doug Kellogg, Tom
Basile, John Lange, Nickolaus Anzalone, Angelica Irizarry, Rios Lopez, Candice DiLavore,
Sarah Jones, and scholars at the US Census Bureau, the Tax Foundation, the Heritage
Foundation, the Manhattan Institute, the Empire Center, the Office of the New York State
Comptroller, and the Institute of Economic Affairs for their contributions and feedback on
this report.
Additionally, the following resources were helpful in the drafting of this report: quickfacts.
census.gov, factfinder.census.gov, calculator.net, experian.com, myFICO.com, osc.
state.ny.us, seethroughny.net, bls.gov, nyserda.ny.gov, nyc.gov, ehealthinsurance.com,
verizonwiresless.com, digitaltrends.com, optimum.com, gasbuddy.com, eia.gov, ttb.gov, tax.
ny.gov, discus.org, ticas.org, and the Kaiser Foundation.
INTRODUCTION
New York: the words once rang with promise. Come here to
make your fortune, start a business, and build a family and a life.
That promise has disintegrated under
the weight of layers of government and
bureaucracy and their impact on every aspect
of daily life. New Yorkers are struggling every
day to keep their heads above the economic
waterline. Theyre dragged down by high taxes,
poor job climate, and politicians that feed a
government mired in failed policy and too
often corruption.
We deserve better.
We have to demand better.
Lets Reclaim New York.
Monthly
$6,519
Annually
$78,227
INCOME TAX
$1,050
$12,597
PROPERTY TAX
$661
$7,928
SALES TAX
$212
$2,538
EXCISE TAX
$48
$573
MORTGAGE
$1,493
$17,912
FOOD
$624
$7,494
TRANSPORTATION
$1,206
$14,475
ENERGY
$173
$2,079
WATER
$86
$1,038
HEALTH INSURANCE
$361
$4,329
RENTERS INSURANCE
$0
$0
CELL PHONE
$154
$1,850
TELEPHONE/INTERNET/CABLE
$92
$1,100
$6,159
$73,913
$360
$4,314
TOTAL EXPENDITURES:
WHATS LEFT:
4
Income Taxes
$12,597 | 16%
Property Taxes
$7,928 | 10%
Sales Taxes
$2,538 | 3%
Excise Taxes
$573 | 1%
Basic Expenses
$50,276 | 64%
Whats Left
$4,314 | 6%
INCOME TAX
PROPERTY TAX
SALES TAX
WESTCHESTER
7.375 - 8.875%
ORANGE
8.125%
PUTNAM
8.375%
DUTCHESS
8.375%
ROCKLAND
8.375%
EXCISE TAXES
Excise Taxes have a unique and
disproportionately burdensome effect on
its citizens. Excise taxes are a hidden cost,
passed on to the consumer. They dont appear
on any receipt; most consumers dont even
know they exist. Unfortunately, both the federal
and state government make sure they do more
than just exist.
Their reach is broad: in New York, they add to
the cost of everything from fishing equipment
to airline flights to gasoline. Going to the ball
game? Be prepared to pay the Stadium Tax,
the Soda Tax, a Beer Tax and parking taxes
to name a few. The list goes on all in the
name of feeding New Yorks already bloated
government.
82%
Property Taxes
$3,434
1%
4%
8%
Sales Taxes
$1,710
6%
Excise Taxes
$292
-2%
Basic Expenses
$33,400
Whats Left
$-975
Whats Left After All Wake-Up Costs in Mount Vernon
Income Taxes
$11,555
WESTCHESTER COUNTY
Property Taxes
$4,131
Sales Taxes
$1,147
Excise Taxes
$228
Basic Expenses
$27,021
2%
1%
8%
24%
54%
9%
Whats Left
$4,626
7%
2%
1%
23%
59%
8%
Whats Left
$12,913
ROCKLAND COUNTY
Property Taxes
$4,306
1% 4%
69%
13%
Sales Taxes
$2,332
Excise Taxes
$450
Basic Expenses
$42,038
7%
6%
Median Family Income
$60,941 annually
Married, 2 Dependents, Renter
Whats Left
$3,649
10%
1% 5%
56%
18%
10%
ORANGE COUNTY
Whats Left
$9,266
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The story isnt much different in the lowerincome area of Middletown. The median
income here is $58,803, and at this income,
the family rents. In taxes they would spend
$14,063 and in basic expenses, $40,160,
both add up to a total of $54,223. That means
a quarter of their income is going to the
government, and 68-percent goes to basic
living expenses. That leaves them with $4,580
per year, which is $382 per month. At these
rates, it will take them years before theyve
saved enough to purchase a house or achieve
other life goals.
9%
19%
1% 4%
9%
59%
Median Family Income
$103,750 annually
Whats Left
$9,188
PUTNAM COUNTY
With approximately $9,000 left to cover all
other expenses, save, and prepare, this family is
financially unstable. Saving for retirement or a
childs college tuition? Paying off student loan
debt? Trying to put together the down payment
for a first home? In this tax climate, these
milestones are likely outside of their financial
reach.
City of Middletown
Income Taxes
$14,450
Property Taxes
$7,336
1% 4%
68%
Sales Taxes
$2,741
6%
Excise Taxes
$579
13%
Basic Expenses
$50,872
8%
9%
1% 3%
60%
17%
11%
Whats Left
$8,990
Whats Left
$4,580
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Hamlet of Mahopac
Income Taxes
$2,823
81%
Property Taxes
$1,545
1%
5%
4%
Sales Taxes
$2,258
Excise Taxes
$464
Basic Expenses
$33,424
7%
2%
Whats Left
$818
Hamlet of LaGrangeville
10%
3%
1%
56%
19%
12%
Whats Left
$12,627
DUTCHESS COUNTY
Income Taxes
$18,167
Property Taxes
$9,391
Sales Taxes
$3,431
Excise Taxes
$786
City of Poughkeepsie
Basic Expenses
$61,407
Whats Left
$7,102
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3%
1%
61%
9%
18%
7%
CONCLUSION
It doesnt matter whether you rent or own your home; what income bracket you fall in; whether
you live in an urban, suburban, or rural area; are single or married; a Baby Boomer or Millennial,
there is an Affordability Crisis in New York State that impacts the financial stability of virtually
everyone. The snapshot Reclaim New York has provided here illustrates how New Yorkers
struggle to save due to the crushing cost of government and its impact on the cost of living.
Since most New Yorkers pay anywhere from eighty to ninety-percent of their income
in Wake-Up Costs its important for citizens to ask if theyre getting sufficient value for
what they pay into the government. If New Yorkers actually breakdown the amount they pay
in Wake-Up Costs and begin looking at their relationship with government as a consumer
transaction, chances are theyd feel theyre getting a bad deal.
All states require revenue to function. Lively, balanced debate can and must take place about
how much revenue they need, and how they should spend your money. In order for that debate
to produce substantive results, citizens must participate and need to be well-informed. Given
the energy our state and local governments expend on erecting barriers to transparency, and
protecting the status quo of high taxes, it is often hard for consumers to get a clear picture of
the fiscal forces that impact their future.
We created this Affordability Crisis Report to help all New Yorkers who want, and
deserve, a better future to participate in the conversation. Reclaim New York has synthesized
hundreds of studies and data points using a new model to isolate interactions with government
that hinder New Yorkers ability to save.
When we learn how our government crushes our families, keeps youth running in place,
leaves seniors with an uncertain financial future, and stops even those earning double their
local median income from building up real savings; we begin to realize that the game is rigged
against all New Yorkers. We also realize serious change is necessary.
This report is the first step to building a stronger New York for millions who struggle
to live here. We encourage each of you to engage us in a deeper conversation. Reclaim New
York can help you define what the next step is for you and your community. Activation could be
as simple as reaching out to friends and neighbors or attending a town board meeting. The key
is that we understand the issues and work together to move New York forward.
For questions and inquiries regarding this report, please contact:
Info@ReclaimNewYork.org
646-781-7800
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RECLAIM
NEW YORK
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597 Fifth Avenue, Seventh Floor New York, NY 10017
ReclaimNewYork.org info@ReclaimNewYork.org