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$225,000 in New York City ≈ €185,770 in Milan

Software engineer pay: New York City vs Milan

Equivalence is solved so household net cash matches across both cities, with taxes, housing, childcare, healthcare, food, and travel all included.

The bottom line

Where each paycheck goes

Every unit of gross, split four ways. Same net cash, very different shape.

New York City · $225,000 Net cash left over: 37%
Tax 32%
Housing 22%
Living 10%
Kept 37%
Milan · €185,770 Net cash left over: 38%
Tax 44%
Housing 11%
Living 7%
Kept 38%
Income + payroll tax Housing (rent) Healthcare, food, transit, travel Net cash kept

Full Breakdown

Category New York City Milan Swing
Gross salary $225,000 €185,770 ($215,260) Equivalent
Income + payroll tax −$71,081 (31.6%) −€80,859 (43.5%) A touch higher
Housing (rent) −$49,465 Queens ~$2,952 · Brooklyn ~$3,407 · Manhattan ~$4,958 −€20,241 1 bed listings typically €1,230 to €1,860 ~53% less
Healthcare (household) −$4,220 −€900 Universal
Food & groceries −$12,381 −€8,301 ~22% less
Transit −$1,584 −€468 ~66% less
Discretionary spending −$3,250 −€2,880 Similar
Travel home −$375 −€800 ~147% more
Net cash kept $82,643 €71,322 Equal in real terms

Live in either city? Flag any number that looks off.

Computed at the city-median tech-worker salary, New York City (a senior software engineer). Each figure is in the city's local currency, from the same engine as the calculator; sources are cited per row there.

What changes beyond the money

Inbound-worker tax regime: Milan. Regime impatriati keeps half your Italian employment income out of IRPEF for five tax periods, on income up to EUR 600,000 a year, so the exclusion is worth at most EUR 300,000. INPS is untouched. We test salary only; the other conditions are on you. See it applied in the calculator →

These numbers use one scenario's assumptions. Plug in your own salary, family size, and lifestyle.

Open the interactive calculator to run your own →

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Moving from New York City to Milan for a software engineer

$225,000 in New York City requires €185,770 in Milan to match on household net cash. The gap is real, but it is smaller than the nominal numbers suggest once taxes run their course. Progressive brackets compress the after-tax difference faster than a compensation benchmarking site would lead you to believe, because those sites show gross and stop there.

The effective tax rate goes from 31.6% in New York City to 43.5% in Milan. That 11.9-point jump is what the equivalence solver is working against when it finds the matching gross salary.

Unvested equity changes this calculation entirely. RSU value is not modeled in the defaults above, but if you are mid-cycle at your current employer, leaving means forfeiting grants you have already been working toward, and that difference can be larger than the annual take-home delta that drove the comparison in the first place. The Advanced section's "RSU / stock annual value" field is where you plug that number in. Equity-heavy comp favors lower-tax cities at vesting; the after-tax discount gets larger the bigger the grant.

On an employer plan the healthy years feel nearly free; it's the bad year that finds the gap. Milan is universal, so most of that tail risk goes away. New York City still runs $4,220 a year in premiums and out-of-pocket costs, and none of it shows up on an offer letter.

Milan engineers get 20 vacation days per year. New York City averages 0. That 20-day gap is real money at a senior IC's daily rate, and it does not show up on the offer letter.

No kids, employer healthcare, and a single high-bracket income: this is the configuration that makes New York City look best in a head-to-head comparison. It is also the configuration most likely to change. The family scenario page (linked below) models what shifts once childcare and a second earner enter the picture.

Who comes out ahead

If you're single & renting
About even

Both leave you close to 38% of gross once rent and taxes are paid.

If you have kids
Milan

You also get universal healthcare and more paid leave on top of the money math in Milan. Run the family scenario to see it.

If you value time off
Not close

Milan gives you 17 more paid days off in a typical year and 30 more weeks of paid leave, none of which shows on an offer letter.

Common questions

How much do you need to earn in Milan to match a $225,000 salary in New York City?

About €185,770. cityparity solves for the Milan gross salary whose net cash (after taxes, housing, childcare, healthcare, and the rest) equals what you keep in New York City. It's an equivalence, not a raw conversion.

Is healthcare free in Milan?

Milan has universal healthcare, so there are no US-style premiums or large deductibles. cityparity counts that as real money you don't spend, which is part of why the equivalent salary is lower than the raw number suggests.

How much vacation and parental leave do you get in Milan?

Milan has 32 statutory paid days off a year (vacation plus public holidays) and 62 weeks of parental leave. There is no substitute-day rule, so holidays that land on a weekend are lost and a typical year works out at about 28 days. cityparity compares cities on the typical figure and keeps the statutory one as the underlying fact.

Actually looking to move?

The steps this move actually takes, in the order they happen.

  1. Sort the work permit. Your employer usually files this one, and the processing time sets your move date. Everything below waits on it.How permits work

  2. Land the offer. €185,770 is your walk-away floor. Our negotiation guide turns it into an anchor, the scripts to hold it, and the trades to make when the base is capped.Get the scripts

  3. Get moving quotes. Once the contract is signed, price the move itself. ReloAdvisor collects quotes for shipping and short-term housing on the Milan end.Get quotes

  4. Move the money. The deposit on a Milan flat is usually due before you have a local account. Wise converts USD to EUR at the mid-market rate.Compare rates

  5. Cover the health insurance. Most arrivals hit a gap between leaving one health system and joining the next. Allianz Care quotes interim cover for it.Get a quote

  6. Plan the tax filing. A US passport keeps the IRS in your life in Milan, on top of whatever Italy wants. Taxes for Expats files the US side for Americans abroad: the exclusion, the foreign tax credit, and the catch-up program if you are already behind.Get a quote

Some links in this list pay cityparity a commission. The order follows the journey, and the comparison above never depends on it. How affiliate links work

Take these numbers into the offer conversation

Get the break-even salary, rent and one-income scenarios, moving budget, and recruiter ask range for New York City → Milan. Change the salary before checkout and every input inside the report.

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Understand what's behind these numbers

Related comparisons

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Every figure here comes from the same engine as the interactive calculator: real progressive tax brackets, city-median costs, childcare net of government allowances, and the social safety net priced in. Sources are cited per row in the calculator, refreshed annually. Read the full methodology →