US Expat Financial Checklist

Last updated: March 2026

TL;DR

Notify US banks 60-90 days before moving. Set up a US mailing address.
Open an Interactive Brokers account before or right after moving — most US brokerages restrict expats.
File FBAR by April 15 (auto-extension to Oct 15) if foreign accounts exceed $10,000.
File FATCA Form 8938 with your tax return if foreign assets exceed $200K/$400K.
US tax return due June 15 (automatic 2-month extension for expats). Request extension to Oct 15.
Avoid local European investment funds — they are PFICs with punitive US taxation.

Notify US banks and brokerages of your upcoming move (60-90 days before). Ask about their policy for non-US residents.
Set up a US mailing address — family address or virtual mailbox service (Earth Class Mail, Traveling Mailbox). Required for US financial accounts.
Open an Interactive Brokers account — one of the few brokerages fully serving US expats worldwide. Do this before moving if possible.
Review brokerage restrictions — Vanguard, Fidelity, and TD Ameritrade may restrict or close accounts for non-US residents.
Gather tax documents— prior year returns, W-2s, 1099s, state tax filings. Understand your departure state's tax obligations.
Research destination tax treaty — check if your country has a US tax treaty and totalization agreement (Social Security).
Consult a cross-border tax advisor — ideally one licensed in both the US and your destination country.
Document state domicile change— update driver's license, voter registration, vehicle registration. Some states (CA, NY) are aggressive about continued taxation.

FBAR (FinCEN 114) — File if aggregate foreign accounts exceed $10,000 at any point during the year. Deadline: April 15 (auto-extension to October 15). Filed online via BSA E-Filing. Penalty: up to $10,000 per non-willful violation.
FATCA Form 8938 — File with your tax return if foreign financial assets exceed $200,000 single / $400,000 joint (last day of year) or $300,000 / $600,000 (at any time). Penalty: $10,000 for failure to file.
US tax return (Form 1040) — Automatic 2-month extension to June 15 for expats. Request additional extension to October 15 via Form 4868. Interest runs from April 15 on any tax owed.
Foreign Tax Credit (Form 1116) or Foreign Earned Income Exclusion (Form 2555) — claim one or both to avoid double taxation. FTC generally better for high-tax European countries.
PFIC reporting (Form 8621) — file for each foreign mutual fund or UCITS ETF you hold. Required even for small holdings.
State tax return — check if your departure state requires continued filing (CA, NY, NM, SC, VA are common).
Foreign gifts/inheritances (Form 3520) — report if received gifts from foreign persons exceeding $100,000 in a year.
Foreign trust reporting (Form 3520-A) — if you own or benefit from a foreign trust, pension, or Assurance Vie.

Keep at least one US checking account active — for tax refunds, Social Security, US credit card payments, and as a USD holding account.
Keep a US credit card — building US credit history from abroad is difficult. Pay the annual fee to keep cards active.
Open a local bank account — required for salary deposits, utility payments, and building local financial history.
Consider a multi-currency account — Wise (formerly TransferWise) or Revolut for competitive FX transfers between USD, EUR, GBP, CHF.
Track all foreign account balances monthly — needed for FBAR aggregate threshold calculation. Use ExpatFolio to automate this.
Understand FATCA reporting by banks — your foreign bank will report your account information to the IRS automatically under intergovernmental agreements.

Invest in US-domiciled ETFs — VTI (US total market), VXUS (international ex-US), BND (US bonds), VNQ (US REITs). These are not PFICs.
Avoid European mutual funds and UCITS ETFs — all classified as PFICs with punitive US tax treatment (highest ordinary rate + interest charge).
Use Interactive Brokers — multi-currency trading, access to US markets, competitive FX rates, available to US expats globally.
Consider individual stocks for European exposure — individual stocks are never PFICs, regardless of where the company is domiciled.
Maintain Roth IRA contributions if eligible — use FTC (not FEIE) to preserve earned income for contribution purposes.
Do not contribute to foreign retirement plans without advice — complex US tax treatment, possible foreign trust reporting, uncertain deductibility.

Health insurance— enroll in your destination country's system (public or private). US health insurance rarely covers you abroad. You are exempt from ACA individual mandate while abroad.
Life insurance — review existing US policies. Some may lapse if premium address changes. International life insurance policies exist for expats.
Property insurance — local property insurance for any real estate purchased abroad. US umbrella policies typically exclude foreign properties.
Evacuation/repatriation insurance — consider for medical evacuation coverage back to the US.

Check your country's tax treaty — the US has treaties with most European countries. Key provisions cover employment income, dividends, interest, capital gains, and pensions.
Claim treaty benefits on Form 8833 — if you take a position on your US return that differs from statutory treatment based on a treaty provision.
Understand the saving clause — the US reserves the right to tax citizens on worldwide income regardless of treaty. However, treaty credits apply.
Totalization agreement — prevents double Social Security taxation. If your country has one, you pay into only one system at a time.

This checklist is for informational purposes only and does not constitute tax, legal, or financial advice.

ExpatFolio tracks your foreign account balances, monitors FBAR/FATCA thresholds, and flags PFIC risks — so you never miss a deadline.

Complete FinCEN 114 guide

Form 8938 thresholds and reporting

Dual taxation deep dive

Investment strategies for expats