Some members of the 0.01 percent are saying goodbye to the Golden State.

Billionaires are fleeing California ahead of a proposed 5 percent wealth tax, with at least six members of the ten-digit club moving their business to other states before the bill’s January 1 deadline to be considered for the levy. And more may be on the move still, if the tax actually comes to pass, Bloomberg reported.

And though the proposal hasn’t been signed into law, the idea alone was strong enough to send some UHNW individuals out of the state. Both Peter Thiel and David Sacks packed their bags right at the end of 2025, with the PayPal cofounder heading to Florida and the venture capitalist going off to Texas. Global investment firm Iconiq Capital’s founder Divesh Makan says he’s aware of four or five families that left California, explaining that the floodgates would open even further if the bill was passed, according to Bloomberg. David Lesperance, whose company helps affluent families with immigration and taxes, has helped move four billionaires out of the state, he told the publication.

The bill itself calls for a one-time tax on California residents who have over $1 billion to their name. Though it’s not a sure thing by any means, with the move still needing enough signatures to even appear on the state’s November ballot; then, of course, it would need to be voted into law. Governor Gavin Newsom is strongly opposed to the measure; other detractors say it would harm the California’s tech economy, as many start-ups may not have the funds to cover the levy. And, since the state’s economy overall relies heavily on existing taxes on the uber-rich, the bill may actually end up costing California money in the long term if these UHNW individuals happen to exit. The union that introduced the proposal aimed to generate $100 billion to fund gaps in health care, food benefits, and education statewide.

Some billionaires, though, have no plans of leaving the Golden State. Jensen Huang, CEO of Nvidia Corp. with a fortune to the tune of $156.7 billion, says he isn’t leaving California if a tax comes into effect.

“We chose to live in Silicon Valley, and whatever taxes I guess they would like to apply, so be it,” Huang said in an interview with Bloomberg this week. “I’m perfectly fine with it.”

The U.S. isn’t the only country to face an exodus of UHNW individuals. The U.K. saw many of its millionaires depart the country back in 2024, when the nation ended its tax break for foreign wealthy residents, also known as “non-doms.” As a result, Italy has become a popular place for these well-heeled folks to reside, since the financial benefits in the Mediterranean country is very similar to what the U.K offered before its tax overhaul: The uber-wealthy foreigners can pay a flat levy of around $223,000 to avoid Italian taxes on earnings overseas.