February 10, 2012
Iowa’s Top Paying Cities
The two best places to make a living are Iowa’s Creative Corridor (Cedar Rapids / Iowa City) and the Des Moines / Ames metro. Recently released data shows that Des Moines has Iowa’s best paying jobs among its top ten metros, according to recent US Census and Iowa State University data. But their lead is slight, with Des Moines’ major suburban twin, West Des Moines, and Cedar Rapids trailing only slightly behind. This data matters. In a state that wrestles with Brain Drain, particularly from its rural and small city areas, the Generation Iowa Commission found that salary was far and away the top reason a young, mobile professional moves to a city after finishing school.
Des Moines and West Des Moines workers can expect to be paid, on average, just over $53,000. Cedar Rapids is just a step behind at $50,100, which is still significantly over Iowa’s metro average salary of $47,850.
It’s not just the musing of an armchair economist either. People vote with their feet. Research has found that it takes just a 10% increase in pay to lure someone to a new job.
That is OK for Ames and Iowa City, which occupy the same laborshed (i.e. commuting distance) to, respectively, Des Moines and Cedar Rapids. But it is bad news for the other cities that pay far below the state’s average, and below the Top 3 paying cities. In fact, Iowa State University data shows that the top 5 cities all have experienced over the last decade a net inflow of young professional population (i.e. aged 18-35) with the ones that are moving being the most educated, highest paid, most mobile people. The bottom 5 cities are all dealing with the economic and cultural impact of massive Brain Drain migration. For those who like their data in table form:
Source: MIG, Inc, 2010 US Census data, Iowa State University
