What you need to know if you are moving overseas for work
The federal government's Smartraveller website says about 1?million Australians are living and working overseas, and the number is growing.
According to the Australian Bureau of Statistics, in the year ending June 30, 2018, 289,000 people left Australia to live overseas. It's an increase of 12,200 on 2017.
And if you're soon to join the global community of working expats, creating a money checklist is a good step to ensure your financial and property affairs are in order.
Alfred Moller, Omniwealth expat lending specialist, says there are many things to consider when planning to move overseas for work, including:
- Open an international bank account for transactional and savings capabilities. Financial institutions such as HSBC, Citibank, Deutsche Bank and Bank of America are well suited, depending on the country where you will be living.
- Find suitable schools for children. Doing some research before moving will minimise hassle and narrow your options on arrival.
- The family home. Consider how it will be managed. Assess the security needs if leaving it vacant; consider renting the property to generate passive income; consider leasing the property using a property manager or short-term rental manager; and consider a family member or friend managing it via an Airbnb account.
- Speak to a mortgage broker and review your interest rates (once overseas it can be difficult to negotiate an Australian home loan).
- Consult a financial planner to revise your expected overseas income, current budget and financial goals as an expat.
- Inform your accountant about working overseas, nature of contract/conditions and expected duration as tax issues may need to be reviewed.