I'm a huge fan of peak-performance coach Tony Robbins' work and though I haven't made it to one of his live events yet, I'm hoping that changes soon now that he is based in Florida and seems to be holding events here more regularly.
In his new book, Money: Master the Game, Robbins reveals why he made the move to Florida after having lived in California all his life.
According to Robbins, a Boomer born in 1960, what prompted the move was the ever climbing taxes he was paying in California.
All-in, his effective tax rate including federal and state income taxes, Social Security, investment taxes, payroll taxes, and the Obamacare tax jumped up to 62% in 2012.
Of his nationwide search, Robbins writes:
We looked at Florida too, reluctantly. All I knew of Florida were alligators and old people. But that's the stereotype, not the reality. What we found instead was a paradise in Palm Beach. After looking at 88 properties in three states in just three weeks (I told you I'm a massive-action guy), we found the only brand-new home on the water in Palm Beach. Two acres, nearly 200 feet of ocean frontage on one side, and the Atlantic Intracoastal Waterway on the other, with a 50-foot boat dock. I feel like I'm back in my home in Fiji – it's extraordinary. Sage has everything she wants close by: world-class restaurants, shopping, easy access to the entire East Coast, and all the privacy and serenity of living on an island right here in the United States.
At this point you might be curious what Robbins' new home looks like.
Of course, the price tag was way higher than I ever wanted or imagined paying for a home. But Florida has no state income tax. We went from 13.3% state income tax in California to nothing – nada, zip. So here's the kicker: with the state taxes we're saving every year, we are literally paying off our entire new home in six years!
Tony's new home of Palm Beach has the 9th highest property tax rates in the state, so he could have done worse in that department. Heck, property taxes in the county in which I live are almost 3% higher!
Now, your income probably isn't as high as Tony's, but depending on what state your moving from and your income, your move to a no state income tax state like Florida could still be very beneficial in helping preserve and grow your nest egg.
I'm currently 358 pages in to Tony's 600+ page book, and I would recommend it to all of my readers, no matter what stage or level of “the game” you're in.
Check out the video below in which Tony talks about why he wrote this book and who it can benefit:
You can pick up your copy at Amazon.com or your favorite bookseller.