New York vs San Francisco: 33% vs 26%
New York wins on savings rate by 7 percentage-points. Rent burden: 25% in New York vs 32% in San Francisco. Median incomes: $170,000 (USD) vs $120,000 (USD).
New York
- Savings rate
- 33%
- Median income
- $170,000 /yr
- Median rent
- $3,500 /mo
- Rent burden
- 25%
- Total core costs
- $6,000 /mo
- Years to FIRE
- 32 yrs
San Francisco
- Savings rate
- 26%
- Median income
- $120,000 /yr
- Median rent
- $3,200 /mo
- Rent burden
- 32%
- Total core costs
- $5,400 /mo
- Years to FIRE
- 52 yrs
Verdict
- Savings rate: New York (33%) beats San Francisco (26%) by 7 pp.
- Rent burden: New York (25%) is more affordable than San Francisco (32%).
- FIRE timeline: New York reaches financial independence in ~32 years, vs ~52 years in San Francisco.
- 5-year wealth gap: The 7-pp annual savings-rate gap compounds to ~35 percentage-points of gross income over five years — directly attributable to local cost structure.
New York vs San Francisco — FAQ
Which city has the higher savings rate, New York or San Francisco?+
New York has the higher savings rate at 33% of gross income, compared to 26% in San Francisco. That is a 7 percentage-point gap. Over a 5-year horizon, the gap compounds to roughly 35 percentage-points of gross income — meaningful for anyone optimising long-term wealth.
What is the income gap between New York and San Francisco?+
Median New York household income (mid-band) is around $170,000/year (USD). In San Francisco it is around $120,000/year (USD). That is a gross gap of $50,000/yr.
Is rent worse in New York or San Francisco?+
Rent burden is higher in San Francisco: rent eats 32% of gross median income there, vs 25% in New York. Median monthly rent is $3,500 in New York and $3,200 in San Francisco. New York is the better city for renters at the median income level.
Which city is better for early retirement (FIRE), New York or San Francisco?+
Using a simple 25x-expenses FIRE benchmark, a mid-income earner in New York could reach financial independence in roughly 32 years at the current local savings rate, vs 52 years in San Francisco. New York is the better FIRE city for mid-income earners based on local savings rate and cost structure.
What about cost-of-living adjusted — does New York still win?+
Yes. Savings rate already factors in the local cost of living, because it is calculated as (income − expenses) ÷ income using BLS Consumer Expenditure Survey 2023. New York's 33% rate is the cost-adjusted figure — it already reflects what residents actually save after paying rent and other expenses. The 7 percentage-point lead over San Francisco is real, not a currency illusion.
Methodology
Savings rates from BLS Consumer Expenditure Survey 2023 for New York (United States) and BLS Consumer Expenditure Survey 2023 for San Francisco (United States). Median income is the midpoint of the default income band for each city. Rent burden is annualised rent divided by gross median income. Years to FIRE assumes a 25× annual expenses target, saved at the local benchmark rate, with no investment growth — a deliberately conservative proxy for ordering cities, not a forecast.
Comparisons across different currencies should focus on percentages (savings rate, rent burden), not absolute amounts.