Go Back  British Expats > Living & Moving Abroad > USA
Reload this Page >

Hello - looking for long term in US advice

Hello - looking for long term in US advice

Old Apr 8th 2014, 8:20 am
  #1  
Just Joined
Thread Starter
 
Joined: Apr 2014
Posts: 7
Macca78 is an unknown quantity at this point
Default Hello - looking for long term in US advice

Hello

I am a US permanent resident married to a US Citizen with a little baby girl too. I've been in the US for a while now and think i'll be there long term, so I'm looking for advice on following topics:
- how to access a UK company pension when living in US or things to do now to ease the process later
- I've heard inheritance tax is 'better' as a US citizen - any views? Does it differ across 'receiving' from UK parents v 'giving' to US kids?
- has anyone moved a parent across? How can that be done? My biggest concern is healthcare.

it would be great if someone could point me to any existing links etc. if not then ill post as separate questions

Thanks
Martin
Macca78 is offline  
Old Apr 8th 2014, 8:41 am
  #2  
MODERATOR
 
old.sparkles's Avatar
 
Joined: Sep 2009
Location: slough - Adelaide
Posts: 27,172
old.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond reputeold.sparkles has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by Macca78 View Post
Hello

I am a US permanent resident married to a US Citizen with a little baby girl too. I've been in the US for a while now and think i'll be there long term, so I'm looking for advice on following topics:
- how to access a UK company pension when living in US or things to do now to ease the process later
- I've heard inheritance tax is 'better' as a US citizen - any views? Does it differ across 'receiving' from UK parents v 'giving' to US kids?
- has anyone moved a parent across? How can that be done? My biggest concern is healthcare.

it would be great if someone could point me to any existing links etc. if not then ill post as separate questions

Thanks
Martin
Hi Martin and welcome to BE

I've moved your questions over to the US section so you can get some answers.
old.sparkles is offline  
Old Apr 8th 2014, 10:56 am
  #3  
MODERATOR
 
penguinsix's Avatar
 
Joined: Nov 2006
Location: Hong Kong, mostly.
Posts: 5,105
penguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond reputepenguinsix has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Once you are a US citizen you can apply to sponsor your parents. It's relatively straight forward and I don't think it takes that long to get them in (i.e. under a year or so). HOWEVER, as you rightly pointed out, the healthcare situation is a serious problem.

You will need to buy insurance on the exchanges or through some other private party as they will not be eligible for the government's Medicare program like the vast majority of people > 60 years old. With so many people in the Medicare system, it leaves a very small number of people > 60 on the exchange / private sector system, which *can* result in very high prices.

You might take a look at one of the ACA exchanges in your state and do a hypothetical of what it might cost to buy insurance for your parents given their age and health history. Probably a good ballpark to get started.

Five years after they get permanent residency they can 'buy in' to Medicare coverage.
penguinsix is offline  
Old Apr 8th 2014, 1:12 pm
  #4  
Forum Regular
 
Joined: Mar 2013
Location: Madison, Ct
Posts: 39
audi4t is an unknown quantity at this point
Default Re: Hello - looking for long term in US advice

I just started taking a pension from my former UK employer - very easy direct deposit into my US bank account - current exchange rate and no wire charges to me.

Not yet old enough for UK SS but I believe that can also be direct deposit into your US bank account.
audi4t is offline  
Old Apr 8th 2014, 3:14 pm
  #5  
Ping-ponger
 
dunroving's Avatar
 
Joined: Jul 2002
Location: Dreich Alba
Posts: 11,964
dunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by audi4t View Post
I just started taking a pension from my former UK employer - very easy direct deposit into my US bank account - current exchange rate and no wire charges to me.

Not yet old enough for UK SS but I believe that can also be direct deposit into your US bank account.
I'm curious - what does the above mean? In reality, when US or UK government send your pension, does your comment above equate to the mid-rate? Sounds too good to be true.
dunroving is offline  
Old Apr 8th 2014, 3:53 pm
  #6  
Forum Regular
 
Joined: Mar 2013
Location: Madison, Ct
Posts: 39
audi4t is an unknown quantity at this point
Default Re: Hello - looking for long term in US advice

I'm not sure I fully understand your question but here is a summary of a typical direct deposit.

My former employer uses Citibank in the UK - my bank here is Wells Fargo.

My pension is fixed in pounds and converted to US dollars it is paid in US dollars and is in my account on the 25th of each month.

The last deposit on 3/25 was made at the exchange rate that gave me 1.679 dollars for each pound of my pension which on 3/25 was pretty fair. I don't know when the banks lock in the rate for the conversion

I just checked today's quoted commercial market rate on Bloomberg it was 1.6742 - obviously this will change according to the currency market.

Last edited by audi4t; Apr 8th 2014 at 3:55 pm.
audi4t is offline  
Old Apr 8th 2014, 4:21 pm
  #7  
 
lansbury's Avatar
 
Joined: Apr 2005
Location: Milwaukie, Oregon
Posts: 9,471
lansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by audi4t View Post

The last deposit on 3/25 was made at the exchange rate that gave me 1.679 dollars for each pound of my pension which on 3/25 was pretty fair. I don't know when the banks lock in the rate for the conversion
As a guide the mid rate at 16:00 UTC on March 25th was $1.6513, from XE historical data.
lansbury is offline  
Old Apr 8th 2014, 4:46 pm
  #8  
Ping-ponger
 
dunroving's Avatar
 
Joined: Jul 2002
Location: Dreich Alba
Posts: 11,964
dunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond reputedunroving has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by audi4t View Post
I'm not sure I fully understand your question but here is a summary of a typical direct deposit.

My former employer uses Citibank in the UK - my bank here is Wells Fargo.

My pension is fixed in pounds and converted to US dollars it is paid in US dollars and is in my account on the 25th of each month.

The last deposit on 3/25 was made at the exchange rate that gave me 1.679 dollars for each pound of my pension which on 3/25 was pretty fair. I don't know when the banks lock in the rate for the conversion

I just checked today's quoted commercial market rate on Bloomberg it was 1.6742 - obviously this will change according to the currency market.
Originally Posted by lansbury View Post
As a guide the mid rate at 16:00 UTC on March 25th was $1.6513, from XE historical data.
Thanks both, that answers the question. BE teamwork!

About 2-3 cents above the mid-rate seems fairly reasonable, I suppose - certainly in comparison to high street bank rates and tourist rates.

[Hang on, that can't be right - if the exchange was from GBP to USD, that means the OP was getting BETTER than mid-rate. ]
dunroving is offline  
Old Apr 8th 2014, 5:01 pm
  #9  
 
lansbury's Avatar
 
Joined: Apr 2005
Location: Milwaukie, Oregon
Posts: 9,471
lansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by dunroving View Post

[Hang on, that can't be right - if the exchange was from GBP to USD, that means the OP was getting BETTER than mid-rate. ]
It seemed odd to me they got above the mid rate so I went back and checked the mid rate, it is correct. There were only about 4 days preceding the 25th when in March the mid rate was as high as the low $1.67s
lansbury is offline  
Old Apr 8th 2014, 5:38 pm
  #10  
Lt Col (Retd)
 
Pulaski's Avatar
 
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 47,710
Pulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by lansbury View Post
It seemed odd to me they got above the mid rate so I went back and checked the mid rate, it is correct. There were only about 4 days preceding the 25th when in March the mid rate was as high as the low $1.67s
That was at 16.00 UTC, right? Which would be the London "closing" rate. There may have been (almost certainly was) intra-day volatility when the rate was higher (from a GBP perspective), and it may have taken several days for the wire to reach his US a/c, so the rates prevailing several days earlier would be the relevant ones. That said, it looks highly likely that the conversion was done at just a few 1/100ths of a cent below the mid rate.

Last edited by Pulaski; Apr 8th 2014 at 5:40 pm.
Pulaski is offline  
Old Apr 8th 2014, 6:02 pm
  #11  
 
lansbury's Avatar
 
Joined: Apr 2005
Location: Milwaukie, Oregon
Posts: 9,471
lansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by Pulaski View Post
That was at 16.00 UTC, right? Which would be the London "closing" rate. There may have been (almost certainly was) intra-day volatility when the rate was higher (from a GBP perspective), and it may have taken several days for the wire to reach his US a/c, so the rates prevailing several days earlier would be the relevant ones. That said, it looks highly likely that the conversion was done at just a few 1/100ths of a cent below the mid rate.
I did check back, out of personal interest, becasue the OPs comment made me wonder if I am receiving my pensions the correct way. That is paid into a UK bank and I convert when the rate is good. The $1.67 rates where at the beginning of the month. The rates in the 4 days preceding the 25th were in the $1.64/$1.65 range.

If indeed it is possible to get as close to the mid rate as you suggest, then using a personal account at a currency dealer and getting about 1 to 1.5 cents below the mid rate, amounts to quite a sum over the course of time. The advantage of having the money paid into a UK account is that if the rate is unfavorable there is an option not to convert it to dollars. Swings and roundabouts I guess.
lansbury is offline  
Old Apr 8th 2014, 6:10 pm
  #12  
BE Forum Addict
 
Joined: Aug 2013
Location: Athens GA
Posts: 1,911
MidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond reputeMidAtlantic has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by lansbury View Post
I did check back, out of personal interest, becasue the OPs comment made me wonder if I am receiving my pensions the correct way. That is paid into a UK bank and I convert when the rate is good. The $1.67 rates where at the beginning of the month. The rates in the 4 days preceding the 25th were in the $1.64/$1.65 range.

If indeed it is possible to get as close to the mid rate as you suggest, then using a personal account at a currency dealer and getting about 1 to 1.5 cents below the mid rate, amounts to quite a sum over the course of time. The advantage of having the money paid into a UK account is that if the rate is unfavorable there is an option not to convert it to dollars. Swings and roundabouts I guess.
I do the same - have mine paid into my UK account then move it over when the rates are good. At least I feel that I have some control over that. Now I'm beginning to wonder if it is worth the bother.

I did ask here some time back about the rates that are used for direct deposit to a US account but no one really answered. If others have direct deposit from the UK to the US I would be interested in their experience of the rates used.
MidAtlantic is offline  
Old Apr 8th 2014, 6:11 pm
  #13  
Forum Regular
 
Joined: Mar 2013
Location: Madison, Ct
Posts: 39
audi4t is an unknown quantity at this point
Default Re: Hello - looking for long term in US advice

I didn't intend to make this so complicated.

I just intended to show that getting your UK pension paid in the US need not be a difficult process.

I have no control over the financials - my UK pension in pounds is fixed.

I don't have a UK bank account.

My former employer is willing to exchange it into dollars and direct deposit it to my US bank account - obviously there are exchange rate risks but I am happy with the arrangement.
audi4t is offline  
Old Apr 8th 2014, 6:24 pm
  #14  
 
lansbury's Avatar
 
Joined: Apr 2005
Location: Milwaukie, Oregon
Posts: 9,471
lansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond reputelansbury has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by audi4t View Post
I didn't intend to make this so complicated.

I just intended to show that getting your UK pension paid in the US need not be a difficult process.
It isn't complicated or difficult however it is done. But there is more than one way of getting a UK pension in the US.

One of those ways gives the recipient control over the exchange rate and the possibility of maximizing the amount of dollars received. Your post highlighted a possibility that in fact it might not be as big an advantage as it was thought to be. However the figures you quoted being a one month snapshot, and not knowing on what day the exchange rate was locked in, makes Mid Atlantic's request for rates from others worthwhile.
lansbury is offline  
Old Apr 8th 2014, 7:08 pm
  #15  
Lt Col (Retd)
 
Pulaski's Avatar
 
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 47,710
Pulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond reputePulaski has a reputation beyond repute
Default Re: Hello - looking for long term in US advice

Originally Posted by audi4t View Post
..... My former employer is willing to exchange it into dollars and direct deposit it to my US bank account - obviously there are exchange rate risks ....
Between the wire and/or FX fees, FX spreads, and the exchange rate risk (you pick less than the optimum time to move funds), I suspect that your approach is as good as any.

IMO The chances of you correctly guessing when to move money such that you make a material (worth your time, effort, and stress) gain, over just receiving it "directly", is slim to none.
Pulaski is offline  

Contact Us - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service - Do Not Sell My Personal Information

Copyright © 2018 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.