Citizenship

[DeputyDavid]

I saw this in the BKK Post.  Interesting.  Any USA expats having issues with their pensions and such?  I asked my tax person and she said that I will have to pay federal tax on my retirement no matter where I live.  California is looking at a bill that will allow the state to collect tax as well if the income for the retirement was made in CA.  EVERYONE wants a cut.  I know Thai citizenship is out of the question, but what do you do?         YOUR thoughts?

http://www.bangkokpost.com/business/news/363887/us-citizenship-renunciation-soars

[Voodoo]

Yes, that's true.. I've already found that out as well.. The Feds are going to get their money no matter what.. Depending upon your income they are now taxing your social security as well.. They just started that a few years ago.. It now means you're being taxed twice on the same money.. You paid taxes on the money they took from you all these years.. Now they're taxing you again and they have the nerve to call it a benefit now, but there's nothing you can do about it.. I've always had to pay taxes on my military retirement because with the military I never paid anything into the pension fund.. So that one I can live with.. Luckily Pon and I are from Florida where we have no state income tax but we do have to pay federal tax in the pensions we draw from the state of Florida.. Being from California you're, probably, screwed on that one if it's a state or even local or county pension that you never made a contribution to.. That's about all they can do there.. Good luck to them getting anything else they want to try through the courts.. You don't hear much about it unless you live in California.. I have a few good friends out there and the state is constantly trying to come up with all sorts of new ways to rip the residents with taxes.. Most of them wind up being declared illegal and get thrown out by the courts.. But there's no way to duck the federal side..

Look out come January too.. This Obamacare thing goes into full force.. Since medicare is useless  in Thailand I asked about cancelling my part B medicare, which now costs me $106 a month.. I can't get an answer from social security or anyone on that one.. If I do cancel it then come January I may be fined for not having adequate medical coverage under Obamacare.. Since the IRS will be running Obamacare there is a provision in the law allowing them direct access to your bank account.. That means if you're and expat and have stateside account then the IRS will have access to your money.. That part is already being fought in the courts.. If we don't win this one in the courts we're screwed.. We might as well be from Cyprus where they just took the money from people's accounts without their permission.. If you're an American the US govt has a long reach.. Just because you're in Thailand and an expat doesn't mean they can't hurt you.. Food for thought guys.. Stay informed and if you still have the desire to VOTE.. Get that absentee ballot and VOTE..

[urleft]

Carefull Ed, most of the members here love Obama, and think us Yanks are greedy/insensitive for not believing in GVT healthcare. 

I am still trying to figure out the tax issues of living here. Got my TW an ITIN, and saved a lot on taxes, however had to report her Thai earned income.  I did what was in my benefit.  Last year, I got more back than I put in (if you don't count SS and Medicare).

Dave, if you don't have an ITIN (Individual Taxpayer Identification Number) for your TW take a look at getting one. 

[DeputyDavid]

Thanks for the reply guys.  BTW, I am not an Obama supporter by any means. As far as the ITIN, the TW has a SSN.  What I was hoping to hear is that someone found a way around this problem.  It seems so far, as not to be the case.

Voodoo, as far as insurance in Thailand....  The medical side of SocialSecurity, say if you have a hospital visit in Thailand, my guess is that the hospital does not do any insurance filing for you, but can you file for any reimbursement from social security?  I will also have retirement benefit of an insurance plan from county gov. retirement,  as well as social security.  My guess is that I will be sending documents to them for reimbursement.  Have you had any experience using any type of insurance in LOS? 

And as always, I thank you all for the help!

[bart simpson]

Medicare will not pay for anything outside of the USA. You will need to return to the US for medical care or pay out of pocket.
http://americansabroad.org/issues/healthcare/general-information-about-medicare/

Another thing to consider is if your wife lives with you in the US for five years or more she will be eligible for your Social Security benifits here in Thailand. My wife lived with me in Northern Virginia for 6 years so when I die they will send my check to her here in Thailand for the rest of her life once she reaches 62 years old.

[DeputyDavid]

Good to know Bart, thanks.  I let her know too since I am betting I will be gone by the time she is 62 (probably.)

[Voodoo]

Thanks Bart.. You're right on the money.. I've been told the same thing here in Florida.. You are also dead right about Social Security.. Right now my wife is collecting her own social security but once I'm gone she will start collecting mine instead.. Since mine is higher she gets the higher amount.. Thanks again for the info..