One of the themes we cover on this blog is the importance of place in a world where people are becoming increasingly untethered. While I'm a firm believer that great local places have enduring value, this does not mean that technology isn't driving greater fluidity in the way people live, work, play, and optimize their taxes.
Over the last decade, the population of ultra-wealthy Americans (those with a net worth greater than or equal to $30 million) has risen noticeably in two states: Texas and Florida. California, a high-tax state, still dominates; however, Texas has overtaken New York, and Florida has overtaken Illinois. Notably, both Texas and Florida have no state income tax — they also have warmer weather than New York and Illinois.
One of the themes we cover on this blog is the importance of place in a world where people are becoming increasingly untethered. While I'm a firm believer that great local places have enduring value, this does not mean that technology isn't driving greater fluidity in the way people live, work, play, and optimize their taxes.
Over the last decade, the population of ultra-wealthy Americans (those with a net worth greater than or equal to $30 million) has risen noticeably in two states: Texas and Florida. California, a high-tax state, still dominates; however, Texas has overtaken New York, and Florida has overtaken Illinois. Notably, both Texas and Florida have no state income tax — they also have warmer weather than New York and Illinois.
As we have talked about before, there's a longstanding migration trend in the US toward sun, urban sprawl, and lower taxes. But it's not always as clear-cut as a rich person fully relocating to a lower-tax jurisdiction and completely severing ties. The enduring value of place means that many people still travel back and forth to meet whatever personal or professional obligations they might have.
And today, there are apps, such as TaxBird, that will meticulously track the number of days you spend (or your phone spends) in each jurisdiction to ensure you don't cross any important residency thresholds.
The global standard is the 183-day rule (or roughly half a year). In many or most cases, if you are physically present in a place for more than 50% of the year, you are automatically considered a resident for tax purposes. But it's not always this simple, so check with your tax advisor. Regardless, the untethering of life and work is surely allowing more people to tax-optimize in this way.
None of this is surprising.
As Charlie Munger used to say, "Show me the incentive, and I'll show you the outcome." But now we need to think about the longer-term ramifications for colder, higher-tax jurisdictions as capital and tax revenue continue to be siphoned off, not only to Texas and Florida, but to Dubai, Singapore, Hong Kong, Switzerland, Monaco and other places.
Whether you live in North Dakota or Texas, there's a reasonable chance that when you travel internationally, you enjoy going to Cancun. Or perhaps you fly into Cancun and then go to a neighboring town like Tulum. United Airlines just released the following map showing the most-booked international destinations from every state for passengers traveling on United Airlines between January and October 2025. The top three destinations are London, Cancun, and Tokyo:
First, it's important to keep in mind that this data only includes people flying on United; it doesn't capture all international air travel. Second, maps like this are necessarily going to be influenced by an airline's biggest hubs. In the case of United, its hub-and-spoke model relies on major airports and routes like San Francisco-Tokyo and Newark-Heathrow.
Still, specific destinations appear on this map for a reason. Cancun is the number one "vacation" airport for Americans, which is an incredible success story, because it wasn't a place until the 1970s. Prior to Cancun, Acapulco was Mexico's top resort destination, but it was becoming constrained, and the government needed a replacement conduit for extracting US dollars from the American middle class. So, they developed Cancun.
The popularity of Tokyo is likely partly a result of a weaker yen, in addition to being an important Asian hub and an incredible place to visit. According to the Japan National Tourism Organization (JNTO), over 2.7 million Americans visited the country in 2024 — a 33% year-over-year increase and a 58% increase compared to 2019.
The country also saw 3.7 million international visitors in January 2025, which is the highest ever for a single month. Countries like the US and Canada also set all-time records for January arrivals. Part of this, I'm sure, has to do with Japan's legendary "Japow." I was part of this year's cohort, and I've never seen so much snow as I did on the island of Hokkaido.
There are also very specific one-off relationships that appear on United's map. The number one destination for the state of Arizona is, for example, Taipei. And this is being driven by a semiconductor boom, specifically Taiwan Semiconductor Manufacturing Company's direct investment in the state. At the time, it was heralded as "the largest foreign direct investment in a greenfield project in American history."
So, there's a lot that can be gleaned from a map like this. If we were to zoom out and look at all international air travel, we would likely see some reordering. I suspect Paris would jump ahead of airports like Vancouver, given its hub status for other airlines. But it's unlikely you'd see a completely different list. Americans fly east to London, south to Cancun, west to Tokyo, and north to Toronto. These are the primary hub airports.
Wishing you all a Merry Christmas and a restful holiday break.
Katharina Fritsch's Madonnenfigur is one of the most iconic and polarizing works of contemporary German art. Based on a 12-inch, mass-produced souvenir statuette of the Madonna she found while traveling, Fritsch's version stands 170 cm tall (her own height) and is coated in saturated, matte fluorescent yellow paint. This changes your perception of what would otherwise be a deeply familiar object (to most, at least). As far as I know, the artist has never clarified whether her work is intended to be religiously respectful or satirical — so that's for you to decide.
As we have talked about before, there's a longstanding migration trend in the US toward sun, urban sprawl, and lower taxes. But it's not always as clear-cut as a rich person fully relocating to a lower-tax jurisdiction and completely severing ties. The enduring value of place means that many people still travel back and forth to meet whatever personal or professional obligations they might have.
And today, there are apps, such as TaxBird, that will meticulously track the number of days you spend (or your phone spends) in each jurisdiction to ensure you don't cross any important residency thresholds.
The global standard is the 183-day rule (or roughly half a year). In many or most cases, if you are physically present in a place for more than 50% of the year, you are automatically considered a resident for tax purposes. But it's not always this simple, so check with your tax advisor. Regardless, the untethering of life and work is surely allowing more people to tax-optimize in this way.
None of this is surprising.
As Charlie Munger used to say, "Show me the incentive, and I'll show you the outcome." But now we need to think about the longer-term ramifications for colder, higher-tax jurisdictions as capital and tax revenue continue to be siphoned off, not only to Texas and Florida, but to Dubai, Singapore, Hong Kong, Switzerland, Monaco and other places.
Whether you live in North Dakota or Texas, there's a reasonable chance that when you travel internationally, you enjoy going to Cancun. Or perhaps you fly into Cancun and then go to a neighboring town like Tulum. United Airlines just released the following map showing the most-booked international destinations from every state for passengers traveling on United Airlines between January and October 2025. The top three destinations are London, Cancun, and Tokyo:
First, it's important to keep in mind that this data only includes people flying on United; it doesn't capture all international air travel. Second, maps like this are necessarily going to be influenced by an airline's biggest hubs. In the case of United, its hub-and-spoke model relies on major airports and routes like San Francisco-Tokyo and Newark-Heathrow.
Still, specific destinations appear on this map for a reason. Cancun is the number one "vacation" airport for Americans, which is an incredible success story, because it wasn't a place until the 1970s. Prior to Cancun, Acapulco was Mexico's top resort destination, but it was becoming constrained, and the government needed a replacement conduit for extracting US dollars from the American middle class. So, they developed Cancun.
The popularity of Tokyo is likely partly a result of a weaker yen, in addition to being an important Asian hub and an incredible place to visit. According to the Japan National Tourism Organization (JNTO), over 2.7 million Americans visited the country in 2024 — a 33% year-over-year increase and a 58% increase compared to 2019.
The country also saw 3.7 million international visitors in January 2025, which is the highest ever for a single month. Countries like the US and Canada also set all-time records for January arrivals. Part of this, I'm sure, has to do with Japan's legendary "Japow." I was part of this year's cohort, and I've never seen so much snow as I did on the island of Hokkaido.
There are also very specific one-off relationships that appear on United's map. The number one destination for the state of Arizona is, for example, Taipei. And this is being driven by a semiconductor boom, specifically Taiwan Semiconductor Manufacturing Company's direct investment in the state. At the time, it was heralded as "the largest foreign direct investment in a greenfield project in American history."
So, there's a lot that can be gleaned from a map like this. If we were to zoom out and look at all international air travel, we would likely see some reordering. I suspect Paris would jump ahead of airports like Vancouver, given its hub status for other airlines. But it's unlikely you'd see a completely different list. Americans fly east to London, south to Cancun, west to Tokyo, and north to Toronto. These are the primary hub airports.
Wishing you all a Merry Christmas and a restful holiday break.
Katharina Fritsch's Madonnenfigur is one of the most iconic and polarizing works of contemporary German art. Based on a 12-inch, mass-produced souvenir statuette of the Madonna she found while traveling, Fritsch's version stands 170 cm tall (her own height) and is coated in saturated, matte fluorescent yellow paint. This changes your perception of what would otherwise be a deeply familiar object (to most, at least). As far as I know, the artist has never clarified whether her work is intended to be religiously respectful or satirical — so that's for you to decide.
