Delaware has no fee for incorporating and IIRC no business tax. So everyone incorporates there.
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There is a franchise tax on Delaware corporations, but it’s a flat annual fee of around $300 (plus an administrative fee for reporting) for most LLCs or LPs. For other corporations it’s based on the number of shares in the company, but even there the cap is $200k/annum (a rounding error for large multinational corporations).
There are also incorporation fees, but they too are relatively small.
Delaware is basically doing a volume business which allows the state to rake in a healthy aggregate revenue from all those large and small corporations. Another reason it’s favoured is because it provides opportunities for relative privacy in the context of a stable and regulated and powerful nation-state (something that can’t be counted on when setting up a shell company in Panama or the Caymans).
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New universal New Yorker cartoon caption! 
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Delaware.
“Amenities” can mean different things to different people.
Among the amenities my household enjoys:
Being able to see the Milky Way every clear night
Seeing deer and the occasional red fox or woodchuck in our unfenced yard
The smell and feel of sheets dried on the clothesline on a sunny, breezy day
The tree with two occupied bluebird houses outside our kitchen window
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Exactly: air that I can’t see, an actual horizon and AMAZING sunsets looking east across the valley, mountains with snowcaps, Milky Way while walking home from the fiesta on the Plaza, two wildlife refuges closer than most people commute, sheets, towels, etc.
Not to mention migratory birds (sandhill cranes, Canada geese) and listening to coyotes at night.
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I am shocked, SHOCKED that the author was able to live better moving to a lower cost of living area while still employed at the same employer. Gosh, that’s AMAZING.
/sarcasm
What most need to realize is that unless your employer moves you to a new area, you’ll have to contend with finding a job in a smaller area, with fewer opportunities, especially if you have a more specialize skill. Myself, for example, am certified in a specific skill in the state of California. I would LOVE to move someplace cheaper, but my certification would not apply and I would have to earn it wherever I move to outside of CA.
I have a very good friend who was relocated from CA to Alabama, and they continue to pay him CA salary. I’m sure he could write a story just like this about how great it is to live as he does now, being able to have no house payments, etc. Like the author, he has the ability to live in Alabama while still employed at a CA company, and getting that CA cash.
But for the vast majority of people who doesn’t have the luxury of teaching at the same school in different states…
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Like the vast majority of people have the luxury of teaching…
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