[cairo140]

My numbers (n=1, though this is widely true among the transplants I know) worked out in spite of the cost of living. Here is my math, though obviously the number will vary based on individual.

My rent went up by around $2000. At a marginal tax rate (Medicare + Federal + State) of ~40% this meant post tax income would have to go up by $40000 to "break even". Tack on an extra $5000 per year to cover the high state tax rate (this difference varies based on origin state). In comparison, my gross income went up by over $50k within a year and $150k within 3 years.

There are other aspects that add to "why I personally live here". (1) Job security is much better, not in the sense that companies are more loyal or successful here, but in that there is so much going on that you get job security from the strength of the market, and I feel like if I ever lost my job or wanted to change I can. (2) Because of the strength of the market, employers treat employees much better here than in smaller markets. (3) Everybody else is here. The proliferation of people who I can learn from here is amazing to take in.

There are definitely things that will tip the scale in favor of going away. Kids and buying a home are a big one, since those costs are even more outsized here than rent alone. Also, the valley is disproportionately friendly to the cutting-edge, type-A career, and the numbers (in terms of the jobs you can get) are not as friendly if you want to settle down. It's for these reasons it's likely I'll leave, but in the meantime, the cost of living is offset by a long shot, to say nothing about the intangible benefits.