This Kentucky city is paying people to move there

As remote work continues to reshape the American workforce, one small Kentucky city is betting that cash — and culture — can draw new residents. 

Paducah, a riverside locale with a population of about 27,000, has launched a relocation incentive program offering nearly $6,500 in benefits to eligible remote professionals who make the move.

The city’s Remote Workers Incentive Program includes reimbursement for moving expenses, a year of waived payroll taxes, a $70 monthly internet stipend, and $1,200 worth of memberships and passes to local cultural and educational institutions. 

To qualify, participants must live at least 100 miles away, work full-time for a company without a local office, and commit to staying at least one year beyond their program participation.

“Congratulations on your decision to relocate, I’m so glad you’re considering Paducah, Kentucky,” Mayor George Bray said in a video invitation. 

The initiative, which he described as a “top priority” since taking office, is funded with $100,000 in the city’s budget and is part of a broader strategy to attract talent and boost the local economy in the wake of the pandemic.

While the program’s monetary value depends on an applicant’s income — maxing out around $6,500 for someone earning $100,000 annually — the city is also banking on its quality of life and creative community to make the pitch more compelling.

“Paducah really attracts artists to come and create a live-work space,” local real estate agent Sara Gipson told the Daily Mail, noting the appeal of the city’s walkable downtown and revitalized century-old buildings. 

“Our downtown has really come to life. We’re building new condos and people are refurbishing hundred year-old buildings with condos above and retail below.”

Gipson said she’s seen interest from out-of-state buyers, particularly those seeking a slower pace and lower prices. 

“Currently, I’ve got a couple from Colorado that are looking to buy property,” she said. “People are able to come out here and buy with cash for a house and live a much more simple life.”

Paducah’s average home price hovers around $250,000, and its cost of living remains well below the national average.

“It’s very charming, we don’t have a Target and we don’t have a Trader Joe’s — we have small local shops,” Gipson said. 

“Our crime rates are low, our schools are good, and the cost of living is very reasonable.”

Civic leaders are also emphasizing the city’s artistic credentials. Paducah is part of the UNESCO Creative Cities Network and home to institutions like the Paducah School of Art and Design, the National Quilt Museum, and dozens of independent galleries and studios clustered in the Lower Town Arts District.

Beyond the visual arts, the city boasts a rich cultural history and an active calendar of festivals and performances. Local artist Robert Dafford has painted more than 50 murals along the riverfront floodwall, depicting scenes from the city’s past. Paducah’s musical legacy includes the Hotel Metropolitan, once a safe haven for black performers like Duke Ellington and B.B. King, now operating as a museum.

The food scene has also drawn national attention. “Top Chef” star Sara Bradley owns Freight House, a downtown restaurant known for its locally sourced ingredients and Kentucky bourbon pairings. Paducah’s culinary reputation recently landed it a spot in “You Belong Here,” a docu-series premiering at the Tribeca Festival.

The city is expanding its cultural footprint even further. In May, the West Kentucky Film Commission opened a regional office in Paducah. 

“Film is a catalyst for tourism—it invites people to discover the places they see on screen,” Alyssa Phares, executive director of the Paducah Convention & Visitors Bureau said in a statement. “By joining this regional effort, Paducah is not just attracting productions, we’re creating new opportunities to showcase Western Kentucky’s culture, creativity and hospitality to the world.”

Paducah’s draw isn’t limited to artists. Opportunities in education, the maritime industry, and small business also bring newcomers to town. 

The local government is investing heavily in infrastructure, including the $16 million restoration of the Williams Family Symphony Hall and a major redevelopment of the riverfront to accommodate more riverboat docking.

The city’s population has grown by 8% since the last census, according to Mayor Bray.

He noted that even before the incentive program launched, people were relocating to Paducah for its livability. 

Paducah joins a growing list of US towns and cities using cash and lifestyle perks to attract remote workers. 

Jacksonville, Illinois, offers new residents a $9,300 incentive package, including a cash bonus, gym membership and even free teeth whitening. In Topeka, Kansas, remote workers can receive up to $15,000 to rent or buy a home. Tulsa, Oklahoma, has accepted over 3,000 participants into its $10,000 Tulsa Remote program since launching in 2018 — an effort that city leaders say has generated over $300 million in economic impact.

As remote work blurs the line between professional opportunity and lifestyle choice, small cities like Paducah are hoping that a blend of affordability, culture, and community will win out over high-priced metros. The financial incentives are just a starting point. 

“People are moving here from all over the place,” Gipson said.