Cross-Border Planning For a Second Trump Term

A second Trump term may mean significant changes for cross-border retirees. In this video, we discuss:
- Planning for lower taxes
- Potential increase in retiree health insurance
- How Trump's policies may impact your investments
- Are you planning on going back to Canada?

[markchuchra]

Hey fans of retiremitten, the point (~4:00) about Americans with Roth IRA’s moving to Canada is really important and valuable. Sometimes people in the US use a Roth IRA benefit calculator to determine, or more accurately, estimate the lifetime tax savings of doing a Roth IRA. Directionally speaking, you can extrapolate that the benefit of holding a Roth account in Canada as being even greater given that the federal income tax rates are higher and at lower progressive tax bracket thresholds. However, the ability to maintain the tax-free nature of a Roth account in Canada is dependent on several things. First of all, you need to make the appropriate election under article XVIII of the United States Canada tax convention. This election is made with the CRA Competent Authority in the year after you land in Canada - basically you or your accountant in Canada would fill out appropriate form and submit it by April 30 of the year after you move to Canada. Finally, keep in mind that you’re not allowed to make any contributions to your Roth IRA after you move to Canada… this would invalidate the election under the treaty and then the account becomes a much bigger nuisance and less beneficial to you.

[markchuchra]

Great thought starters, Bryan. Thanks.
I like the way you carefully kept this very politically neutral. :-)

[SampatHarish]

As always. Good information Bryan.

By the way, I am looking for a tax accountant familiar with cross border tax prep including RRSP withdrawal and US social security.

Any reliable references will be appreciated.

Thank You

[markchuchra]

Is there anyway an American who is a Canadian resident now, but planning to retire in the US, make HSA contributions? I am guessing this is not the case if under a provincial healthcare plan…