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Seattle Seahawks general manager John Schneider highlighted a recent decision by Washington state lawmakers that he believes could pose problems as the reigning Super Bowl champions look to add players to maintain long-term success.
Washington’s longtime status as a largely tax-free state is set to change in 2028 after lawmakers approved a “millionaires’ tax” that would levy a 9.9% rate on high earners.
The tax will apply to people who earn more than $1 million annually. Gov. Bob Ferguson has indicated he will sign the bill into law. It is unclear whether the legislation will face legal challenges. Schneider expected the new tax credit could hinder the Seahawks’ ability to recruit and ultimately sign free agents.
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Seattle Seahawks general manager John Schneider speaks to the media during the NFL Scouting Combine at Lucas Oil Stadium on February 24, 2026 in Indianapolis. (Lauren Leigh Bacho/Getty Images)
Schneider suggested that part of the team’s free agent pitch over the years has highlighted Washington’s tax exemptions.
“There were a bunch of agents texting me the other day like, ‘Hey, I can’t use that anymore, buddy,'” Schneider said this week on his Seattle Sports 710-AM radio show.
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“I think it’s for all the pro teams here in town. It’s always been a huge attraction, especially competing with the California teams. It’s been a big thing for us. So, it’s going to be tight from a recruiting standpoint and the way it looks. I’m sure Mike Reinfeldt and Mickey Loomis and all the cap guys that have been here before as well, have been here before.”
The Super Bowl LX trophy celebration at Lumen Field on February 11, 2026 in Seattle. (Kirby Lee/Imagn Images)
As of 2026, the Seahawks are one of eight NFL clubs based in a state that does not impose income tax on personal salaries.
Two of those teams, the Texans and Cowboys, are based in Texas, while three of those teams play home games in Florida: the Jaguars, Buccaneers, and Dolphins. The Raiders moved from California to nearby tax-free Nevada in 2020, while the Titans are set to open a multibillion-dollar domed stadium in Nashville, Tennessee, in 2027.
Seattle Seahawks helmets before a game between the Seahawks and the Atlanta Falcons at Mercedes-Benz Stadium on December 7, 2025 in Atlanta. (Perry Knotts/Getty Images)
“It’s going to be a problem and hopefully it doesn’t happen,” an unnamed NFL agent told ESPN when asked for thoughts on the potential impact the new taxes could have on the Seahawks.
While it remains unclear whether the new taxes will affect NFL players’ decisions to sign with the Seahawks, one MLB player recently cited California’s higher tax rates in his decision to turn down a deal with the San Diego Padres.
Merrill Kelly, who entered the free agent market after playing in 10 games with the Texas Rangers in 2025, agreed to a deal last month to return to the Arizona Diamondbacks.
Kelly agreed to a two-year contract worth an estimated $40 million with the Diamondbacks, according to ESPN. Although the Padres offered a comparable deal of three years instead of two, California’s 13% tax rate on income over $1 million presented an important difference.
“I don’t think it’s any secret how much money you get out of pocket when you go to California,” the right-hander said. “Complete territory.”
