Possible way to meet retirement visa financial requirements?

[thailiketoo]

Yep - but Immi in Phuket may want proof of the veracity of your Affidavit.

For a more complete discussion.

http://www.thaivisa.com/forum/topic/733381-got-retirement-money-certificate-from-us-embassy-yesterday/page-5

[chubby]

with the caveat, that if you don't stay in Thailand, getting $20,000 back out of the country make be difficult ?

Yes, the Combo method works fine.

And if you are scared of putting Bt800K in a Thai bank account because maybe of debit card scams, etc., well, just open an account in your name only (needs to be your name only for immigration purposes) "without" a debit card and without ibanking access. That way, only a living, breathing you showing up at a bank counter with your passport and passbook could get at the money. Plus, Thai bank accounts are insured to Bt50M right now, but may drop to around Bt1M a few years from now which still more than covers the Bt800K amount. Additionally, you can get a heck of a lot more interest from a Thai savings account, especially a "fixed" type savings account, than a U.S. savings account. And another thing, you won't have to pay $50 each year to get income affidavit from the U.S. Embassy...instead just get a bank letter (Bangkok Bank charges Bt100) which reconfirms the Bt800K in your Thai bank account. It's also nice have some BIG money "immediately" available in country in case of an emergency.

[thailiketoo]

with the caveat, that if you don't stay in Thailand, getting $20,000 back out of the country make be difficult ?

Why? If you bring it in from another country that is noted in your bank book. So, what's the problem? Wire it back out.

Edited October 18, 2014 by thailiketoo

[bangkoklasse]

with the caveat, that if you don't stay in Thailand, getting $20,000 back out of the country make be difficult ?

Yes, the Combo method works fine.

And if you are scared of putting Bt800K in a Thai bank account because maybe of debit card scams, etc., well, just open an account in your name only (needs to be your name only for immigration purposes) "without" a debit card and without ibanking access. That way, only a living, breathing you showing up at a bank counter with your passport and passbook could get at the money. Plus, Thai bank accounts are insured to Bt50M right now, but may drop to around Bt1M a few years from now which still more than covers the Bt800K amount. Additionally, you can get a heck of a lot more interest from a Thai savings account, especially a "fixed" type savings account, than a U.S. savings account. And another thing, you won't have to pay $50 each year to get income affidavit from the U.S. Embassy...instead just get a bank letter (Bangkok Bank charges Bt100) which reconfirms the Bt800K in your Thai bank account. It's also nice have some BIG money "immediately" available in country in case of an emergency.

If you don't like to stay in Thailand, why apply for the "retirement visa" ? If you only like to be here a few weeks or a few months there are tourist visas.

[Pib]

with the caveat, that if you don't stay in Thailand, getting $20,000 back out of the country make be difficult ?

Shouldn't be any problem at all for that amount...it would be coded in your passbook if it all came in at one or several big chunks. Or, play it super safe by getting a Foreign Exchange Letter from the bank you transferred the funds into...use that letter as proof the funds were transferred in earlier. Would not be a problem.

[chubby]

about what size "chunk" would you estimate is a minimum. personally, while i may want to be in LOS, 330 days/year, I can't predict my health, or my family's, and various other warts in LOS,

I know IRS reporting changes over a certain amount, eg $20,000, futher, perhaps one can wire out, what one cannot pull via NYC BKK Bank for example, because of possible money laundering restrictions? Income earned in a thai bank, also over a certain amount, I believe may complicate IRS returns as well. ......

with the caveat, that if you don't stay in Thailand, getting $20,000 back out of the country make be difficult ?

Shouldn't be any problem at all for that amount...it would be coded in your passbook if it all came in at one or several big chunks. Or, play it super safe by getting a Foreign Exchange Letter from the bank you transferred the funds into...use that letter as proof the funds were transferred in earlier. Would not be a problem.

[Maestro]

Removed an off-topic post.

[Pib]

about what size "chunk" would you estimate is a minimum. personally, while i may want to be in LOS, 330 days/year, I can't predict my health, or my family's, and various other warts in LOS,

I know IRS reporting changes over a certain amount, eg $20,000, futher, perhaps one can wire out, what one cannot pull via NYC BKK Bank for example, because of possible money laundering restrictions? Income earned in a thai bank, also over a certain amount, I believe may complicate IRS returns as well. ......

Up to you how much money you want to keep in Thailand. If you plan to use the Bt800K in a Thai bank method for a retirement extension of stay then you would need to keep at least Bt800K ($25K) for at least 3 months (only 2 months on first extension). But let's say you put that Bt800K in a "fixed" account that pays interest around 3% (a heck of lot higher than you get in the U.S.) well you wouldn't be accessing that money frequently for spending money because of the interest loss penalty. So, you will probably want to keep amount of day-to-day spending money in Thailand...let's say Bt200K ($6,250). OK, you know have up to $31,250 in Thailand for at least part of the year.

What U.S. Treasury/IRS reporting requirement do you now have? More info at this IRS Link.

- Well, any U.S. citizien with over $10K in a foreign country for any length of time but submitted a FBAR report (FinCen Form 114 but formerly Form TD F 90-22.1) to the U.S. Treasury by 30 June of each year...that's just a simple online form...it's does not involve any additional taxes...it's just a report..

- On your U.S. tax return depending on your foreign financial assets a form TD 8938 may become part of your tax return which "reports" certain financial assets... if you are an unmarried taxpayer living in the U.S. then the trigger level for reporting is over $50K....if you are a unmarried taxpayer living overseas for at least 330 days per year then the trigger level is over $200K....once again this is just a report of certain foreign financial assets....and if you are a married taxpayer filing a joint return living in or outside the U.S. the trigger levels are even higher. Once again this is just a report.

- And on your U.S. tax return if you paid tax in a foreign country, like maybe the Thai govt 15% withholding tax on fixed accounts interest earned, you might need to include a Form 1116 Tax Credit in your return to claim credit for tax withholding...but as recently discussed in another thread a person should have no need to use that form (nor authorized) since that 15% withholding tax can be refunded each year by filing a refund request at your local tax revenue office...an easy process...I've done it for the last two years like many other farangs.

- And of course you now have FATCA in effect since 1 Jul 14 where Thai banks must report account values/interest earned of over $50K...they can report lesser amounts than $50K--up to the bank. Once again, just a report to the IRS.

I don't want to belabor the IRS reporting more than I did above as that been discussed a ton in other threads already. But it's just "reporting"; it's not taxing you any additional amounts...if you had those assets in the U.S. they would still be taxed...it just you wouldn't be doing the additional reporting. You can thank the folks and foreign financial institutions over the years who have tried to avoid taxes by not reporting/hiding their foreign assets for these reporting requirements.

Don't know what you mean by that $20K referernce...that use to be the Bank of Thailand trigger level for Thai banks to automatically issue a Foreign Exchange Certificate (FEC) but I think that is $50K now. But for any amount of foreign currency being transferred to your Thai bank account you can get a Foreign Exchange Letter from the bank to document that inbound money...but you gotta go ask for it. And when it comes to transferring money overseas from your U.S./home country bank it seems the banks vary all over the map as to what info they may want from you to hit the transmit button...but unless you are indeed laundering money you got nothing to worry about....just give them the reason (day to day living, buy property, etc) so they can document that and hit the transmit button.

You can not "pull" money from a Thai bank via ACH transfer because the Thai bank will reject the pull as that is money outflow from Thailand which can only occur when approved/as allowed by Bank of Thailand regulations. You can still transfer the money out....you just have to initiate it at the Thai bank. Thailand Land of Smiles for Incoming Money; Land of Frowns for Outgoing Money. Inflow is wide open doors; outflow requires knocking and then asking to get out...but they will let you out after saying Pretty Please and filling out some forms.

Money in Thai bank is insured to Bt50M right now; possibly going to Bt1M in a few years.

IRS reporting over certain amounts is just a fact of life...continue to be honest, report it, let your tax software fill out an additional forms that might be needed but other than the FBAR reporting I doubt many single U.S. folks keep over $50K (Bt1.6M) in money in Thailand so your IRS is really not complicated/increased at all. Tons of things can complicate your tax return...charitable contributions...stock trading....many different deductions/credits available....don't try to make reporting of your foriegn financial assets a big thing because it ain't....you might not like it...but it really ain't no big thing.

You just need to get over your fear of keeping money in Thailand...your biggest thread to your money is a divorce or a GF gone bad...or being lax in your personal banking security--and these things can occur in any country.