Search found 1138 matches

by TedSwippet
Tue Mar 28, 2017 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity issued 1042-S Instead of 1099R. They Refuse to Change it
Replies: 8
Views: 667

Re: Fidelity issued 1042-S Instead of 1099R. They Refuse to Change it

Is there any chance that you don't have a W-9 on file with Fidelity? Absent both this and a W-8BEN (for NRAs only), they would have to follow a bunch of complex 'presumption' rules, none of which I've been able to parse, to come to some default conclusion about whether or not you are a 'US person'. ...
by TedSwippet
Tue Mar 28, 2017 8:06 am
Forum: Investing - Help with Personal Investments
Topic: [EM, Poland] Investing from EM, currency risk
Replies: 19
Views: 964

Re: [EM, Poland] Investing from EM, currency risk

rogergaret wrote:[Does] Poland have a tax treaty with US?

It does. There is a 15% tax rate on US dividends. This may be creditable against the 19% due to Poland. The US estate tax is where the potential problems lie. Poland has no US estate tax treaty.
by TedSwippet
Sat Mar 25, 2017 1:02 pm
Forum: Investing - Help with Personal Investments
Topic: German Citizen investing in IRA
Replies: 2
Views: 132

Re: German Citizen investing in IRA

Welcome. On my amateur reading of things, the answer to both your questions would be 'no'. To make IRA contributions, you have to have US taxable compensation, and in both cases you won't (assuming you don't take out a green card or US citizenship before you return to Germany). For traditional IRAs ...
by TedSwippet
Sat Mar 25, 2017 11:13 am
Forum: Personal Finance (Not Investing)
Topic: Advice about retirement in the EU (Spain)
Replies: 4
Views: 440

Re: Advice about retirement in the EU (Spain)

If my reply gets stuck in moderation and TedSwippet beats me to it, +1 to everything he says, ... The interaction between the 'exit tax' of HEART and holding a non-Roth 401k or IRA is a potential ugly red flag, but unlike before around 2010 or so this can be reasonably easily defused by a Roth conv...
by TedSwippet
Sat Mar 25, 2017 4:36 am
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

My suggestions however don't appear to work. Weathfront uses ETFs for international funds. Personal Capital uses them for fixed income. Yeah, that's a pity since it seemed like a possible escape route, but it's not entirely unexpected. Robo-firms are clearly going to use low-cost diversified things...
by TedSwippet
Sat Mar 25, 2017 4:13 am
Forum: Investing - Help with Personal Investments
Topic: Need Newbie Advice for Large Sum - US or Europe?
Replies: 11
Views: 856

Re: Need Newbie Advice for Large Sum - US or Europe?

I have not looked deeply into the tax implications; the information is mainly from an American broker friend who told me that non-residents pay no capital gains tax, only 30% is withheld at the source. I do admit that this falls into the "a friend of mine told me..." category, but I assum...
by TedSwippet
Fri Mar 24, 2017 11:47 am
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

... but for the US, I don't believe individual stock holdings trigger PFIC taxation rules. They don't. Only funds, ETFs, and some non-US life insurance plans have this problem. The PFIC rules are laughably intricate and arcane, but for regular investors they boil down to: US domiciled fund or ETF g...
by TedSwippet
Fri Mar 24, 2017 4:18 am
Forum: Investing - Help with Personal Investments
Topic: Suggestion for updating "Asking Portfolio Questions" thread
Replies: 100
Views: 11901

Re: Suggestion for updating "Asking Portfolio Questions" thread

Putting this in the wiki alone is probably fine. I don't think the non-US numbers justify more than one non-US page. Keeping it small and simple is best, particularly since for many, English will not be their first language. For most non-US posters, the critical thing to capture as early as possible...
by TedSwippet
Thu Mar 23, 2017 2:00 pm
Forum: Investing - Help with Personal Investments
Topic: Tax implication of vested foreign stock
Replies: 2
Views: 110

Re: Tax implication of vested foreign stock

I live and work in the US, and work for a foreign company. My legal status is "non-resident alien", although I spent most of my time on US ground. So an H1B, L1, or similar work visa, then, and in the US long enough to pass the ' substantial presence test ''? That would make you a ' resid...
by TedSwippet
Thu Mar 23, 2017 7:44 am
Forum: Investing - Help with Personal Investments
Topic: Suggestion for updating "Asking Portfolio Questions" thread
Replies: 100
Views: 11901

Re: Suggestion for updating "Asking Portfolio Questions" thread

Summary Bogleheads is increasingly attracting non-US persons, US temporary residents, and US citizens who are not US residents. Normal Boglehead tax and other advice often does not apply well to these groups of people, but the standard template for new posters doesn't capture information that would...
by TedSwippet
Thu Mar 23, 2017 5:19 am
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

Search Google for "PFIC tax". Non-US domiciled ETFs and mutual funds are PFICs. Describing the US tax treatment on these as "punitive" is understatement. Filing is extremely complex, and generally requires expensive expert help. Expect to pay around 40-50% in US federal tax annua...
by TedSwippet
Tue Mar 21, 2017 7:09 am
Forum: Investing - Help with Personal Investments
Topic: How can my parents in India invest in U.S
Replies: 12
Views: 924

Re: How can my parents in India invest in U.S

This may be a complicated question. My parents in India would like to know how to invest some of their money in U.S stock Index fund and the remaining in real estate. They are not permanent residents so do not have a SSN. I hear a lot of people from countries like China, Emirates, Saudi invest in U...
by TedSwippet
Tue Mar 21, 2017 5:27 am
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

Let's say I decide to stay in Italy (wikihas a page on it). From the bogleheads wiki page, as I understand things, Italy taxes returns from non-EU funds at a much higher rate than EU funds. So if you hold US domiciled funds or ETFs while resident in Italy, you pay an Italian tax penalty. The US doe...
by TedSwippet
Sun Mar 19, 2017 3:48 pm
Forum: Investing - Help with Personal Investments
Topic: Young EU Investor
Replies: 30
Views: 1305

Re: Young EU Investor

Most (all?) developed European countries have a preferential tax treaty with the US. And you can deduct that from your taxes in your home country every year. As far as I know, the dividend withholding tax for EU citizens is 15% at the moment. Also, I don't think the estate tax limit for tax treaty ...
by TedSwippet
Wed Mar 15, 2017 6:21 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

I see, well this would make things super complicated and potentially hugely decrease any gains in doing any investments.. Especially if somehow I end up being US resident for a year, non-resident for a couple of years, then back to resident for some time, etc... See if your target EU country has a ...
by TedSwippet
Wed Mar 15, 2017 4:46 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

Ok so if I'm a resident this year then I buy US Vanguard funds (likely ETFs to stay more flexible I guess). What's the issue if I become a non-resident alien then? I can't possibly sell all the assets and move them to a EU bank, doesn't make lots of sense to me... I'd keep a US bank and a EU bank. ...
by TedSwippet
Tue Mar 14, 2017 6:01 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

Indeed I forgot to mention that I'm not planning to do any 401k or IRAs. So it would be all in a taxable account. Fair enough. You might be giving up some employer match, though, and if the match is large enough, it's possible that you could be better off taking it even if you later have to pay ear...
by TedSwippet
Tue Mar 14, 2017 1:38 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for resident alien
Replies: 21
Views: 1566

Re: Advice for resident alien

I'm an EU citizen working in the US but I don't know if I'll keep staying here or go back to EU (still getting paid in US), becoming then a non-resident alien. ... Given the above, should I also look into funds that mention 'tax-exempt' in their title? Welcome to the forum. Unfortunately, I don't t...
by TedSwippet
Sun Mar 12, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: 24 year old starting to invest from Europe. [Croatia]
Replies: 4
Views: 359

Re: 24 year old starting to invest from Europe. [Croatia]

Is this only for UK investor or it is valid for investor from other country? For anyone not resident in Ireland. From the Irish funds marketing department : Taxation ETFs established in Ireland benefit from a national tax regime that is clear, certain, transparent and fully compliant with OECD guid...
by TedSwippet
Sun Mar 12, 2017 11:11 am
Forum: Investing - Help with Personal Investments
Topic: 24 year old starting to invest from Europe. [Croatia]
Replies: 4
Views: 359

Re: 24 year old starting to invest from Europe. [Croatia]

Welcome to the forum. From Blackrock's FAQs for iShares ETFs : WITHHOLDING TAX Why do Dublin-Domiciled iShares not suffer any Irish withholding tax on distributions made to investors? Distributions from Exchange Traded Funds (ETFs) such as Dublin-domiciled iShares are exempt from Irish withholding t...
by TedSwippet
Fri Mar 10, 2017 7:49 am
Forum: Investing - Help with Personal Investments
Topic: Resident Alien Expatriating / 401k & VG taxable account
Replies: 11
Views: 883

Re: Resident Alien Expatriating / 401k & VG taxable account

We could live with a $10 penalty I guess if the form were lost, or they claim not filed properly without the copy being submitted. Ahem. Not $10, but $10k (i.e. $10,000). See form 8854 instructions . Non-filing has to be due to 'wilful neglect' for any penalty to apply. This level of crap just wear...
by TedSwippet
Fri Mar 10, 2017 4:33 am
Forum: Investing - Help with Personal Investments
Topic: Resident Alien Expatriating / 401k & VG taxable account
Replies: 11
Views: 883

Re: Resident Alien Expatriating / 401k & VG taxable account

... OK, so I messed this up and only submitted it with my return and I have no proof of that. What the heck should I do??? Did you file I-407 or renounce (or relinquish) US citizenship after 17 Jun 2008? Between 2004 and 2008 the US operated a ' have cake and eat it ' policy for expats, whereby fil...
by TedSwippet
Fri Mar 10, 2017 3:40 am
Forum: Investing - Help with Personal Investments
Topic: Resident Alien Expatriating / 401k & VG taxable account
Replies: 11
Views: 883

Re: Resident Alien Expatriating / 401k & VG taxable account

I'm wondering what action creates status of a 'foreign person' in FIRPTA and the taxation on house sale? Is this triggered just by departure date or by filing of I-407? As the house is in a joint Revocable Trust (both of us being UK citizens) that may have implications too. FIRPTA applies to NRAs, ...
by TedSwippet
Wed Mar 08, 2017 5:39 pm
Forum: Investing - Help with Personal Investments
Topic: Resident Alien Expatriating / 401k & VG taxable account
Replies: 11
Views: 883

Re: Resident Alien Expatriating / 401k & VG taxable account

Is there any advantage to trying to plan the timing of any departure to be heavier on the UK residence days versus USA days, to your knowledge? We will be selling a US home with significant capital gains - not sure if that is relevant. Or any specific factors you considered here? From a practical s...
by TedSwippet
Tue Mar 07, 2017 6:46 pm
Forum: Investing - Help with Personal Investments
Topic: Resident Alien Expatriating / 401k & VG taxable account
Replies: 11
Views: 883

Re: Resident Alien Expatriating / 401k & VG taxable account

We are expat resident aliens in USA w permanent status GC since Jul 2014. We are planning to leave in the next few years. (I understand this may upset some people as I know how difficult it is/was to achieve status). We are aware of the potential 'covered expatriate tax' which we understand would c...
by TedSwippet
Tue Feb 28, 2017 1:47 pm
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 9
Views: 657

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

Unfortunately, I don't believe so. There's a separate 5-year time limit for each conversion, specifically to prevent the workaround of converting TIRA to RIRA to withdraw sooner. E.g. see second 5-year rule on kitces.com . AFAIK, the only other option is SEPP 72(t) . Um... this isn't the way I've r...
by TedSwippet
Sat Feb 25, 2017 4:40 pm
Forum: Investing - Help with Personal Investments
Topic: Regarding taxation USA
Replies: 3
Views: 372

Re: Regarding taxation USA

I think you may be confused. 30% is the withholding rate, in place to ensure that non-residents don't just decide not to pay the IRS. I don't know the details for sure, but I believe you will need to file a US tax return using a 1040-NR form (NR stands for non-resident). What tax rate is then appli...
by TedSwippet
Fri Feb 24, 2017 3:07 pm
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 9
Views: 657

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

For me there will be no tax of any kind withheld on the conversion. This comes from the US/UK tax treaty, which provides a 0% US tax rate on pension and annuity payments to UK residents. I do not know whether Vanguard would withhold tax on a Roth conversion executed by someone in a non-treaty countr...
by TedSwippet
Thu Feb 23, 2017 3:23 pm
Forum: Personal Finance (Not Investing)
Topic: Funding 401k to Roth IRA conversion taxes for a non-resident alien
Replies: 9
Views: 657

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

Just to circle back to this... I've now confirmed that I can indeed convert my normal 401k into a Roth 401k. However, the extra-special restrictions on Roth 401k withdrawals, above and beyond those on Roth IRAs, appear to make it not a great idea. The first road-block is that for a penalty-free Roth...
by TedSwippet
Tue Feb 21, 2017 2:13 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 2546
Views: 654599

Re: What Movie Have You Recently Watched?

ResearchMed wrote:OTHER RECOMMENDATIONS for movies about/involving/set in Japan would be welcome!

Departures.
by TedSwippet
Mon Feb 20, 2017 5:21 pm
Forum: Investing - Help with Personal Investments
Topic: Offshore diversification
Replies: 6
Views: 883

Re: Offshore diversification

Besides a more complicated turbotax filing, are there other issues I should be aware of? Barclays Offshore's general exclusion for US residents might stand in your way: Products and services on this site may not be available in certain jurisdictions. In particular, these products and services are n...
by TedSwippet
Sat Feb 18, 2017 12:31 pm
Forum: Investing - Help with Personal Investments
Topic: UK retirement switch from mutual fund to index tracker
Replies: 4
Views: 313

Re: UK retirement switch from mutual fund to index tracker

... There are two main things stopping me, the high price and CAPE ratio of US shares and the low valuation of the UK pound. Depending on how far you are to retirement I would just do it. Lifestrategy 80 is 20% UK, 35% US, and around 10% developed EU ex UK, so you'd see an asset allocation change f...
by TedSwippet
Wed Feb 08, 2017 9:51 am
Forum: Personal Finance (Not Investing)
Topic: NRA, W8-BEN, US Indicia
Replies: 1
Views: 271

Re: NRA, W8-BEN, US Indicia

This would be our old friend FATCA rearing its ugly head again. Under the US/UK FATCA IGA, banks and brokers are supposed to accept any "reasonable" explanation of why US "indicia" (taint!) does not equate to being a US taxable person. I think the blame here lies with ETrade rath...
by TedSwippet
Sat Jan 21, 2017 3:05 pm
Forum: Investing - Help with Personal Investments
Topic: Help with first time investing as a U.K./US dual citizen
Replies: 4
Views: 425

Re: Help with first time investing as a U.K./US dual citizen

This has raised a whole bunch of questions about tax reporting, tax credits, FBAR and also 'how and where do I invest?' This article from Thun Financial covers the main lowlights of investment as a US citizen in the UK. The tl;dr version is: use only US domiciled funds to avoid heinous US tax rules...
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: 435

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: 305

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: 305

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: 435

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: 1124

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: 9
Views: 657

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: 9
Views: 657

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: 9
Views: 657

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: 267

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: 17
Views: 1469

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: 17
Views: 1469

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: 1057

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: 1057

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: 1057

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: 1057

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: 1057

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...

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