Expat Corner (part 2)

[explanade]

I also visited Chiang Mai. It's smaller and quieter, but I'm more of a big-city person, so I'm in Bangkok and planning to stay here.

How’s the pollution.

I heard that in addition to usual big city issues, they do a lot of burning in rural areas.

Does the smoke from these burns affect Bangkok?

 

[martyp]

How’s the pollution.

I heard that in addition to usual big city issues, they do a lot of burning in rural areas.

Does the smoke from these burns affect Bangkok?

Bangkok has it’s winter pollution season but it is shorter than Chiang Mai’s by a couple of months and seldom gets as bad as Chiang Mai.

 

[explanade]

If I understand correctly, the "pensioner" option is the O-X visa, which has the insurance requirement.

That being said, I think the Elite Visa can make sense for people over 50 if they don't want to buy Thai-based insurance (or that's administered under Thailand jurisdiction; there are forums where the pros/cons are discussed), and they have assets but no proof of the specified income, and (if American) don't want to deal with FATCA/FBAR. I think Elite is the only option that gets you out of all of those; the downside, of course, is the cost of the Elite Visa, but I'm OK with it. Again, the good news is that there are options, and everyone can assess what's OK for them.

Are you liable for taxes generated by your retirement assets back in the US?

That’s the case in Europe, where apparently it’s difficult not to have local bank accounts just to pay normal bills. So no way to avoid FACTA and tax liability.

 

[martyp]

Are you liable for taxes generated by your retirement assets back in the US?

I pay US taxes on my US pension income. I do not pay any taxes in Thailand and I don’t earn any income in Thailand.

Filling in the FBAR takes 2 minutes online.

 

[Hans]

How’s the pollution.

I heard that in addition to usual big city issues, they do a lot of burning in rural areas.

Does the smoke from these burns affect Bangkok?

I was in Chiang Mai only during January and didn't notice much while there.

When I flew from there to BKK on Feb. 1, while approaching BKK, I did notice a sea of smog covering the city. Since then, I've been on the ground here and haven't noticed much (not that it isn't there, maybe I just don't notice it because I spent many years living in other big polluted cities).

 

[Hans]

Are you liable for taxes generated by your retirement assets back in the US?

Yes, I'm still liable to the IRS and my state. The forms I fill out are the same, regardless of whether I'm physically located in the US or elsewhere. So far, I've never been required, according to their rules, to do FATCA/FBAR.

If you mean being taxed in Thailand, I don't make any money in Thailand, and the Elite Visa is categorized as a tourist visa, which by itself does not create a tax liability as far as I'm aware (and I think I've been fully briefed on the implications of the visa).

That’s the case in Europe, where apparently it’s difficult not to have local bank accounts just to pay normal bills. So no way to avoid FACTA and tax liability.

I don't avoid tax liability. As I said, I still fill out the usual forms (1040, etc.), as mentioned above.

I haven't run into any situation where I need a local bank account, so I haven't opened one.

Are you asking because you need to figure out how to deal with that?

 

[explanade]

Yes, I'm still liable to the IRS and my state. The forms I fill out are the same, regardless of whether I'm physically located in the US or elsewhere. So far, I've never been required, according to their rules, to do FATCA/FBAR.

If you mean being taxed in Thailand, I don't make any money in Thailand, and the Elite Visa is categorized as a tourist visa, which by itself does not create a tax liability as far as I'm aware (and I think I've been fully briefed on the implications of the visa).

I don't avoid tax liability. As I said, I still fill out the usual forms (1040, etc.), as mentioned above.

I haven't run into any situation where I need a local bank account, so I haven't opened one.

Are you asking because you need to figure out how to deal with that?

Just wanted to see if things are different in Thailand compared to Europe.

Europe will find a way to tax your retirement income, even if the assets are entirely in the US, as I understand it.

How do you pay electricity, phone, Internet, etc.? In Europe apparently you have to pay out of a bank account, can't put it on a credit card.

 

[Hans]

How do you pay electricity, phone, Internet, etc.? In Europe apparently you have to pay out of a bank account, can't put it on a credit card.

Without giving a comprehensive history, the short answer is that a nomad in Asia might live in hotels (esp. with a long-term stay discount), an AirBNB, a serviced apartment, a spare room in a friend's place (paying them reasonable rent), university housing provided for foreign teachers, and in some cases, a leased apartment with utilities bundled by the owner. And if one wants to be less nomadic, one could do one of those on a long-term basis. Even if one has utility services in their own name, I'm not sure that it always necessitates a bank account (e.g., I saw my friend in Taiwan paying her utility bills at 7-11 with cash). My impression is that some places in Asia have been cash-based societies for thousands of years, and a lot of that still remains.

For phone, I always use a prepaid SIM. I just go to the phone company shop and hand them cash. This works in many countries.

 

[Alex The Great]

I spent a few months outside of US this year and immediately discovered one problem. I signed up for US Global Mail and did a temporary USPS mail forward to their virtual address. As a result, did not receive PenFed credit card which suppose to replace the expired one. After talking to PenFed got to know that USPS actually does not forward certain letters (such as the one I mentioned). Instead the letter is returned to sender. I wonder did any fellow expat in this thread experience this problem? Does it mean that you have to give up all US credit cards while living abroad?

 

[Koolau]

I spent a few months outside of US this year and immediately discovered one problem. I signed up for US Global Mail and did a temporary USPS mail forward to their virtual address. As a result, did not receive PenFed credit card which suppose to replace the expired one. After talking to PenFed got to know that USPS actually does not forward certain letters (such as the one I mentioned). Instead the letter is returned to sender. I wonder did any fellow expat in this thread experience this problem? Does it mean that you have to give up all US credit cards while living abroad?

I have this problem even when traveling from the Islands to the mainland. MANY companies will not forward mail (banks, some credit card companies, etc.) We have settled on an imperfect solution which won't w*rk for everyone. We have such USPS items always delivered to a US Postal Box. When we are on sabbatical, we have a friend check the box once a month. He ditches the junk mail that we've been unable to stop and forwards us a packet of the "good stuff" to our mainland location. Kind of a hassle, but I've never wanted to get into a mail forwarding company or similar.

Advantages: It w*rks for the most part
Disadvantages: Cost of a post office box. Need to check it year round (when we are home) once a week. Have to take advantage of a friend to help us out. It's just possible that the delay could cause problems but we've got some back ups for such eventualities. Have to pay for postage to the mainland whenever a packet is sent.

 

[Hans]

I spent a few months outside of US this year and immediately discovered one problem. I signed up for US Global Mail and did a temporary USPS mail forward to their virtual address. As a result, did not receive PenFed credit card which suppose to replace the expired one. After talking to PenFed got to know that USPS actually does not forward certain letters (such as the one I mentioned). Instead the letter is returned to sender. I wonder did any fellow expat in this thread experience this problem? Does it mean that you have to give up all US credit cards while living abroad?

I guess this happens because some senders mark the mail as "do not forward" or equivalent. I never experienced this problem because I solved it in advance. I simply gave the credit card companies the virtual address as my mailing address (while leaving the residence address unchanged). It works perfectly. My new Schwab card arrived at the virtual address, then I ordered them to remail it to me in Bangkok via Priority Mail (which was a bit expensive, but that's to be expected; regular mail is cheaper and probably slower). It arrived in Bangkok 10 calendar days later.

 

[Alex The Great]

I guess this happens because some senders mark the mail as "do not forward" or equivalent. I never experienced this problem because I solved it in advance. I simply gave the credit card companies the virtual address as my mailing address (while leaving the residence address unchanged). It works perfectly. My new Schwab card arrived at the virtual address, then I ordered them to remail it to me in Bangkok via Priority Mail (which was a bit expensive, but that's to be expected; regular mail is cheaper and probably slower). It arrived in Bangkok 10 calendar days later.

Yes I think this is exactly what happened. It looks like I need to take care about my address change for the banks expected to mail cards. Thanks for the info!