The 10 U.S. cities where $250,000 goes the furthest are all in the South

A six-figure salary is a goal for many Americans, but depending on where you live, it might not go as far as somewhere else.

The purchasing power of a $250,000 salary, for instance, depends largely on a city’s cost of living and overall tax environment. High earners might be able to maximize their earnings and take advantage of lower tax rates by moving cities.

If you want to get the most out of a $250,000 salary, the best place to go seems to be the South, according to a recent SmartAsset study outlining where high earners lose the most to taxes and cost of living.

The report compares the after-tax income in 76 of the largest U.S. cities and adjusts the figures for the cost of living. The data was compiled using SmartAsset’s paycheck calculator, which calculates take-home pay after taking into account local, state and federal taxes. Cost of living expenses include housing, groceries, utilities, transportation and other goods and services.

The purchasing power of $250,000 in cities like New York and San Francisco, for example, is worth just shy of $83,000 after taxes and cost of living, the study finds. In cities like Memphis, Tennessee, and El Paso, Texas, though, $250,000 is worth much more, thanks to the states’ lack of income tax.

For the fortunate 7% of American households earning $250,000 per year, here are the top 10 cities where that money goes the furthest.

Thanks to Tennessee’s lack of state income tax, $250,000 in Memphis holds an estimated value of $203,663.57. A $250,000 salary in Tennessee is taxed at a rate of 29.77%.