Qualifying for the FEIE (stay out of America for 330 days per year) means you don’t pay taxes on the first $120k you earn. Maxing out the 401k ($22,500) will reduce taxable income as well so it’s really like the first $142,500 is tax free.
Thanks, looking to emigrate with a remote job, so good to know. Do you know if the FEIE is for any country or only select ones? And how hard did you find the entire transition in general?
The FEIE is only concerned about your relationship with America. It doesn’t matter what country/countries you decide to live in.
As far as the transition, I didn’t know it was happening until much later. When I left America it was to travel full time. I wasn’t specifically going to one place so saying goodbye to friends and family was like, “I’ll be around. Catch you guys later.” 2-3 years later I was thinking to myself, “Oh shit… You’re like… really gone.”
For work, I hold myself pretty strictly to working on US east coast hours so there is as little friction as possible with the employers. I moved my phone to a virtual provider and updated all banking and W4 paperwork to use a mailbox service in Florida (no state level income tax in FL).
You do get very bored with tourist stuff though. I think I would rather die than set foot in another museum or see some old building or religious site or whatever… Now 100% of the travel I still do is to see people I care about.
Where did you go? And how do you not pay fed taxes working for an American company? Or is it a foreign company?
Georgia (the country) and Turkey mostly.
Qualifying for the FEIE (stay out of America for 330 days per year) means you don’t pay taxes on the first $120k you earn. Maxing out the 401k ($22,500) will reduce taxable income as well so it’s really like the first $142,500 is tax free.
I work for an American company as a W2 employee.
Thanks, looking to emigrate with a remote job, so good to know. Do you know if the FEIE is for any country or only select ones? And how hard did you find the entire transition in general?
The FEIE is only concerned about your relationship with America. It doesn’t matter what country/countries you decide to live in.
As far as the transition, I didn’t know it was happening until much later. When I left America it was to travel full time. I wasn’t specifically going to one place so saying goodbye to friends and family was like, “I’ll be around. Catch you guys later.” 2-3 years later I was thinking to myself, “Oh shit… You’re like… really gone.”
For work, I hold myself pretty strictly to working on US east coast hours so there is as little friction as possible with the employers. I moved my phone to a virtual provider and updated all banking and W4 paperwork to use a mailbox service in Florida (no state level income tax in FL).
You do get very bored with tourist stuff though. I think I would rather die than set foot in another museum or see some old building or religious site or whatever… Now 100% of the travel I still do is to see people I care about.
Good luck.