Financially better off in uk????
#16
Re: Financially better off in uk????
Also worth noting that you're looking at temporary employment based visas, so probably wouldn't want to buy property anyway, and you wouldn't pay property tax if renting.
Last edited by christmasoompa; Dec 11th 2021 at 5:35 pm.
#17
Re: Financially better off in uk????
IMO there is much to consider when children are involved. They will be leaving their friends and family behind, there will be disruption in their education…do not assume it will be the same as the UK. If you stay until one or all of your children go through uni, you run the risk that they will find a job/partner and not want to go back to the UK. Will their qualifications be recognized in the UK.
As far as financials are concerned. The NE US is generally a very expensive place to live. I always say the US is like Disneyland…nothing is what it seems. If you have a good income and live in a nice, safe neighbourhood, life is good…but it will cost you. Of course there are always cheaper areas, especially if they are quite a distance to the large cities.
As far as financials are concerned. The NE US is generally a very expensive place to live. I always say the US is like Disneyland…nothing is what it seems. If you have a good income and live in a nice, safe neighbourhood, life is good…but it will cost you. Of course there are always cheaper areas, especially if they are quite a distance to the large cities.
#18
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Re: Financially better off in uk????
thanks for your help. Appreciate it
Last edited by Clarkoles; Dec 11th 2021 at 5:38 pm.
#19
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Re: Financially better off in uk????
Hi there. We are new to this forum. For some time we have debating whether to grab an opportunity of moving in massachusetts. We toyed with the idea 20 years ago but ended up starting a family. We can’t complain at all with where we live and have a large (USA sized family) home in the country which we have renovated and made a profit on. Of course 40pc income tax isn’t welcome but even still, I have a feeling we might be financially better off staying put. That aside, moving to USA wouldn’t be for financial reasons, it would be wanting to try something new, loving the area and wanting a fresh start. However a financial loss is unviable.
Once we deal with staying in touch with family and friends (and the emotional separation), the little trivial differences which we will accustom our selves to. The biggest hurdle I think will be a financial long term loss and I am wondering whether someone could perhaps verify I’m not going mad with my line of thought (from what I have researched). I have however only just started with my research and I don’t get too clouded with dreams.
So for us we will earn more in the USA and income tax will be lower. However
the long term profits seem (from what I have worked out) far far less favourable given that the yearly salary gain will be eaten up with property tax, state taxes and family health insurance. This is where I fear we will be stung. For us over a 20 year period we will be paying back over $200k in property tax and if we wanted to sell (at the same value just for calculation) $60k on capital gains tax. Compare this to uk and we would be keeping far more profit (once you’ve dealt with getting around inheritance tax)Has anyone else made these calculations and found out they are better staying put! Sadly
Once we deal with staying in touch with family and friends (and the emotional separation), the little trivial differences which we will accustom our selves to. The biggest hurdle I think will be a financial long term loss and I am wondering whether someone could perhaps verify I’m not going mad with my line of thought (from what I have researched). I have however only just started with my research and I don’t get too clouded with dreams.
So for us we will earn more in the USA and income tax will be lower. However
the long term profits seem (from what I have worked out) far far less favourable given that the yearly salary gain will be eaten up with property tax, state taxes and family health insurance. This is where I fear we will be stung. For us over a 20 year period we will be paying back over $200k in property tax and if we wanted to sell (at the same value just for calculation) $60k on capital gains tax. Compare this to uk and we would be keeping far more profit (once you’ve dealt with getting around inheritance tax)Has anyone else made these calculations and found out they are better staying put! Sadly
To go back to your initial questions regarding profits from property, we sold our house in Berkshire when we moved to the US some 20 years ago. Our old house has increased in value far, far more than our properties here in the US (even though we live in California)
Property tax is very high here, you have to consider capital gains and medical insurance over the years has been extremely costly. Luckily I had a job to come to and hubby sold his small company in the UK to a US company, and he then worked for them. No children to worry about.
From a property point of view we have not done as well (on paper) as if we had stayed in the UK. However, our investments have done well and our income was always good. We moved over when we were 50 and 51. Worked until 65 in order to qualify for Medicare in our retirement. Lots to think about.
#20
Re: Financially better off in uk????
Lovely. Many thanks. Once again google talking about visas being of 1 year duration.
If all this came to fruition and hypothetically worked out it brings us back to our original question (which is why we wanted to rule out going to the USA) - Long term financial property loss of a USA primary residence against the uk equivalent etc. It was a big jump of 20 years I know but we can’t get our head around property tax would be £12-13k a year its staggering.
If all this came to fruition and hypothetically worked out it brings us back to our original question (which is why we wanted to rule out going to the USA) - Long term financial property loss of a USA primary residence against the uk equivalent etc. It was a big jump of 20 years I know but we can’t get our head around property tax would be £12-13k a year its staggering.
#21
Re: Financially better off in uk????
thank you. We like ma and want to stay New England (and be not too far from coasts). Plus because of husbands work dictates he needs cities mainly Boston. We can then live suburbs and have bit of land around us so we aren’t in a built up city area. Most of the property tax seems to be similar in states of that area of just over 1pc.
thanks for your help. Appreciate it
thanks for your help. Appreciate it
#22
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Re: Financially better off in uk????
To go back to your initial questions regarding profits from property, we sold our house in Berkshire when we moved to the US some 20 years ago. Our old house has increased in value far, far more than our properties here in the US (even though we live in California)
Property tax is very high here, you have to consider capital gains and medical insurance over the years has been extremely costly. Luckily I had a job to come to and hubby sold his small company in the UK to a US company, and he then worked for them. No children to worry about.
From a property point of view we have not done as well (on paper) as if we had stayed in the UK. However, our investments have done well and our income was always good. We moved over when we were 50 and 51. Worked until 65 in order to qualify for Medicare in our retirement. Lots to think about.
Property tax is very high here, you have to consider capital gains and medical insurance over the years has been extremely costly. Luckily I had a job to come to and hubby sold his small company in the UK to a US company, and he then worked for them. No children to worry about.
From a property point of view we have not done as well (on paper) as if we had stayed in the UK. However, our investments have done well and our income was always good. We moved over when we were 50 and 51. Worked until 65 in order to qualify for Medicare in our retirement. Lots to think about.
Yes I agree there is so much to think about. I really appreciate your reply. Thank you.
Last edited by Clarkoles; Dec 11th 2021 at 5:45 pm.
#23
Re: Financially better off in uk????
Ok, fair enough, but if it's a work based temp visa then you would be best not to buy anyway, so property taxes may not be relevant. If close to Boston then there is the British School which may help with education transition as yours are at crucial ages, the same as ours.
#24
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Re: Financially better off in uk????
I agree, generally buying property for a few years, is not viable. Most people use realtors to buy and sell. Normal realtor fees are around 6%, this is split between the buying and selling agent. If you are trying to sell yourself, you may have difficulty, because a realtor is not going to recommend it without the commission. If you rent, property taxes are paid by the owner, property taxes are then included in the rent.
thank you. Yep short term whilst working there on a visa we would rent our uk house out and rent there. I know I’m jumping ahead for long term but I’m trying to save guard us financially in case we like it and want to stay. I think we will be loosing hundreds of thousands of property and capital gains tax in comparison to the uk. Thanks for your help. Popping off to do some dinner
Last edited by Clarkoles; Dec 11th 2021 at 6:04 pm.
#25
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Re: Financially better off in uk????
thank you. Yep short term whilst working there on a visa we would rent our uk house out and rent there. I know I’m jumping ahead for long term but I’m trying to save guard us financially in case we like it and want to stay. I think we will be loosing hundreds of thousands of property and capital gains tax. Of course we would want a house size like for like and I think this is the problem financially over there even with no mortgage. Thanks for your help. Popping off to do some dinner
We actually bought while still on the L-1. Got our Green cards 6 months after we moved in. You've got to have faith that you jobs are going to continue
#26
Re: Financially better off in uk????
#27
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Re: Financially better off in uk????
Ok, fair enough, but if it's a work based temp visa then you would be best not to buy anyway, so property taxes may not be relevant. If close to Boston then there is the British School which may help with education transition as yours are at crucial ages, the same as ours.
Thank you. Oh yes we wouldn’t buy initially. We would rent ours out and rent somewhere in the us. Replied with similar answer to question below and dashing off as just doing dinner.
thank you - I will check out the school. Thanks ever so much for your help
#28
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Re: Financially better off in uk????
Also maybe not as easy as you're thinking - to get a 'green card' generally you'll need your husband's employer to sponsor that as well. Often employers are reluctant to do so, as not only does it cost them a lot of money in fees and immigration lawyers cost, but also it means the employee is no longer tied to them and can go and work for somebody else. If you did think you might want to stay, you'd need to get green card sponsorship in writing in the contract.
Yep. Our house here is around 6500sq ft, and even though we live in a very pricey part of the UK there's no way we could afford anything of a similar size in the Boston burbs!
Yep. Our house here is around 6500sq ft, and even though we live in a very pricey part of the UK there's no way we could afford anything of a similar size in the Boston burbs!
#29
Re: Financially better off in uk????
Ah, no worries, I actually meant our own move, we're looking at the Newton/Needham/Wellesley area and it's blooming pricey!
#30
Re: Financially better off in uk????
Also maybe not as easy as you're thinking - to get a 'green card' generally you'll need your husband's employer to sponsor that as well. Often employers are reluctant to do so, as not only does it cost them a lot of money in fees and immigration lawyers cost, but also it means the employee is no longer tied to them and can go and work for somebody else. If you did think you might want to stay, you'd need to get green card sponsorship in writing in the contract.
Yep. Our house here is around 6500sq ft, and even though we live in a very pricey part of the UK there's no way we could afford anything of a similar size in the Boston burbs!
Yep. Our house here is around 6500sq ft, and even though we live in a very pricey part of the UK there's no way we could afford anything of a similar size in the Boston burbs!
Good idea to find out the US tax implications of being a GC holder, if you wish to return to the UK.
Last edited by Jerseygirl; Dec 11th 2021 at 6:26 pm. Reason: Grammar