This document compares the costs of living in East Lansing, Michigan and Austin, Texas for someone with a $48,000 salary. It outlines the state income taxes, federal income taxes, social security and medicare taxes, and final take home income for each location. It also provides estimates for housing costs, transportation, food, household items, and extracurricular activities in each city.

1. AP ECONOMICS
MOVING OUT PROJECT
BY KIM BRUCAL
MALVIKA TRIPATHI

2. Taxation
East Lansing, Michigan Austin, Texas
 Salary=$48,000  Salary=$48,000
 State income tax=$1,674.75  State income tax=$0
(4.35%) (0%)
 Federal income tax=$5,655  Federal income tax=$5,655
 Tax Brackett=25%  Tax Brackett=25%
 Percentage of Income=  Percentage of Income=
16.73% 14.69%
 Social Security Tax= $1,617  Social Security Tax=$1,617
(4.2%) (4.2%)
 Medicare Tax=$558.25  Medicare Tax=$558.25
(1.45%) (1.45%)
 Final Income=$38,495.00  Final Income=$40,169.75

3. Savings
East Lansing, Michigan Austin, Texas
 401k
 Savings account
 Deposit of $5,000 to Bank
of America

4. Housing
East Lansing, Michigan Austin, Texas
 Ville Montee  Trails of Walnut Creek
(11511 Metric Blvd)
Apartments (301  Rent=$550
Rampart Way)  Deposit=$100
 Rent=$590  481 sq ft
 1 bed, 1 bath
 Amenities: internet, trash
pickup, gas, water
 Community: pool, spa,
hiking trails, picnic area
Total for 1 year: $6,600

5. Transportation
East Lansing, Michigan Austin, Texas
 Option 1: Capital Metro
Transit
 $64 per month for bus
and train
 Option 2: Capital
Metro Transit
 $30 per month for bus

6. Food/Household
East Lansing, Michigan Austin, Texas
 $75 per week for basic
staples: bread, milk,
cereal, ramen,
vegetables, fruit
 $20 per week to eat out
(no fast food, occasional
snacks)
 $75 per month for
household items: toilet
paper, soap, toiletries
 Combined=$455/month

7. Extra Curricular
East Lansing, Michigan Austin, Texas
 Physical Fitness (swimming,
running, hiking, soccer)=Free
 Dance (Abinaya Arts
Academy/Tapestry Dance
Company)=$100/week
 Movies/Concerts=$100/month