Expat Money Newsletter - August 2016

Expat Money: Beware The Taxman

Welcome to the Expat Money Newsletter for August. We are once again focusing on the personal financial issues that matter to you as an expat, or would-be expat.

In this month’s edition we focus on the important expat concerns of tax and residence, both for Britons and Americans abroad. Don’t fall foul of the taxman.

We also have a focus on pensions, life insurance and medical cover for expats, who often need specialist policies.

I hope you enjoy this newsletter. I welcome your thoughts on other topics you would like us to cover. Or do you have your own tale to tell or question to ask about expat money? Let me know.

Feel free to forward this newsletter to anyone who you think may benefit from reading it. Just click on Forward to a friend or colleague below.

Iain Yule

Editorial & Publishing Director
Expat Network
iain@expatnetwork.com

Expat Tax 1: British Expats Should Keep Records

The issue of where you are resident for tax purposes can be more complicated than many people realise. If you get it wrong, you could face a tax investigation. If the tax authority wins its case, you could have to pay a large and unexpected tax bill, with interest and penalties. Even if you get it right, you may still have to argue your case, so it is important to be armed with all the facts and keep up-to-date and detailed records.

Expat Tax 2: Beware UK Stamp Duty Hike

From 1 April 2016, the UK taxman introduced a new higher rate of stamp duty which applies to the acquisition of a ‘major interest’ in an additional residential ‘dwelling’. So beware if you are buying property in the UK.

Expat Tax 3: The US Foreign Bank Account Rules

Foreign Bank Account Reporting (FBAR) is obligatory for Americans abroad and you’ll want to make sure you’re aware of the requirements of this important US Treasury form and the deadlines for when it should be filed.

Brexit And Expat Pensions

An area of concern for British expats is how the UK’s decision to leave the EU will affect their pensions. How could Brexit affect your state pension? And what about registered pension schemes and qualifying overseas pension schemes (QROPS)?

Fewer Life Insurance Options For Expats

Recent research suggests that only 16% of UK insurance companies offer life insurance products to British citizens living abroad and indicates that British expats are now struggling to find adequate life insurance to meet their needs.

Health Cover For Contractors

Policies from international insurance broker Bellwood Prestbury now offer contractors the option of taking out health cover for periods of three, six, nine or 12 months, rather than always having to take out annually-renewable policies. All International Contractors Plan policies are renewable and may be extended without re-underwriting, subject to there being no break in cover.

Best Savings Rates In Expat Banking

Beware that the rates quoted here may fall, as UK official base rate has fallen 0.25% to 0.25%, a record low.

The best offering for sterling offshore savers is Skipton International’s 1.4%, if you have £10,000 and can give 180 days’ notice of withdrawals. For dollars, Standard Bank pays 1% for $10,000 or more, with 196 days’ notice. Nationwide International is best for euros, paying 0.65% for €25,000 or more, with instant access.

If you want a monthly income from your offshore savings, the best offer currently comes from Skipton International. If you can give 180 days’ notice of withdrawals on a minimum deposit of £10,000, then an annual equivalent rate of 1.4% is paid monthly.

Doing Business Effectively Around The World

An online service aims to make it easier for you to conduct business effectively as an expat in different parts of the world. GlobeSmart is a resource to assist you to fit into unfamiliar business environments.

Read Your Free Expat Living Magazine

The Summer edition of Expat Living magazine is now available to read completely free of charge. You can learn about life in Saudi Arabia and Portugal, property purchase in Italy, whether to buy or rent a home, and what to consider doing with your pension.

Remember To Register!

Sign up for free at the Expat Network to enjoy the following benefits: access the latest overseas jobs; get help with writing winning CVs and social media profiles; and upload your CV so that our unique network of recruiters and employers can find you.

You will also find expert answers to the most frequently asked expat questions and receive regular news bulletins on contract awards and other expat news. Registration is free of charge – and you can unsubscribe at any time.