Just like your physical health, your financial well-being needs regular attention—especially when you’re navigating life as a U.S. expat. Living overseas presents unique financial challenges, and ignoring them could put your long-term goals at risk. At Beacon Global Advisors, we help Americans abroad manage the complexities of international finance. Here are four essential questions we encourage expats to ask when checking in on their financial health.
- Should I be scheduling financial checkups while abroad?
Absolutely. Just like you’d visit a doctor for a yearly check-up, your financial plan deserves the same level of care. Annual financial reviews are critical for U.S. expats, who must keep pace with shifting tax laws, currency fluctuations, and evolving international regulations.
During your annual review with Beacon Global Advisors, we’ll help you evaluate:
- Any major life changes that could impact your finances
- Updates to tax laws in the U.S. or your country of residence
- Cross-border estate planning issues and inheritance laws
- Asset allocation and portfolio performance across currencies
- Compliance with IRS requirements like FBAR and FATCA
- Banking strategies to reduce foreign exchange fees and access funds efficiently
Regular check-ins allow us to help adjust your strategy, so you stay on track no matter where in the world you are.
- What kind of emergency planning should I be doing as an expat?
Emergency preparedness is just as important abroad as it is at home, and we think maybe even more so. Think about it: a sudden healthcare event or job disruption can become more logistically complicated when you’re overseas.
That’s why we recommend maintaining three to six months of living expenses in local currency at a local bank. This gives you immediate access to funds without needing to transfer money or sell investments during a downturn. Liquidity and flexibility are key to financial confidence as an expat.
- How can I build long-term savings when my life feels so mobile?
Think of saving like paying a monthly premium, but instead of insurance, you’re buying long-term security. Set up automatic transfers to your savings or investment accounts each month. The amount should be realistic, consistent, and aligned with your financial goals.
Whether you’re saving for a home, education, or retirement, establishing a routine savings habit helps build stability, even when life abroad feels unpredictable.
- Are there any habits that could hurt my financial health over time?
Yes, and some can be easy to overlook. As an expat, it’s especially important to avoid these common financial missteps:
- Investing in passive foreign investment companies (PFICs) without understanding the tax implications
- Ignoring estate planning or failing to update documents based on your current country of residence
- Overspending or failing to maintain a clear budget
- Accumulating high-interest debt or not having an emergency fund
- Lacking a long-term tax strategy tailored to your cross-border lifestyle
Breaking these habits early can help you avoid financial headaches down the road.
Ready to Take Charge of Your Financial Wellness Overseas?
At Beacon Global Advisors, we specialize in helping U.S. expats and cross-border families gain clarity and confidence in their financial lives. Whether you’re looking to simplify your taxes, grow your investments, or build a long-term legacy across borders, we’re here to help.
Let’s connect and create a strategy that supports your goals, wherever life takes you.
