People who moved to Europe's priciest cities say it's worth it for a relaxed life with shorter work days and cheap childcare

Business insider ^ | 11/29/2023 | Jordan Pandy

[buwaya]

Foreign earned exclusion does not prevent the locals from taxing you. Foreign tax credits likewise.

You aren’t going to wiggle out of “standard taxes” in Europe, and most likely you will be under the local tax regime.

[Harmless Teddy Bear]

Of course it does not prevent the locals from taxing you. I was speaking of US Tax breaks. And the foreign tax credits help with that. Although depending on the country you will probably get various tax breaks although not on the VAT usually.

For you to say there are no tax advantages to living over seas is just not true.

[buwaya]

There are no tax advantages vs living in the US under most circumstances. It depends on the country and the legal situation with respect to the US, tax treaties etc.

As usual the richer you are the the more complex it gets, and you have more options to structure income. You can play games with Cypriot banks maybe. But for a middle class US retiree living in Europe, there is zip.

[Harmless Teddy Bear]

Ah, you were speaking of retirees only. There are a few you can take. There is one for housing for example. I was speaking of people like those in the article who are actually working overseas.

And yes they do get certain tax breaks.

[basalt]

wow..an actual socialist/communist.....

[FlingWingFlyer]

Good for them. AND DON’T COME BACK!

[FlingWingFlyer]

The extreme far-left, Clinton “Business Insider” has really been pimpin’ Americans into moving to Europe. I think they are working on building a Muzzie America. Get all the Americans out. When the morons aren’t bashing America, they’re busy bashing Texas. Real jackasses.

[buwaya]

As I said, you need experience. And knowledge. And you may need to review some of what you think you know.

“It isn’t what we don’t know that gives us trouble, it’s what we know that ain’t so.”

Will Rogers

[buwaya]

https://www.irs.gov/businesses/international-businesses/denmark-tax-treaty-documents

The main issue in all of this is with the tax treaties.
You have to deep dive into, say, the Danish-US tax treaty. I can say right now that there are fundamental differences between the Danish and Spanish treaties.

[buwaya]

There are very few circumstances where you will be better off, materially, working abroad. US pay is better than local almost anywhere in Europe, and US taxes are lower. YMMV.

The exceptions tend to require rare skills or putting up with a degree of hardship, like in Saudi Arabia. Or if one is working for a US employer who requires a US citizen for the post (a true expat).

Some people, like these guys in Denmark, can find a gig in Europe. Thats rare. Euros favor their own and a foreigner is usually going to have difficulty getting approved to work absent exceptional circumstances.

[Harmless Teddy Bear]

There are very few circumstances where you will be better off, materially, working abroad.

I will disagree with you with the proviso that you might know more about US retirees living in Europe so in that limited situation you might be right.

I know several young people who work abroad for a few years so they can save up and come back to the US with a nice nest egg. Most of them are engineers of some sort.

[Gaffer]

Lemme see how “Ellie” feels about it when Denmark starts providing ‘migrants’ to look after her children while she’s off at work paying more and more taxes....

[Gaffer]

Yep....I bet in the back of her mind, “Well, I’m gonna keep this passport just in case should ......”

I used to know a married couple of losers who wouldn’t keep any kind of regular job, played video poker games incessantly and shopped around nearby states/cities for which one paid the most in social benefits. They finally settled on Charleston, SC IIRC.

[basalt]

theres always one.....

[woodbutcher1963]

I BELIEVE if you move to southern Italy and establish residency you will get a 7% tax rate for ten years.
You have to live in Sicily, Puglia, Abruzzo, Molise or Calabria.
At least this is what I recall seeing recently on a YouTube video from a realtor promoting property’s in those regions.

You would have to live there more than six months a year.
Abruzzo is the most popular with expats because most of it is a few hours drive from Rome.
There are lots of little villages that you can buy an apartment for under 100K.
Plus many fixer upper places under $50K.

[buwaya]

It needs to be checked out but that seems to be a wonderful deal.

[buwaya]

It needs to be checked out but that seems to be a wonderful deal.

[minnesota_bound]

They say 1 bedroom but the square footage says studio apartment. The price of gas is much more and so would everything else.

[Svartalfiar]

"We were paying for my oldest to go three mornings a week to daycare in the US, and we were paying $2,600 a month. And here, I pay around $850 — maybe — for two children to get full-time care."

Hot damn. I'm in these US, and the oldest in daycare two days a week. Which costs $225/mo. I don't know what scam place she was using!