Full Breakdown
Howard Schultz Relocates to Florida Amid Washington's Millionaires Tax Debate
3/12/2026, 11:04:13 PM
Announcement of Move
Howard Schultz, the former CEO and chairman of Starbucks, has announced his relocation from Seattle, Washington, to Miami, Florida, marking a significant transition after nearly 50 years in the Pacific Northwest. The announcement came shortly after the Washington State House passed a controversial "millionaires tax," which would impose a 9.9% income tax on households earning over $1 million annually, starting in 2029. Schultz's decision to move has drawn attention due to the timing, as it coincides with the legislative push for this tax.
Background on the Millionaires Tax
The proposed millionaires tax, formally known as Senate Bill 6346, aims to generate approximately $4 billion annually to fund public services, including education and healthcare. The bill passed the House with a narrow 51-46 vote and is now awaiting confirmation from the State Senate before being sent to Governor Bob Ferguson for approval. Proponents argue that the tax will benefit low- and moderate-income families, while critics, including some Republican lawmakers, warn it could lead to capital flight, where wealthy residents leave the state to avoid higher taxes.
Schultz's Perspective
In his LinkedIn post announcing the move, Schultz did not directly reference the millionaires tax but expressed hope that Washington would continue to be a place where business and entrepreneurship can thrive. He stated, “We will be forever grateful for the memories made in Seattle and the relationships built along the way.” Schultz, who has an estimated net worth of $3.5 billion, emphasized the personal reasons for the move, describing it as entering the "retirement phase" of his life, where he and his wife, Sheri, can enjoy the sunshine of South Florida and be closer to their children on the East Coast.
Criticism and Opposition
The timing of Schultz's move has sparked debate among political commentators and lawmakers. Some Republicans have suggested that his departure signals a broader trend of wealthy individuals leaving Washington due to increasing taxes. State Representative Chris Corry remarked that Schultz's move could be indicative of "capital flight." Conversely, Democrats argue that Schultz's relocation is primarily motivated by personal circumstances rather than the tax legislation. Senator Jamie Pedersen noted that Schultz is past his earning years, suggesting that the tax should not influence his decision.
Official Statements & Responses
Governor Bob Ferguson has indicated his support for the millionaires tax, stating, “I look forward to signing it,” while emphasizing its potential benefits for Washington families. Schultz's move has also been linked to Starbucks' recent announcement of opening a new corporate office in Nashville, Tennessee, which is another state without a personal income tax. This shift has raised questions about the company's long-term commitment to Seattle, where it has been headquartered since its inception.
What's Next
As the Washington State Senate prepares to vote on the millionaires tax, the implications of Schultz's move may continue to resonate within the state's political landscape. The outcome of this tax legislation could influence the decisions of other high-income residents and business leaders in Washington, potentially reshaping the state's economic environment.
Verbatim Quotes
- “We will be forever grateful for the memories made in Seattle and the relationships built along the way.” — Howard Schultz, Former CEO of Starbucks
- “That timing is not a coincidence,” — Drew Stokesbary, House Republican Leader
- “For Washington’s 1.1 million school kids, people struggling to afford health care, and small businesses looking for help, that help is on the way,” — Jamie Pedersen, Senate Majority Leader
Schultz's departure from Seattle highlights the intersection of personal choices and broader economic policies, raising questions about the future of Washington's tax landscape and its impact on business leaders.
