Five US cities financially thriving in the face of inflation

The untamed beast of inflation has reared its ugly head in economies across the nation. Yet, some places are not just surviving but thriving.

The Credit Review published its Financial Health Index of the most financially healthy cities in the US.

#1 Indianapolis

Indianapolis touts low average debt-to-income ratios among its residents and the best home affordability of any city. What puts the cherry on top is a favorable tax climate for businesses.

#2 Salt Lake City

Salt Lake City scored perfect marks for high business creation, low business bankruptcies, and a favorable business tax climate. Business owners in the state enjoy a corporate tax rate of 4.85 percent.

#3 Atlanta

The City of Atlanta has an impressive rainy-day fund. To put it another way, Atlanta's rainy-day fund could allow it to operate for over two months without new revenue. The income-to-debt ratio in the area stands at 1.64.

#4 Austin, TX

The City of Austin has a booming construction industry that is working overtime to make room for new residents. The Credit Review reports the city has seen nearly 47,000 residential units permitted over the past year. Austin’s business creation has also received high marks.

#5 Charlotte, NC

The Queen City has made its way to the 5th spot for both business and financial health. Since eliminating corporate taxes in 2021, and adding to its rainy-day fund, the city has seen a considerable increase in new business applications.

The Credit Review evaluated 55 US cities with populations over one million on 12 factors, across three economic categories. The report considers the financial condition of its residents, businesses, and the municipality.

Click here for the full report.

The Credit Review’s Financial Health Index considered factors like per-capita GDP; ratios of revenue to debt; new business creation, and average household income in its review.