Howard Schultz, the architect behind the global coffee empire Starbucks, and his wife are embarking on a new chapter, leaving the state of Washington for the warmer climate of Florida. This move comes amidst a significant shift in the state’s tax landscape, signaling a potential turning point for high-net-worth residents.
The decision follows Starbucks’ recent announcement to establish a new corporate office in Nashville, Tennessee. These actions coincide with Washington state’s progress toward enacting a new “millionaire tax,” a 9.9% income tax levied on households earning over $1 million annually.
The controversial bill, debated fiercely in the state legislature, passed the House of Representatives with a narrow margin. It now awaits confirmation from the State Senate and the signature of Governor Bob Ferguson to become law. The tax aims to reshape the financial obligations of the state’s wealthiest citizens.
Despite assurances from some lawmakers that Washington’s affluent residents wouldn’t be deterred by the tax, the Schultzes’ relocation suggests otherwise. Representative Natasha Hill publicly stated that wealthy individuals would likely pay more in taxes elsewhere, but the former Starbucks CEO appears to have made a different calculation.
Schultz shared a deeply personal reflection on his journey, recalling his arrival in Seattle with his wife, Sheri, in 1979. He described a time when Starbucks was a small, local business selling only whole bean coffee at the iconic Pike Place Market.
He spoke of the company’s evolution, inextricably linked to the city’s spirit and the dedication of its early employees. Schultz emphasized the importance of Seattle in shaping Starbucks’ culture, benefits, and enduring brand identity.
Now, entering what he calls the “retirement phase,” Schultz revealed their decision to relocate to Miami. This move allows them to explore the world, spend time with their growing family on the East Coast, and embrace a new adventure under the Florida sun.
While their personal and family office operations will shift south, Schultz affirmed their continued commitment to the Schultz Family Foundation, which will maintain its operations and philanthropic efforts in Seattle. The foundation, now led by Vivek Varma, will continue its mission to drive meaningful change.
Schultz expressed profound gratitude for the memories forged in Seattle and the relationships cultivated over decades. He acknowledged the city’s role in their personal and professional lives, offering a heartfelt thank you to the community that helped build Starbucks into a global phenomenon.
Their departure marks not an ending, but a transition – a move “onward” into a new phase of life, filled with promise and the enduring legacy of a remarkable journey.
