Move Out Of The US In 5 Steps (2023)

Have you finally had enough of the American experiment? Do you want to move out of the US or create an exit strategy should you need to act? Lucky for us, the American passport is one of the best in the world. This means you have more opportunities to visit and live in a variety of countries than most.

Move Out Of The US In 5 Steps (1)You’re not alone in looking for the door. Between the recent Supreme Court decision on abortion rights, gun violence and other safety concerns, racial tensions, politics, inflation and more, many Americans have had enough and are thinking about moving abroad to places like Canada, Portugal and Italy.

Prohibitive housing prices, a strong dollar and political rancor have also contributed to a wave of Americans relocating to Europe.

Many people have spent decades working in the U.S. and then retiring in a foreign country where their wealth will stretch further. Others want to immerse themselves in a new culture by joining the workforce and living among the locals. Some remote employees are curious about testing the limits of their newfound location independence. There are plenty of countries that would love to have you and your U.S. dollars. For example, you can become a resident of Panama with an investment of $40,000 or Costa Rica by purchasing real estate worth $200,000.

Whether you want an exit strategy should you decide to pull the ripcord, or you’re ready to go today, here’s how to plant your 5 flags offshore to prepare the way.

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Here’s how to move you and your assets out of America in 5 steps.

1. Open An International Bank Account

The first step in preparing the way for your exit is to move some of your cash out of the U.S. You’ll need to fund your life abroad and opening an offshore bank account can be a long and annoying process.

An offshore bank account also comes with asset protection and investment benefits. You can hold just about any currency you like and no creditor can access your account.

Note that the U.S. IRS can seize your offshore account if your bank has a branch in the United States. For this reason, I always suggest you choose an international bank with no U.S. ties.

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However, very few offshore banks will accept American’s these days. Ever since our government passed FATCA, forcing foreign banks to report all accounts owned by U.S. citizens, smaller institutions have found that compliance costs outweigh the profit in accepting American accounts. As a result, we’re not welcome at about 90% of the banks around the world.

There are still a few good offshore banks out there that do not have branches in the U.S., but the list is getting smaller and the account minimums are getting larger.

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I suggest you open a small account in your country of residence, and hold the majority of your assets in a tax-free offshore jurisdiction. For example, the Cook Islands and Panama provide excellent privacy and protection to the American abroad. You will also find good international banking options in Belize and St. Vincent.

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If you’re looking for a managed account with over $1 million, you’ll find that the larger banks in Europe are open to you. Banks in Switzerland, Germany and elsewhere will accept a large account because the margins justify the compliance costs.

No matter your account size, the bottom line is that the first step to privacy and moving out of the US is to establish an offshore account. Find a bank that fits your needs and investment objectives before making any other decisions.

2. Take Your IRA Offshore

If you’re going to move abroad, don’t forget your retirement account. You can take it with you by forming an offshore IRA LLC and transferring cash offshore. This will give you total control over your retirement savings.

Once offshore, you must follow all of the same retirement account rules that apply in the U.S. So, you should take distributions when required, can’t use the money to pay your bills, and should be managing the account as a professional money manager would. For more information, contact us here.

Note that you can also use your IRA to get residency in certain countries. For example, you can invest $20,000 in Panama and receive residency (legal and government fees should be paid with non-IRA money). For more information, see How to get Residency in Panama.

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3. Get Residency In A Foreign Country

The key to maximizing the tax benefits of moving offshore is to become a legal resident of a foreign country. Turn your new country into your home base and file the paperwork to become a legal resident so you’re not relying solely on your US passport.

Remember that the US government can revoke or refuse to reissue your passport for any reason. You must secure your status as a permanent resident to minimize this risk. For more on this, see: Expats, the IRS is Coming for your Passports


As I said above, the lowest cost residency is Panama, where you can become a legal resident with an investment of $20,000 if you are from a “friendly nation.” For more, see:Personal and Financial Advantages of Panama’s Friendly Nations Visa

There are many offshore residency options around the globe. Just about every country has one if you have the cash. For example, Costa Rica is a direct competitor to Panama and will give you residency if you buy a home valued at $200,000 or more.

The key is to find a residency program in a country that won’t tax your worldwide income. Sure, you can move from the US to the UK or Canada, but what’s the point? These are beautiful countries, but their tax rates are not so pretty.

4. Set Up An Offshore Company

The next flag to plant offshore is a corporation or Limited Liability Company. If you operate a business abroad, you need an offshore corporation in a zero-tax jurisdiction. If you want to protect personal savings or a small business, go with an LLC, IBC or aninternational trust.

An offshore company will help you maximize the value of the foreign earned income exclusion and protect your assets from creditors. If you set it upright, an offshore company can be completely private and secure.

International business can also eliminate US self employment tax on your business profits. Operate as a typical Schedule C business, or through a US company, and you will pay 15% in SE tax. Setup offshore, qualify for the Foreign Earned Income Exclusion and pay nothing into the US social system.

Finally, an offshore company may allow you to retain earnings offshore. If your net profits exceed the Foreign Earned Income Exclusion, you can hold the extra inside the corporation tax-deferred. But, be careful, the IRS is watching these transactions closely.

Note: There is usually no tax benefit to incorporating offshore while you are living in the United States. Your offshore company will be tax neutral (won’t increase or decrease your US taxes). Once you move abroad, the tax benefits will begin, to accrue.

Move Out Of The US In 5 Steps (7)5. Buy A Second Passport

If you’re planning to move out of the US permanently, or even give up your US citizenship, then you need a second passport. You can move to certain countries for 5 years and then apply for citizenship, or you can buy a passport and have it in hand in 90 days to 8 months.

If you want a quality travel document, then be ready to spend $1.2 million for Malta, $140,000 for Dominica, or $300,000 for St. Kitts. These are all great passports that will get you into the EU visa-free. Malta is the only one that gives you access to the United States without a visa.

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If you aren’t ready to commit but want to buy a backup passport as a hedge against country risk, then consider a second passport from the Dominican Republic. The DR will sell you a passport for $200,000 that will get you out of the US in times of trouble and into much of the Caribbean, Japan, Colombia, Ecuador, and 54 countries in total.

This article covered both residency and second passports. If you’re unclear of the difference, take a read through: What’s the Difference Between Residency and a Second Passport?

As you prepare your exit strategy, keep each of these items in mind. It will take weeks to set up an offshore company and bank account, and months to get residency abroad. You should get started now before the lines get too long and the prices get Trumped up.

I hope you’ve found this article on how to move out of the U.S. in 5 steps to be helpful. For more information on moving you or your assets offshore, please contact us here.
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What is the process of moving out of the USA? ›

If you're planning to move out of the US permanently, or even give up your US citizenship, then you need a second passport. You can move to certain countries for 5 years and then apply for citizenship, or you can buy a passport and have it in hand in 90 days to 8 months.

What are the steps to moving out of the country? ›

Things to Do Before an Overseas Move
  1. Update Your Passport and Obtain Your Necessary Visa. ...
  2. Book Your International Ticket. ...
  3. Package and Ship What You Can't Carry Along. ...
  4. Make Copies of All Important Documents. ...
  5. Make Arrangements for Your First Night in Your Host Country. ...
  6. Purchase Medical Insurance. ...
  7. Get Necessary Immunizations.

What to do before moving out of the United States? ›

What You Should Know Before Moving Out of the US
  1. Passports Expire. ...
  2. You Will Need a Visa. ...
  3. You May Need to Be Cautious About Investing in Real Estate. ...
  4. Uncle Sam Doesn't Forget. ...
  5. Visas Expire. ...
  6. Liabilities Do Not Disappear When You Do. ...
  7. Some Countries' Bureaucracies are Worse than You are Used to in the United States.
Dec 30, 2016

What is the easiest country to move to from the US? ›

Which are the easiest countries to immigrate to from the US? Portugal, Malta and Spain are some of the easiest countries to relocate to from the United States. American citizens can either gain permanent residency or apply for citizenships via each country's Citizenship by Invest programs.

How do you move to another country permanently from USA? ›

How to Move Abroad?
  1. You can apply for a work visa.
  2. You can apply for an exchange program.
  3. You can move for your studies (short-term).
  4. You can apply for family reunification (if you have family members in another country).
  5. You can apply for an investor visa (if this is offered from your destination country)

How do I start moving out? ›

10 Tips For Moving Out On Your Own
  1. Set A Date And Stick To It. ...
  2. Nail Down Your Finances. ...
  3. Lock Down a Steady Income. ...
  4. Practice Budgeting While You Still Live At Home. ...
  5. Find A Roommate To Help Pay Rent. ...
  6. Find A Place To Live. ...
  7. Plan Your Move And Hire A Professional Moving Company. ...
  8. Gather The Basics To Furnish Your New Space.

How much does it cost to leave the US? ›

The government fee to renounce U.S. citizenship is $2,350. Additional costs might apply if you have to become tax compliant. You must be tax compliant for five years in order to renounce your US citizenship. We offer Renunciation Packages specifically tailored to U.S. citizens who wish to give up their citizenship.

How do I prepare for international relocation? ›

Your Ultimate International Moving Checklist
  1. Start Early. ...
  2. Consult an Immigration Professional. ...
  3. Sort Out Housing. ...
  4. Research International Moving Companies. ...
  5. Research Tax Laws. ...
  6. Consider Healthcare Options. ...
  7. Get Your Documents. ...
  8. Pet Documentation.
Nov 15, 2022

What do I need to do before moving abroad? ›

  1. 8 things to consider before moving abroad. Read Time. ...
  2. Understand visa requirements. ...
  3. Find out if you're eligible to work. ...
  4. Create a budget. ...
  5. Search for housing. ...
  6. Discover transportation options. ...
  7. Apply for healthcare or insurance. ...
  8. Keep up to date with COVID-19 travel regulations.

What is the best country to move to from USA? ›

Cyprus is a beautiful and highly developed nation with a low cost of living and a comfortable tax system. But there are many more: check our Best countries to move from the USA list. Greece, Cyprus, Andorra, Portugal, the Caribbean and Malta are among the most favourable places for US expats.

What is the first step to moving out of state? ›

Now let's get started!
  1. Research your new city. Before moving out of state, it's important to know more about where you're moving to. ...
  2. Check cost of living differences. ...
  3. Find a home. ...
  4. Plan a visit. ...
  5. Figure out moving and storage options. ...
  6. Set aside extra money for moving. ...
  7. Downsize and declutter. ...
  8. Update your address.
Feb 27, 2023

Where should I start moving out for the first time? ›

Start by listing the non-negotiable payments like your car, groceries, phone bill, and so on. Then break down how much income you'll need and how much you can afford and want to spend on rent. Plan your budget for moving out — including the cost of hiring a moving company or a rental moving truck.

What is the cheapest country for an American to live in? ›

Costa Rica

And you don't need to go broke while living and working there, because Costa Rica is one of the cheapest countries to live in for Americans. Bargain flights from the US can also be found easily, making a trip to Costa Rica even more attractive.

What is the safest country for Americans to live? ›

What Are the Safest Countries in the World to Live In?
  • Australia: Safe, Beautiful and Secure. ...
  • Japan: Safety in Cities and Beyond. ...
  • Portugal: Culture, Lower Cost of Living, and Safety. ...
  • Why Canada is So Safe. ...
  • Denmark: A Safe Country in Europe. ...
  • Singapore: Safety, With Restrictions. ...
  • New Zealand: Safety for All.

Do I lose my US citizenship if I move to another country? ›

No Longer Can One Lose U.S. Citizenship By Living in Another Country. At this time, no penalties exist if a naturalized U.S. citizen simply goes to live in another country. This is a distinct benefit of U.S. citizenship, since green card holders can have their status taken away for "abandoning" their U.S. residence.

How long can a U.S. citizen live abroad? ›

Absences of more than 365 consecutive days

You must apply for a re-entry permit (Form I-131) before you leave the United States, or your permanent residence status will be considered abandoned. A re-entry permit enables you to be abroad for up to two years.

Do you have to give up US citizenship if you move to another country? ›

U.S. law does not mention dual nationality or require a person to choose one nationality or another. A U.S. citizen may naturalize in a foreign state without any risk to his or her U.S. citizenship.

Is moving out good for Mental Health? ›

You can step back from your day-to-day life, and begin to understand more about yourself – positive or negative habits, toxic relationships, fears, desires, and more. Simply taking the time to understand more about yourself can be extremely valuable, and help you build a happier life and a healthier mental state.

What age is the best time to move out? ›

Many people have agreed that 25-26 years old is an appropriate age for an adult to move out of their parent's house. But to be honest, there's no perfect age for you to do it. If you are financially and mentally capable to be independent, then you should start considering moving out of your parents' house.

What is the most common age to move out? ›

By age 27, 90 percent of young adults in the NLSY97 had moved out of their parents' homes at least once for a period of 3 months or longer. The median age at the time of moving out was about 19 years. (See figure 1.)
Moving out.
CharacteristicMoved out at least once
Third quartile90.5
Highest quartile94.2
Housing owned
11 more rows

What country is the easiest to move to? ›

Best and Easiest Countries to Immigrate to in 2023: Top 5 List
  • 1.1. 1 – United States.
  • 1.2. 2 – Canada.
  • 1.3. 3 – Germany.
  • 1.4. 4 – Australia.
  • 1.5. 5 – Portugal.
Feb 20, 2023

How many times can you leave the US? ›

If you are a lawful permanent resident (green card holder), you may leave the United States multiple times and reenter, if you do not intend to stay outside the United States for 1 year or more.

How much money can a US citizen take out of the country? ›

You may bring into or take out of the country, including by mail, as much money as you wish. However, if it is more than $10,000, you will need to report it to CBP.

How much money do you need to save to move country? ›

Ideally, you should have enough savings to cover seven to nine months of living expenses before you make your move, although the exact amount will depend on whether you will be employed, your family size and lifestyle considerations.

How much money do you need to move overseas? ›

It is safe to say that international moving costs can be expensive, with an estimated average of $7,000 – $30,000. However, understanding how this figure adds up is essential to saving money and feeling more in control of your move. Read on to learn what contributes to your international removal prices!

What is the best country to relocate to? ›

  • Sweden. #1 in Quality of Life. #5 in Best Countries Overall. ...
  • Denmark. #2 in Quality of Life. #10 in Best Countries Overall. ...
  • Canada. #3 in Quality of Life. ...
  • Switzerland. #4 in Quality of Life. ...
  • Norway. #5 in Quality of Life. ...
  • Finland. #6 in Quality of Life. ...
  • Germany. #7 in Quality of Life. ...
  • Netherlands. #8 in Quality of Life.

Is moving abroad alone hard? ›

Moving abroad alone takes the uncertainty of moving abroad to a whole new level. Not only do you have to find your way around a new town or city and adjust to a foreign culture, but you have to deal with acute loneliness and having no one to look to for support, in the early days at least.

Can I keep my bank account if I move abroad? ›

Bottom line: Yes, you can keep your bank account if you move abroad. But, you need to check first with your bank to make sure that you aren't blindsided by account restrictions or unexpected fees when you do. That said, relying on your home bank account may not be the best option when living abroad.

Where can a U.S. citizen not travel? ›

North Korea (Democratic People's Republic of Korea):

U.S. passports are not valid for travel “to, in, or through” this country, home to one of the world's longest-running dynastic dictatorships.

Which country gives easy citizenship? ›

Many countries allow you to acquire permanent residency or citizenship. You can become a permanent resident via investments, marriage, naturalisation, etc. Some easiest countries to get citizenship to include Canada, New Zealand, Portugal, Thailand, Australia and Ireland.

What is the easiest European country for an American to move to? ›

What is the easiest country in Europe for an American to move to? Each country has its own stipulations regarding visas and immigration. Portugal has a straightforward Golden Visa investment program, making it one of the most popular countries for citizens of America to move to.

How do I start over in a new state with no money? ›

In either case, here are some things you should do if you're moving with no money.
Some examples of the jobs you could do include:
  1. Rideshare driver.
  2. On-call delivery driver.
  3. Babysitter.
  4. Nanny.
  5. Admin temp.
  6. TaskRabbit worker.
  7. Seasonal retail employee.
  8. Online marketplace seller.
Jul 12, 2022

How do I move out of a toxic house with no money? ›

How to Move with No Money
  1. 1 Relocate to a town with a low cost of living.
  2. 2 Apply for a driveaway company.
  3. 3 Move to a place with a relocation initiative.
  4. 4 Borrow a friend's car.
  5. 5 Move with a friend.
  6. 6 Lease a sublet.
  7. 7 Couch surf at someone else's place.
  8. 8 Stay at a hostel temporarily.

How long does it take to adjust to moving out of state? ›

It is a good idea to plan a year to 18 months for this major life transition. This does not mean that you will be feeling lost for the entire 18 months, but it's good to give yourself the expectation that it may take that long before your new place truly feels like home.

Is $5000 enough to move out? ›

If you have $5,000 set aside to move out, you don't necessarily have to worry about moving on a tight budget. Regardless, you should still make sure you are spending your money wisely. Keep reading for more information on how much it costs to move and how you can save money while moving!

How much money should I have saved before I moved out? ›

If you want a quick answer to how much you might need, then the short answer we recommend is at least 4 months worth of savings to cover both rent, bills and other costs.

What should I budget first when moving out? ›

One-off costs
  • rent.
  • utility bills including gas, water and electricity.
  • internet and phone bills.
  • groceries.
  • transport.
  • contents insurance.

What is the most free country to live in? ›

2022 rankings

In the 2022 index, New Zealand is ranked most free overall, while North Korea is last.

What is the cheapest safest country to live in? ›

10 of the cheapest and safest places to live in the world
  • Albania.
  • Portugal.
  • Costa Rica.
  • Panama.
  • Mexico.
  • Thailand.
  • Malaysia.
  • Vietnam.

Where is the best place to retire outside the US? ›

Best Affordable Places to Retire Overseas. ]
Consider these retirement spots where you can enjoy a car-free existence:
  • Paris, France.
  • Bangkok, Thailand.
  • Medellín, Colombia.
  • Lisbon, Portugal.
  • Puerto Vallarta, Mexico.
  • Milan, Italy.
  • Ambergris Caye, Belize.
  • Santiago, Chile.
4 days ago

Where are Americans moving to? ›

Florida (318,855), Texas (230,961), and the Carolinas – North Carolina (99,796) and South Carolina (84,030) – were the states with the most net domestic migration gains in 2022. Positive net domestic migration and positive net international migration significantly boosted population growth in these areas.

Where should I live outside the US? ›

The 16 Best Countries for Americans Who Want to Live Abroad
  • Vietnam. Vietnam has one of the fastest-growing economies in Southeast Asia, with a rising middle-class, low crime rates, and a way, way low cost of living. ...
  • Spain. ...
  • Ghana. ...
  • Argentina. ...
  • Bermuda. ...
  • Germany. ...
  • South Korea. ...
  • New Zealand.
Jan 27, 2023

What is the number 1 safest state in America? ›

1. Vermont. Vermont was the safest state in the US in 2023, with a total score of 68.79. Vermont ranks second for Personal & Residential Safety and first for Workplace Safety.

Which country welcomes immigrants the most? ›

Looking to immigrate to a new country? We have listed the top 10 countries that welcome and accept immigrants in 2023.
  • Canada.
  • Australia.
  • New Zealand.
  • Germany.
  • United Kingdom.
  • United States.
  • UAE.
  • Norway.
Jan 24, 2023

Which country does not allow dual citizenship? ›

List of countries that do not allow dual citizenship
AfghanistanIranSan Marino
AustriaKazakhstanSaudi Arabia
BahrainNorth KoreaSlovakia
10 more rows

How much does it cost to move out of the USA? ›

However, international moving costs are more than a plane ticket; your expenses can include moving services, visa and immigration fees, temporary housing, expat health insurance, and potentially storage. The average cost of international moving is approximately $1000 to $10,000 USD.

How much money do you need to move out of the USA? ›

The travel community online often suggests from $5000 to $8000 USD per person as a starting budget to move overseas. To calculate the budget that's right for you, review these five areas of finance and lifestyle.

When can you legally move out USA? ›

What Age Can You Legally Move Out? Parents are legally responsible for children in their care until they are 18 years old. This means providing them somewhere safe to live. You can move out if you're 16 or over, however, your parents will still be responsible for your wellbeing until you turn 18.

How to move out of the US to Europe? ›

Options for Moving to Europe: To legally reside in a European country long term, you need a foreign residence and/or work permit. The first step is usually applying for a visa from your home country. Once approved, that visa allows you to enter the country you're moving to with your U.S. passport.

Is $5,000 enough to move out? ›

If you have $5,000 set aside to move out, you don't necessarily have to worry about moving on a tight budget. Regardless, you should still make sure you are spending your money wisely. Keep reading for more information on how much it costs to move and how you can save money while moving!

What is the cheapest way to move belongings overseas? ›

Ocean freight is the cheaper option for intercontinental moves, and roughly 90% of international moving customers use ocean shipping. However, it's also slower than air freight. On average, international moves by ocean take six to eight weeks.

What is the best country to move to from the US? ›

But there are many more: check our Best countries to move from the USA list. Greece, Cyprus, Andorra, Portugal, the Caribbean and Malta are among the most favourable places for US expats.

What country are Americans moving to? ›

Mexico is the top destination for Americans moving abroad, followed by the U.K., Canada and Australia. So far in 2022, ~75% more Americans have moved to Mexico than Canada. Portugal has seen the biggest percentage increase in Americans moving in (+122% from 2019-2021)

How much money should I have saved by 25? ›

By age 25, you should have saved about $20,000. Looking at data from the Bureau of Labor Statistics (BLS) for the third quarter of 2022, the median salaries for full-time workers were as follows: $690 per week, or $35,880 each year for workers ages 20 to 24.

How much money should you save before moving overseas? ›

However, a good rule of thumb is to have between 6 to 12 months' worth of living expenses before you actually move (12 to 18 months is even better).

What age do most people move out? ›

While there are a lot of factors involved, the average age when people move out of their parent's home is somewhere between 24 and 27. This makes logical sense – it's after many people have completed college and around the time when most people get married and/or are in a long-term relationship.

What can I do if my 17 year old refuses to come home? ›

Call the police. - This sends the message to teenagers that it is not okay to leave home without permission. - The police are responsible for the safety of citizenry; your child is not safe if you do not know where he is.

Can Americans move freely in Europe? ›

Will U.S. citizens need a visa for Europe? American citizens are currently granted entry into Europe without a visa. For this reason, they do not need to check visa requirements. This only applies to short-term trips, so if US nationals decide to move to Europe permanently, they need to obtain the relevant visa first.

Is it hard for a US citizen to move to Europe? ›

Most European countries have difficult paths to residency but don't worry, there are still plenty of countries with long-term living options. There are 16 European countries that are easiest for U.S. citizens to move to, including popular destinations like Spain, Portugal, the Netherlands, Germany and Estonia.


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