Search found 1104 matches

by TedSwippet
Tue Jan 17, 2017 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Suggestions for my portfolio [Italy Investor]
Replies: 7
Views: 397

Re: Suggestions for my portfolio [Italy Investor]

- in this moment REIT is the only etf with dividends distribution and I want to remove it for its expensive profile (about 30 % of taxes and broker commissions) ... - in addition I want to reduce its overweight, so contributes would be very small In which case, how about just selling some (most?) o...
by TedSwippet
Tue Jan 17, 2017 12:01 pm
Forum: Investing - Help with Personal Investments
Topic: Investment options for a temporary worker
Replies: 3
Views: 243

Re: Investment options for a temporary worker

Another factor, and one that makes planning or tax modelling extremely difficult, is the continually changing nature of US (and other) tax laws. Whenever they change, it is never to the benefit of the taxpayer. For example, in 2008 the US introduced an ' exit tax ', applied to some departing green c...
by TedSwippet
Tue Jan 17, 2017 5:02 am
Forum: Investing - Help with Personal Investments
Topic: Investment options for a temporary worker
Replies: 3
Views: 243

Re: Investment options for a temporary worker

Welcome. A couple of thoughts. Firstly, you might not have to sell out and pay tax plus penalty on, your 401k if/when you leave the US. Depending on where you move to, some countries respect the tax-deferred nature of US retirement plans. Of course, others don't, so perhaps look at the tax rules of ...
by TedSwippet
Mon Jan 16, 2017 10:12 am
Forum: Investing - Help with Personal Investments
Topic: Suggestions for my portfolio [Italy Investor]
Replies: 7
Views: 397

Re: Suggestions for my portfolio [Italy Investor]

ATTENTION : "selling my all etfs I'll pay 26.000 euro in taxes" Honestly, if this were me I would probably just leave everything as it is for now. The portfolio you have is really pretty good as it stands, and you look like you are in danger of letting the search for a perfect plan destro...
by TedSwippet
Sun Jan 15, 2017 4:47 am
Forum: Investing - Help with Personal Investments
Topic: Help Me, I'm Swiss: Diversifying Portfolio to non-US
Replies: 16
Views: 993

Re: Help Me, I'm Swiss: Diversifying Portfolio to non-US

Looking exclusively for accumulation investment vehicles where profits/gains are automatically reinvested. This statement is I think going to be the one that most narrows your options. There are a few Vanguard accumulating funds, but most are aimed at UK investors (hence the GBP listing price). The...
by TedSwippet
Wed Jan 11, 2017 4:57 am
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 4
Views: 313

Re: Funding 401k to Roth IRA conversion taxes for a non-resident alien

I meant to use local non-US credit card to pay the tax to IRS. IRS tax is payable in USD and your local card will do the currency conversion to your local currency. You pay your credit card as normal. It'll be like you using your non-US credit card to pay for dinner in New York while on vacation. T...
by TedSwippet
Tue Jan 10, 2017 6:16 pm
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 4
Views: 313

Re: Funding 401k to Roth IRA conversion taxes for a non-resident alien

Assuming you do not have any Roth IRA contribution basis, distribution after a conversion will be subject to 10% early withdrawal penalty.. See Fairmark's page on Distributions after IRA conversion... Thanks for the response, and for the reference you gave. Well, that sucks. Assuming you are willin...
by TedSwippet
Tue Jan 10, 2017 10:51 am
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 4
Views: 313

Funding 401k to Roth IRA conversion taxes for a non-resident alien

I have a (pure) pre-tax 401k that I am considering converting gradually into a Roth IRA, over a few years. If I convert $40k/year this would be my only US source income, placing me inside the 15% and lower tax bands and giving me an effective 12% federal tax rate. While that all sounds good, there i...
by TedSwippet
Tue Jan 10, 2017 4:35 am
Forum: Investing - Help with Personal Investments
Topic: Need some help Allocating my funds. Non Resident Alien.
Replies: 2
Views: 235

Re: Need some help Allocating my funds. Non Resident Alien.

Welcome to the forum. So, here is my cuestion: Is it wise to just buy the ALL WORLD UCITS ETF (VWRL) or I should buy the S&P 500 UCITS ETF + Developed World UCITS ETF + Emerging Markets UCITS ETF? The Developed World ETF is 58% invested in the US, so I don't think you need to include any additio...
by TedSwippet
Mon Jan 09, 2017 1:43 pm
Forum: Investing - Theory, News & General
Topic: Expat Wanting to Invest in US Mutual Funds
Replies: 11
Views: 757

Re: Expat Wanting to Invest in US Mutual Funds

Worry about facing capital gains taxes from being sold out was the worst. Ouch. In my case, the worry would be unilateral forced closure of a 401k, which would lead to an even greater percentage tax hit. On the plus side, this 401k is a megacorp one, and that might provide a tiny bit of protection ...
by TedSwippet
Mon Jan 09, 2017 11:45 am
Forum: Investing - Theory, News & General
Topic: Expat Wanting to Invest in US Mutual Funds
Replies: 11
Views: 757

Re: Expat Wanting to Invest in US Mutual Funds

My accounts at Vanguard were frozen when they decided I spent too much time overseas. Dividends were reinvested and I could sell and transfer the money out, however I couldn't purchase any new shares (not even rebalance). I can imagine this was probably a large and unwanted pain in the rear. It see...
by TedSwippet
Sun Jan 08, 2017 7:53 am
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

OK, so for a newbie could you explain the effect of buying 100 ETF shares @ $70 a piece today at 1.22 post referendum vs buying at 1.45 pre. Are not the shares more expensive to invest in right now compared to a few months ago? Does this article help?: https://www.justetf.com/uk/news/etf/the-effect...
by TedSwippet
Sun Jan 08, 2017 7:43 am
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

VTSMX, VGTSX, VBMFX - **Unavailable in UK through my broker at least** These are US mutual funds, so not something any UK broker would want to tangle with. Understandably. ETF Versions: VTI, VXUS, BND - listed to purchase in dollars through my SIPP but not ISA assume fund assets held in dollars. US...
by TedSwippet
Sun Jan 08, 2017 7:05 am
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

Is buying USD etf's a bad idea with weak pound and £1.22ish rate? By which you mean USD denominated ETFs, rather than ETFs that hold USD assets? If that, then denominational currency has no effect on returns for ETFs that are not currency hedged (that would be most of them). What matters is the exc...
by TedSwippet
Fri Jan 06, 2017 6:10 pm
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

I don't think UK investors should have any more than a very small home country bias, as the UK market only makes up around 6% of the world stock market. Yeah. I don't disagree with any of this, but I have to admit to being personally quite relaxed about what could be considered a pretty high UK bia...
by TedSwippet
Fri Jan 06, 2017 3:12 pm
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

I'm with Hargreaves Lansdown, who charge yearly SIPP management fee of 0.45%. ... They are a great broker and I have no complaints, some say they are expensive though? Yup, they're expensive. They are charging you nearly twice what the funds themselves are charging, yet generating no additional ret...
by TedSwippet
Fri Jan 06, 2017 9:24 am
Forum: Investing - Help with Personal Investments
Topic: Help for UK Retirement Investor
Replies: 34
Views: 891

Re: Help for UK Retirement Investor

That is an assumption that I would be wary of making. In some aspects, it's true, in some, you'd be astonished. Indeed. Well worth remembering that the postings you see on the board on this site are from a group that is in effect already self-selected for reasonable financial acumen. You may need t...
by TedSwippet
Tue Jan 03, 2017 10:14 am
Forum: Investing - Help with Personal Investments
Topic: state tax on Vanguard ETFs?
Replies: 2
Views: 281

Re: state tax on Vanguard ETFs?

Bobob21 wrote:Does anyone know if there are any kind of state taxes on Vanguard ETFs (VTI/VXUS)?

For you, none. US state taxes only apply to dividends if you happen to be a resident of (or sometimes, domiciled in) a US state, which you aren't.
by TedSwippet
Tue Jan 03, 2017 10:07 am
Forum: Investing - Help with Personal Investments
Topic: [Europe] Accumulating vs Distributing ETFs
Replies: 82
Views: 3013

Re: [Europe] Accumulating vs Distributing ETFs

This means that I should own as much of the market as possible, proportionally to the market cap. The ideal ETF for this is the VT, which owns more than 7000 companies from all around the world. VWRD holds fewer stocks than VT, around 3000 versus 7000, but over the period during which both have exi...
by TedSwippet
Tue Jan 03, 2017 7:18 am
Forum: Investing - Help with Personal Investments
Topic: [Europe] Accumulating vs Distributing ETFs
Replies: 82
Views: 3013

Re: [Europe] Accumulating vs Distributing ETFs

Do you mean because NL has no PR-UC, stocks above 60k will be taxed after my death or that it is unknown? Somebody somewhere might know, but I don't, and the IRS also either doesn't or (less likely!) hasn't bothered to share its knowledge. I have enough problems of my own as it is in unravelling ju...
by TedSwippet
Tue Jan 03, 2017 6:42 am
Forum: Investing - Help with Personal Investments
Topic: [Europe] Accumulating vs Distributing ETFs
Replies: 82
Views: 3013

Re: [Europe] Accumulating vs Distributing ETFs

However, I am not aware of PR-UC. I tried to google it, but did not find any eloboration on this fact. Could you explain the gist of it? What do you mean with parsing? PR-UC is 'pro rata unified credit'. It is the primary way in which non-resident aliens can get an increase in the US estate tax exe...
by TedSwippet
Tue Jan 03, 2017 4:22 am
Forum: Investing - Help with Personal Investments
Topic: [Europe] Accumulating vs Distributing ETFs
Replies: 82
Views: 3013

Re: [Europe] Accumulating vs Distributing ETFs

So, if your country has a treaty with the US that negates level 2 taxes like the Netherlands, you may be better of with a US ETF, even when it distributes dividend Don't forget the threat from the US estate tax . This can start at just $60k of assets for non-resident aliens who are not domiciled in...
by TedSwippet
Mon Jan 02, 2017 3:23 pm
Forum: Investing - Help with Personal Investments
Topic: European windfall of +4m EUR - please help me to not lose it!
Replies: 3
Views: 836

Re: European windfall of +4m EUR - please help me to not lose it!

Welcome. Your proposed asset allocation and broker choice all looks decent to me. You could perhaps simplify the bond part, but I'd say it's also fine as it is. The UK has an estate tax treaty with the US but you probably can't use it as these are usually based on domicile, and you're a UK non-dom. ...
by TedSwippet
Fri Dec 30, 2016 6:46 pm
Forum: Personal Finance (Not Investing)
Topic: US NRA in UK, UK/US tax on IRA-IRA xfer, Roth Conversion ?
Replies: 2
Views: 205

Re: US NRA in UK, UK/US tax on IRA-IRA xfer, Roth Conversion ?

Has anything changed recently with respect to US-UK tax treaty for the following points ? Not to my knowledge. Roth Conversion in US (i.e converting from IRA to Roth IRA). Fidelity is claiming 30% withholding. ... Also, is there any UK tax due on Roth Conversion ? This thread from another forum ind...
by TedSwippet
Thu Dec 29, 2016 7:22 pm
Forum: Investing - Help with Personal Investments
Topic: US citizens resident in Europe -- what do you do?
Replies: 10
Views: 1298

Re: US citizens resident in Europe -- what do you do?

Hold actual Euro bonds? The PFIC rules apply to funds and other 'collective' holding vehicles, but not to directly held equities or bonds.
by TedSwippet
Tue Dec 27, 2016 7:34 pm
Forum: Investing - Help with Personal Investments
Topic: Regarding Irish ETFs
Replies: 10
Views: 882

Re: Regarding Irish ETFs

I have also noticed as BeBH65 said that Ireland has created some of the most byzantine rules regarding ETFs domiciled in their country. These rules force their own citizens to buy US-domiciled ETFs. To be clear, these byzantine tax rules are for individuals domiciled in Ireland. The country has act...
by TedSwippet
Tue Dec 27, 2016 1:19 pm
Forum: Investing - Help with Personal Investments
Topic: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]
Replies: 10
Views: 738

Re: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]

I was wondering if there are any consequences to the value of a portfolio with VUSD with regard to any currency changes since the ETF is listed on the London Exchange. Hope someone can shed some light on this matter. From the exchange rate perspective, the ETF's denominational currency and/or the e...
by TedSwippet
Tue Dec 27, 2016 4:56 am
Forum: Investing - Help with Personal Investments
Topic: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]
Replies: 10
Views: 738

Re: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]

Thanks a lot for your reply. So the two advantages are avoiding estate tax and getting a lower tax on dividends? And these two are applicable depending on residence (not nationality?). The normal income tax treaties are controlled by residence , and normally have a 'bright-line' test (number of day...
by TedSwippet
Tue Dec 27, 2016 4:38 am
Forum: Investing - Help with Personal Investments
Topic: Regarding Irish ETFs
Replies: 10
Views: 882

Re: Regarding Irish ETFs

My question is, haven't the lower rate of tax already been reflected in the price of the shares? What you're actually asking here is, why don't the Ireland-domiciled shares trade at a premium to their NAV? The answer is that market arbitrage and unit creation (and destruction) keeps an ETF's price ...
by TedSwippet
Sun Dec 25, 2016 6:38 pm
Forum: Investing - Help with Personal Investments
Topic: US citizen in Japan - Advice for my painful tax situation
Replies: 15
Views: 1784

Re: US citizen in Japan - Advice for my painful tax situation

Interesting that Japan taxes worldwide income. I though that distinction belonged only to the US and Eritrea. Quite a few countries tax the worldwide income of their residents , but leave non-residents (including non-resident citizens) alone. Only the US and Eritrea tax the worldwide income of both...
by TedSwippet
Fri Dec 23, 2016 11:40 am
Forum: Investing - Help with Personal Investments
Topic: Investing overseas in local currencies
Replies: 8
Views: 598

Re: Investing overseas in local currencies

If you have a pension or similar plan in your home country, I don't know what you do about it. Whether the US IRS allows it as tax exempt in the same manner as IRAs & 401Ks. The default US tax treatment of non-US pensions is best summed up as 'appalling'. The best case is merely 'miserable'. Th...
by TedSwippet
Fri Dec 23, 2016 8:40 am
Forum: Investing - Help with Personal Investments
Topic: Investing overseas in local currencies
Replies: 8
Views: 598

Re: Investing overseas in local currencies

Correct me if I’m wrong, but as I understand it, public traded foreign companies are often not considered PFICs (depending on their activities), and so ownership of shares in such companies also does not fall under PFIC rules. However, a fund (mutual/ETF etc) is considered a corporation on its own ...
by TedSwippet
Fri Dec 23, 2016 8:14 am
Forum: Investing - Help with Personal Investments
Topic: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]
Replies: 10
Views: 738

Re: VUSD vs VOO [Vanguard S&P 500, Ireland vs. US]

Are the Ireland-based ETF's sheltered from US estate tax? Yes. (More accurately, they are not 'US situs' assets and so fall entirely outside the US estate tax net. This is not the case for US domiciled ETFs.) This feature is especially useful for people who do not live in one of the handful of coun...
by TedSwippet
Sat Dec 17, 2016 9:34 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard investor moving to the UK
Replies: 15
Views: 1213

Re: Vanguard investor moving to the UK

We're considering having my wife give up her green card. But since UK taxes are higher than US taxes, it seems like it makes no difference in our specific situation. We don't have any rental property. If we buy a house in the UK, it might make sense, because as was mentioned, cap gains on your home...
by TedSwippet
Thu Dec 15, 2016 2:45 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard ETF's for non-US tax payer [Hong Kong]
Replies: 7
Views: 607

Re: Vanguard ETF's for non-US tax payer [Hong Kong]

Search the forum for my previous thread on Vanguard HK ETFs vs US version. I hold both 3140 and VTI and personally prefer VTI. You stated a few years ago that you were ambivalent to the possibility of losing 40% of assets above $60k held in US domiciled ETFs to a rapacious US estate tax. The OP mig...
by TedSwippet
Thu Dec 15, 2016 8:12 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard ETF's for non-US tax payer [Hong Kong]
Replies: 7
Views: 607

Re: Vanguard ETF's for non-US tax payer [Hong Kong]

I would first make sure that Vanguard does indeed apply a 30% withholding tax on the Hong Kong ETF. Who do they pay/forward it to? The mechanism here would be US tax withholding on the stocks held within in the ETF itself. The simplest example of this is an ETF that tracks the S&P 500. This hol...
by TedSwippet
Thu Dec 15, 2016 4:07 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard ETF's for non-US tax payer [Hong Kong]
Replies: 7
Views: 607

Re: Vanguard ETF's for non-US tax payer [Hong Kong]

Welcome. The following two wiki pages show you how to reduce the dividend tax from 30% to 15% and lower using Vanguard's Ireland-domiciled ETF range. If you search the forum you should find a number of posts from Hong Kong and elsewhere that discuss this issue. Hope this helps. Nonresident alien tax...
by TedSwippet
Tue Dec 13, 2016 12:23 pm
Forum: Investing - Help with Personal Investments
Topic: Ex-pat opening a Global Vanguard account
Replies: 30
Views: 1871

Re: Ex-pat opening a Global Vanguard account

Maybe another solution for investing locally would be to buy a rental property. We live in one of the hottest cities in Germany for real estate. Do you see any problems in this direction? The US will want to tax your rental income and capital gains when you come to sell (the $100k or so FEIE exclus...
by TedSwippet
Mon Dec 12, 2016 3:04 pm
Forum: Investing - Help with Personal Investments
Topic: Ex-pat opening a Global Vanguard account
Replies: 30
Views: 1871

Re: Ex-pat opening a Global Vanguard account

Yes, I could have my husband do part of our investing, but I am also reluctant of this. ... Call me a control freak now, but it's important for my sense of security to invest the money that I earn in my own name. Completely understood. It is one way around the problem of having US citizenship but l...
by TedSwippet
Sun Dec 11, 2016 6:06 am
Forum: Investing - Help with Personal Investments
Topic: Non-US domiciled funds
Replies: 3
Views: 381

Re: Non-US domiciled funds

I currently live in the US and plan to do so for the near future, but there is a possibility that I may move abroad at some point in the future, so I'm wondering whether it would make sense for me to invest future assets in VWRL rather than VT, or even sell VT and buy VWRL instead. Being a US resid...
by TedSwippet
Sat Dec 10, 2016 6:00 pm
Forum: Personal Finance (Not Investing)
Topic: Question about tax witholding [Romania]
Replies: 2
Views: 214

Re: Question about tax witholding [Romania]

Welcome. You will pay 10% of your dividends to the US as tax, the US/Romania treaty rate, but nothing to the US on capital gains. The US does not tax capital gains of "non-resident aliens" (except for real estate, not applicable here). No idea about how this interacts with your Romanian ta...
by TedSwippet
Fri Dec 09, 2016 3:41 pm
Forum: Investing - Help with Personal Investments
Topic: Clueless Expat needs advice [how should I save?]
Replies: 7
Views: 720

Re: Clueless Expat needs advice [how should I save?]

Assuming you are in one of the middle eastern countries with zero personal tax rates, and particularly no capital gains tax, you can probably invest more or less as you like and yet sidestep possible UK capital gains tax issues by simply selling and then buying back either the same investments or eq...
by TedSwippet
Fri Dec 09, 2016 12:29 pm
Forum: Investing - Help with Personal Investments
Topic: Ex-pat opening a Global Vanguard account
Replies: 30
Views: 1871

Re: Ex-pat opening a Global Vanguard account

I still want to learn more about investing within Germany, and Europe. I just thought that there might be some advantage of holding the "international" part of the 3 fund portfolio from Europe. I am a bit concerned that you are not seeing the wood for the trees here. Because you are a US ...
by TedSwippet
Fri Dec 09, 2016 7:55 am
Forum: Investing - Help with Personal Investments
Topic: Ex-pat opening a Global Vanguard account
Replies: 30
Views: 1871

Re: Ex-pat opening a Global Vanguard account

This being said, I think your biggest point for clarification is indeed the taxation as other forum members have already pointed out here. Your situation is a special one and you need to have this clearly figured out before doing anything at all. That, right there. US citizens, no matter where on (...
by TedSwippet
Wed Dec 07, 2016 11:46 am
Forum: Investing - Help with Personal Investments
Topic: What happens to my ROTH IRA with Betterment when my green card expires?
Replies: 11
Views: 1188

Re: What happens to my ROTH IRA with Betterment when my green card expires?

Sorry but it does. Your Green-card is your proof for permanent resident status. So if it expires, you are out of status. Yes, and no. The green card is evidence of resident status, but not the status itself. This article explains further. What is unambiguous is that even if the green card expires t...
by TedSwippet
Wed Dec 07, 2016 10:10 am
Forum: Investing - Help with Personal Investments
Topic: What happens to my ROTH IRA with Betterment when my green card expires?
Replies: 11
Views: 1188

Re: What happens to my ROTH IRA with Betterment when my green card expires?

How will you go about your account when you are older? I am thinking of having a plain investment account with Betterment as this one could be transferred easily to other accounts and I wouldn't need to fear an exit tax from what I understand. Because I left the US before the exit tax law passed, I...
by TedSwippet
Sun Dec 04, 2016 3:53 pm
Forum: Investing - Help with Personal Investments
Topic: Late 20's Overseas American Couple, how can we invest for retirement?
Replies: 5
Views: 672

Re: Late 20's Overseas American Couple, how can we invest for retirement?

Your largest problem with investing as a US citizen abroad is likely to be tax. Specifically US tax laws, which make it largely a non-starter for you to invest as would your current home country's own citizens and residents. If you haven't already seen it, this wiki page lays out a fair bit of the f...
by TedSwippet
Sat Dec 03, 2016 7:11 pm
Forum: Investing - Help with Personal Investments
Topic: What happens to my ROTH IRA with Betterment when my green card expires?
Replies: 11
Views: 1188

Re: What happens to my ROTH IRA with Betterment when my green card expires?

The answer to the question posed in the subject line comes, I would say, in two parts. The first is that you probably can't rely on what Betterment says here. This is not to single them out as being especially untrustworthy -- I'm sure they're fine folk doing their best to help you. It's just that t...
by TedSwippet
Wed Nov 30, 2016 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Short question on no. of funds in portfolio
Replies: 7
Views: 765

Re: Short question on no. of funds in portfolio

For my situation in UK, my belief is if my ISA allowance was used to purchase the vanguard lifestrategy fund, any profits/reinvested dividends will also be tax free. Right. Also capital gains tax free when you sell, no matter how much gain or whether you have other unsheltered gains. Also, nothing ...
by TedSwippet
Wed Nov 30, 2016 5:16 am
Forum: Investing - Help with Personal Investments
Topic: Short question on no. of funds in portfolio
Replies: 7
Views: 765

Re: Short question on no. of funds in portfolio

For context, elitistuser is UK-based and not a US citizen. Maybe colo[u]r responses appropriately, then.

elitistuser, in responses so far, for 401k, 403b and IRA read "pension", for "Roth IRA" read "ISA", and for HSA read... nope, no real UK equivalent.

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