Hi all, joined the forum today and am so happy to see the community here. In summary we're moving from NYC to London and want to know what we need to do to ensure we're setting ourselves up for tax success. Here are the details:
Family of three:
US citizen (me)
UK citizen, with green card, US passport expected before we move (spouse)
US citizen + UK citizen (US born child)
Employment:
We both are employed by US-based companies
Also have self employment income
Both companies are transferring our jobs to London and we'll continue self employment in the UK (revenue will likely be US-soured)
Tax filing status is MFJ; current state residence is NY
Assets:
Employer 401k
Solo (individual) 401k
IRAs
529
Bank accounts with CDs and cash
Moving:
We're planning to be in PA for December of this year - and will have no link to NYC once we move on November 30th. Do we still pay NY state tax for December since we'll both be "working from home"? One spouse's firm is based in NYC, the other's in Boston. Both will update payroll with PA address for December. Then, in January 2018, we'll move to the UK (London)
I think I may be overlooking some important things, but here's what I've been thinking about and would like advice on:
1. Can we continue to contribute to "backdoor" IRAs, solo 401ks and 529s from the UK?
2. Would we still be able to contribute to company 401ks if we maintain paychecks in USD? We may have leverage over which (GBP or USD) entity pays me.
3. We plan to be outside the US for the vast majority of the years going forward. How do we minimize taxes while filing, especially when considering our existing assets? I know there are foreign tax credits, etc, but don't know much about the options on this topic.
4. Health insurance: if I can stay on as a US employee (doubtful, and haven't researched this yet with employer), should I continue high deductible health insurance coverage with them since it's free? Anyone have experience with this and using it in the UK for "private" care? Or should we go with NHS? Not sure if employers in the UK provide private health coverage.
Thank you!! In summary, since we have 2.5 months left before moving to London, I'd like to prepare financially for the tax move! Thanks
