Working abroad banking advice?

acampbell3000

Hello,

This is my first post so please be nice!

I'm currently pursuing some opportunities work abroad (most likely the U.S.). While I'm still here I wanted to use the time I have to get my finances into an optimal state.

I'm particularly interested into having the ability to send money back to the UK. I understand that while out there I could take advantage of a US current account OR a UK international account.

• Differences between the two?
• Any first hand experience?

I understand there's a variety of transfer options. Some documented well on this site. I guess it comes down to the amount of money I want to send and how quickly I need it.

Finally, tax.

This is the area I'm least educated about. I guess I want to avoid paying any unnecessary tax. While working in the US I assume I will be paying tax on my income locally. If I send any back I'm worried that I will also have to pay tax to the Uk authorities.

• Is this the case?
• What options do I have to minimise this?

Kind regards.

catokelly

Avoid transferring the USD directly to a UK bank as you will be subject to the banks unfavourable exchange rates. If you use an international money transfer specialist such as Thomas Exchange, you will maximise your money as they base the rates on the live market Euro rate not the 'tourist rate' that the banks use.
They hold a USD account, along with accounts in all major currencies. Therefore, USD can be transferred directly into their USD account. Once they see the funds in the account, they would contact you to confirm receipt of funds and to let you know the rate, which would be based on the live market rate (you could then choose to book the rate or wait).
Once you have agreed a rate, they would then transfer the Sterling equivalent to the chosen UK bank account as an urgent same day payment.
They offer even better rates for large transactions.

missile

Your priority should be to find work. Unless you have a special skill which is in demand, you are very unlikely to find work (legally) in USofA. Do you have a sponsor?

How will you be paid? Unless cash in hand, you will need to open a bank account in the country you are working (e.g. US).

Most banks will be able to help you transfer from that country. I would suggest you open an international accounts with balances in e.g. $ and another in £. I found LTSB International very helpful. They give good exchange rate and free transfer to my LTSB account in UK.

You would need to provide a lot more information before anyone could advise re tax.

gt94sss2

acampbell3000 wrote: »

I'm particularly interested into having the ability to send money back to the UK. I understand that while out there I could take advantage of a US current account OR a UK international account.

In almost all cases you will be better off with a US current account rather than a UK international account if you are going to be working in the USA.

Some banks in the UK can help you open accounts in the USA (i.e. HSBC) but its worth knowing where in the US you are going to be before you consider this.

I guess I want to avoid paying any unnecessary tax. While working in the US I assume I will be paying tax on my income locally. If I send any back I'm worried that I will also have to pay tax to the Uk authorities.

It all depends on how long you are overseas for. If you are paid in the US, you will have to pay US tax. You may also need to fill in a UK tax return but can offset any US tax paid against any UK tax bill.

You won't get taxed just because you are transferring money back to the UK though.

Regards
Sunil

reclusive46

Also just to add onto the previous message, you can open any account with Bank of America, they don't require you to be a US Citizen or even have a US address.