General Discussion

Any recommendations to safely keep money outside the US and UK?

I'm kind of in search mode right now. If all else fails, I bury gold coins under my house.

I would talk to your Financial Advisor instead of usnig the internet to find one.

If you dont have a FA i wouldnt even try to play outside the US because if you get scammed there is NO protection at all for you and whats lost. A laws change based on where you go.

That is right, and when you "repatriate" the income, you might get slammed with another tax.

You have to explore tax treaties, and the tax consequence will vary depending if the overseas bank is the branch of a U.S. bank in a foreign country or a foreign bank. 

You sort-of need to do a lot of research. 

Why Is There Sucking of US Money To Overseas?

The Congress basically said this:

• Investing overseas is TAX FREE; all profits, basically, with treaties, rules, etc., and
• when the money is "repatriated" (brought back), it is TAXED; so
• No company "repatriates" income and continues to invest abroad;
• This is why so much money, "jobs," and things are growing overseas and not here (it is a serious factor why money leaves the US and NEVER returns; it is an extremely bad policy)*

*It is these type of policies where I question if policy-makers are (1) stupid or (2) trying to sabotage the U.S. by exporting (a) capital, (b) money, (c) people, (d) resources from software to equipment.

This is not about evading taxes or investing, just to clearify.

It is about banks closing down in the US and keeping enough foreign currency in a foreign checking account to buy a one-way airline ticket out of here when the time comes.

Looks like I'll be putting some gold coin in a hole next to my passport and guns lol.

Originally posted by barkjj 

It is about banks closing down in the US and keeping enough foreign currency in a foreign checking account to buy a one-way airline ticket out of here when the time comes.

Your money is insured up to 100k by the Federal Deposit Insurance Corporation.

Banks have failed before, and they are failing now, but your money is insured. 

I have separate accounts in a bank, and each account is insured up to 100k; at least I think so.  I also have a lot of my personal money in the form of CDs, which are also insured up to 100k.

I have foreign trusts that, because they are administered in a foreign country, are subject to foreign regulation (and taxes).  Most wealth in this country is held in trusts (sometimes funds such as pension or hedge).  If you have substantial assets (at least over 250k) you probably already have trusts.

Most tax breaks, in 2008, are geared toward fortune 500 companies today, anyway.  It was during the Reagan Administration when the tax burden "shifted" from companies (export, import, oil, manufacturing, etc.) and estates and funds to "wages." 

One reason why "Republicans" --ordinary American Republicans love Reagan, when you ask them, for no other reason than he "seemed Presidential"-- love Reagan is he shifted the responsibility of service the national debt, government programs, military, everything to wage earners from corporations.  Interest income, for one example, is taxed higher for wage earners than, say, trusts, estates, corporations, etc. 

I am not sure if you have inherited a substantial amount of money, but you would probably know there is no "inheritance" tax on the person who gets the windfall. It is how generation after generation wealth passes, usually non-probate through the forms of trusts and insurance funds, and EXCLUDED from income (non-reportable to the IRS).  TREMENDOUS amount of income, wealth that is totally below, outside of the radar in terms of reporting requirements.  And this does not include any assets held overseas, which have its own exclusions and reporting rules.

And, I will tell you what, there is no more powerful organization than the IRS in the federal government.  Even more, most "professionals" typically rank IRS as most well respected, next to the SEC (who regulates trading and buying of "securities" with reporting, disclosure requirements).

Most Americans are just ... well, I do not know what they think at this point - they have a very, very high burden to sustain this, now that the tax burden is on their shoulders.  IRS in-take is mostly all from wage earners, very small amount from corporations, trusts, etc.

Originally posted by declaredemer

Originally posted by barkjj 

It is about banks closing down in the US and keeping enough foreign currency in a foreign checking account to buy a one-way airline ticket out of here when the time comes.

 

Your money is insured up to 100k by the Federal Deposit Insurance Corporation.

 

Banks have failed before, and they are failing now, but your money is insured. 

 

I have separate accounts in a bank, and each account is insured up to 100k; at least I think so.  I also have a lot of my personal money in the form of CDs, which are also insured up to 100k.

 

I have foreign trusts that, because they are administered in a foreign country, are subject to foreign regulation (and taxes).  Most wealth in this country is held in trusts (sometimes funds such as pension or hedge).  If you have substantial assets (at least over 250k) you probably already have trusts.

 

Most tax breaks, in 2008, are geared toward fortune 500 companies today, anyway.  It was during the Reagan Administration when the tax burden "shifted" from companies (export, import, oil, manufacturing, etc.) and estates and funds to "wages." 

 

One reason why "Republicans" --ordinary American Republicans love Reagan, when you ask them, for no other reason than he "seemed Presidential"-- love Reagan is he shifted the responsibility of service the national debt, government programs, military, everything to wage earners from, say, interest income.  Interest income, for example, is taxed higher for wage earners than, say, trusts, estates, etc. 

 

I am not sure if you have inherited a substantial amount of money, but you would probably know there is no "inheritance" tax on the person who gets the windfall. It is how generation after generation wealth passes, usually non-probate through the forms of trusts and insurance funds, and EXCLUDED from income (non-reportable to the IRS).  TREMENDOUS amount of income, wealth that is totally below, outside of the radar in terms of reporting requirements.  And this does not include any assets held overseas, which have its own exclusions and reporting rules.

 

And, I will tell you what, there is more powerful organization than the IRS in the federal government.  Even more, most "professionals" typically rank IRS as most well respected, next to the SEC (who regulates trading and buying of "securities" with reporting, disclosure requirements).

Most Americans are just ... well, I do not know what they think at this point.

Thanks for the good sum up. There is talks at work about moving funds to foreign accounts of some kind. Frankly, I have no faith in FDIC, especially when the dollar crashes. It's going to happen, it's a matter of when.
 

I'm just trying to play it safe.  Plus it wouldn't be a bad move to diversify anyways, impending crash or not.

Originally posted by barkjj

Thanks for the good sum up. There is talks at work about moving funds to foreign accounts of some kind. Frankly, I have no faith in FDIC, especially when the dollar crashes. It's going to happen, it's a matter of when.
 

I'm just trying to play it safe.  Plus it wouldn't be a bad move to diversify anyways, impending crash or not.

My advisor, from Citigroup, suggests 55% in overseas markets. 

It is the first time where "accredited investors" are advised to invest a majority of their assets overseas.

(Accredited investors also have access to certain "private" markets that the public does not.  I think when ordinary, wage-earning American invest on their on in the market, they are bound to lose.  I like how there are discount brokerage firms, as it used to be like 200.00 bucks per trade.  Nevertheless, people should hire financial planners, whose value is LONG-TERM planning).

I feel sorry for Americans' long-term future.

There will be three major banks now --JP Morgan Chase, Citigroup, and Bank of America-- and fees, costs, interest will ALL go up.

I am just appalled how badly these policies are starting to finally catch-up to Americans.  When I finished my MBA, I was complaining about these things YEARS ago.  I knew, when I graduated, we were constructed faux economy based on credit, bad debts, etc. 

Wait until the government cannot service its, now record debt during the Bush Admin.