There is more than one type of individual retirement account (IRA). In this episode, we focus on the different types, including Traditional, Roth, SEP, SIMPLE IRAs, and spousal IRAs.

We explore each type's tax advantages, eligibility, and implications, especially for individuals with cross-border considerations.

The conversation also covers important aspects such as distributions, rollovers, conversions, and the significance of consulting financial and tax advisors for personalized advice.

A Few Takeaways 

• An IRA is a tax-advantaged investment tool for retirement savings.

• Traditional IRAs allow for tax-deductible contributions under certain conditions.

• Roth IRAs are funded with after-tax dollars, allowing for tax-free growth.

• Cross-border implications are crucial for those on work visas.

• Consulting both financial planners and tax advisors is essential for effective retirement planning.

• Withdrawals from traditional IRAs are taxed as ordinary income.

Tune in for the rest of the details.

Episode Links & Resources

• Ep 20: What Is English For "Custodial Accounts?".

• Ep 23: Applying For Social Security From Abroad.

• Are you Tax-compliant With Your Overseas Assets? - Free Guide - Scroll to the bottom of the page.

Tax season is around the corner. If you are looking for a new tax professional, we have you covered.

In today's episode, we are going to walk you through how you select a good tax professional, especially if you have cross-border needs or assets overseas. 

The ten items or tips to consider as you select your tax professionals. If your tax preparer meets these tips, you are likely in excellent hands. The tips range from 

• Checking the preparer's history for any disciplinary actions, to service fees, to electronic filing, and realistic expectations, amongst others.

We end the episode by explaining what to do if you see suspicious or abusive tax preparers. IRS is interested in hearing from you.

Episode Links & Resources

• Loving v. IRS: Treasury's Authority to Regulate Tax Return Preparers

• Circular 230 

• Watch Out For Unrealistic Expectations and Falsely Inflating Returns

• Are you Tax-compliant With Your Overseas Assets? - Free Guide - Scroll to the bottom of the page.

We discuss Tax Identification Numbers (TINs). We have fun discovering what they are called in various countries.

TINs are nine-digit numbers assigned by the Internal Revenue Service (IRS) or the Social Security Administration (SSA) for tax reporting purposes.

We discuss the history of TINs and the introduction of the Individual Tax Identification Number (ITIN) in 1996.

We also explain the eligibility criteria for obtaining a Social Security Number (SSN) and the process of applying for an ITIN. We highlight the importance of TINs for filing taxes, claiming treaty benefits, and opening bank accounts.

We also mention the Employer Identification Number (EIN) used for business entities.
 
Episode Links & Resources

• Are you Tax-compliant With Your Overseas Assets? - Free Guide - Scroll to the bottom of the page.

We discuss the FBAR (Foreign Bank Account Report) and why it is important to be aware of it.

It's a FORM that needs to be filed under the Bank Secrecy Act if you have a financial interest or signatory authority over a foreign financial account.

And the aggregate value of these accounts exceeds $10,000 at any time during the reporting year. The FBAR filing requirement applies to all types of financial accounts, not just bank accounts. 

Failure to file the FBAR can result in substantial penalties. 


Episode Links & Resources

• Are you Tax-compliant With Your Overseas Assets? - Free Guide - Scroll to the bottom of the page.

What happens to you if you lose a job on a work visa?

It's the biggest threat to your financial life in the US. In this short episode, we detail your options based on your specific work visa. 

Generally, you have to leave the country in 60 days or less, depending on your visa type, visa stamp, home country, and where you are in the visa process. However, there are some unique nuances regarding your other options based on the type of this visa.

In this episode, we address the H-1B, L-1, E3, TN, and O visas and the specific repercussions of losing a job.

In this solo episode, I discuss the five questions I ask to create the financial planning framework for foreign-born families.

Each question has many nuances and determines which way we go with the plan.

I believe any foreign-born individual should ask themselves these questions as part of the settling process in the US. Money is tied to all aspects of our lives.

• What's your Immigration status?

• What's tax residency status

• What are your long-term residency status?

• What's your home country of citizenship, what other citizenships do you have, and if married, what's your spouse's citizenship?

• What assets do you have in foreign countries?

Yeah, it's not green anymore, but the name has persisted.

Do you know why the Permanent Residency Card is called the Green Card?

We answer this question and provide many more details about this "magic" document, which permits you to live and work permanently in the US if you are foreign-born.

We know quite a bit about it, having previously held this card.

We discuss the tax obligations and financial planning implications of being a green cardholder rather than a US citizen.

It's challenging to get, based on your home country, but once you get it, you must be careful if you want to abandon it to do it right.

Are you a green card holder? What questions do you have?

In this episode, we discuss the various health insurance options available during open enrollment.

We break down all the different insurance plans - including PPO, HMO, EPO, and HDHP plans.

We discuss the differences in premiums and coverage and the benefits of flexible spending accounts (FSA) and health savings accounts (HSA).

The conversation also touches on the implications of Medicare for those over 65 and considerations for ex-pats and retirees living abroad who are considering the HSA plan.

It's important to check with your provider about using the HSAs abroad. 

It's essential to consider your length of stay in the US when choosing an HSA.