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South Africans have spread their wings, living and working across the globe. If you’re one of them, making wise financial decisions abroad is crucial. Here’s a concise guide to managing your finances as an expatriate.
Tax Implications: No Running Away from Uncle Cyril
While you might be basking in the sun of Sydney or skiing in the Swiss Alps, the South African Revenue Service (SARS) may still have an eye on you. If you’re earning an income overseas, you could be subject to double taxation unless there’s a double taxation agreement (DTA) in place between South Africa and your country of residence. So, check those DTAs to avoid paying more tax than necessary. A local tax advisor is your new best friend!
Offshore Investments: Don't Go Adrift
Just because you're abroad doesn’t mean your finances have to be. Consider diversifying your portfolio with offshore investments. This can be a smart way to protect your assets from currency fluctuations and market volatility. And remember, stick to reputable financial institutions that offer robust investment options, so your nest egg doesn’t take an impromptu trip down the drain.
Retirement Plans: Surfing Through the Silver Years
Retirement abroad can sound like a dream, but it requires careful planning. Make sure to check how your South African retirement plans, like living annuities, are treated in your new country. Some nations may impose tax on withdrawals, while others recognise your South African contributions. So, plan ahead and consult a cross-border financial advisor to ride the retirement wave smoothly.
Currency Transfers: Mind the Rates
Transferring money back to South Africa or other countries can quickly eat into your hard-earned funds if you're not mindful of exchange rates and transfer fees. Use reputable currency transfer services, and consider timing your transfers to get the best rates.
Stay Informed: The World Changes Faster Than We Age
Laws and regulations change frequently, affecting expatriates. Stay informed by reading up on current financial news, and subscribing to my Weekly Market Update, ensuring you’re financially savvy no matter where you roam.
Balance Adventure and Financial Security
For South Africans planning to move abroad or already living overseas, navigating the financial landscape can be challenging. To ensure your finances are in order and your goals stay on track, get in touch for a consultation. Together, we can craft a comprehensive plan tailored to your unique needs, helping you secure your financial future, wherever in the world you are.
Get in touch: fabio.brogneri@liblink.co.za