Want to go offshore to reduce taxes, build personal freedom, and grow your wealth?
Creating a plan that manages your global business structure, offshore banking, second residence, tax residence, citizenship, and investments is complicated enough in the era of the "Nomad Tax Trap".
However, many people who come to us ask "How do I maintain my offshore structure once it's set up?"
While it's true that some parts of an offshore plan will need to be renewed or kept up to date, a properly created plan won't need constant changes.
We all love getting something for free, especially when it comes to potentially expensive things like plane tickets.
If you are a digital nomad or perpetual traveler, you probably have tons of airline and credit cards for collecting airline points.
Those cards represent a tie to your home country.
Be aware, if you are trying to make a tax reduction strategy for yourself, maybe you should think about getting rid of those cards, as they are just making the process harder.
One of the most interesting ways to obtain second passport is through your family and heritage, that is, through citizenship by descent.
And Armenia could be one of the countries with the easiest process of getting this type of citizenship.
You don't have to learn their language nor their constitution - all you have to do is prove that you have Armenian roots by gathering relevant documents, such as birth or baptismal certificate.
If you’re not familiar with the term, FBAR is the report of foreign bank and financial accounts for all US citizens involved in such actions.
The important thing to keep in mind is that there is only one way to escape this obligation and that is renouncing your US citizenship or your Green Card.
Attention: if you neglect to file this report, you'll be facing some severe penalties.
Ever since the digital nomad movement has taken off, people started to enjoy this feeling of not knowing where they'll end up next week or month. And that can be possible if your goal is to explore the world and not run a serious business.
However, if you're planning on building something bigger and earning lots of money, you'll soon realize that not having a planned schedule is not so convenient anymore.
We are talking about the new level of digital nomads - successful location independent entrepreneurs.
There are a lot of rumors regarding US citizens opening offshore bank accounts and if it’s possible at all.
And while it's true that some European banking centers like Switzerland and Lichtenstein closed their doors to the US citizens’ investments, due to FATCA, it is and it’s always been perfectly legal to do business outside of the United States.
In fact, there are a lot of other, maybe unexpected places, where it’s quite easy to open a bank account, even for US citizens, like Hong Kong, Armenia, and Georgia.
All you have to do is to forget about the "historical" offshore havens and get the different mindset
A phenomenon of "super savers" has become very popular lately, with financial gurus and consultants motivating people not to buy extra, unnecessary things, like Starbucks coffee, in order to save money for the future.
In our opinion, the only reasonable situation to do this is if you're part of the system and you have your stable monthly salary.
However, if you're "your own boss", you probably shouldn't be bothering yourself with these small savings, but try to figure out how you can increase your income or go somewhere where you can save a lot more of your money by not paying high taxes.
So, sacrifice temporarily, in order to grow in the future.
And buy your Starbucks coffee if you really enjoy it.
What makes the perfect country? Does it even exist?
There are a lot of factors and they are mostly individual and personal, but everyone can agree on some common ones, that make a country "perfect" to live in.
Good standard of living and infrastructure; friendliness of people and friendliness towards business and foreign investments; personal freedom; tax rate...
Maybe it sounds surreal, but those countries DO exist, you just have to find them and go where you're treated best.
At Nomad Capitalist, we preach to "go where you're treated best".
Beyond legal tax reduction or wealth creation, global citizens should also demand the best from daily interactions.
Being self-aware of the cities you want to live in, the service you expect, how your employees should work, and what you want out of life is important. Many digital nomads and perpetual travelers often ignore this, choosing to believe that ignorance is bliss.
By demanding the best in life, you're more likely to get it... and that's what the Nomad Capitalist lifestyle is all about.
If you're not satisfied with how you're living, you need to be aware that there is no magic pill to make it disappear.
Living the life you wish for, a different life with more freedom and more money requires action - something HAS to change.
What is more important, no one can do the stuff for you, you'll need to make a decision and find "a place where you're treated best".
Are you an aspiring Nomad Capitalist or digital nomad who wants to start a high-income business outside of your home country?
Millions of entrepreneurs, solopreneurs, freelancers, and investors have discovered how to create location independent incomes living and working from anywhere in the world.
However, the idea of starting a business outside of your country can be confusing, especially if you are doing that in a completely different country from your own. You may face cultural shocks, misunderstandings and other difficulties.
It's getting harder and harder to become a dual citizen.
And even though most countries want to attract high-level people that are putting a substantial amount of money on their bank accounts or buying real estate, they are making it harder on a lower level.
In other words, they are tightening their citizenship laws in order to make it difficult to naturalize and get a passport. This is thanks to abuse of the system, but it impacts law-abiding passport seekers, too.
The best time to start working on your second passport strategy is NOW, because the cheapest and easiest options may become unreliable as the trend makes second citizenship harder to get.
Living the Nomad Capitalist lifestyle isn't always about saving money.
In fact, some products, services, and experiences actually cost MORE when living overseas. While you may pay less for rent, buying real estate, or eating out in another country, other products - especially luxuries - may cost more. You also may not be able to buy all of your familiar products in a new country.
Of course, there will be new products and services you've never seen before as well.
For most people, the life experiences, greater freedom, lower costs overall, and lower taxes that come with living overseas will be more than enough to make up for the things that cost more or just aren't available.
The best part about being a Nomad Capitalist is that you can arrange your life to take advantage of the best of all worlds and get the products and experiences you want and need in each different place.
A reader wrote in to ask: "Do I need an offshore bank account if I don't have a lot of money"
The answer, as it often is, depends on the circumstance. For many people who want to become Nomad Capitalists, opening an offshore bank account is a first legal step to "dip your toe in" and get started with this lifestyle.
That's because you don't need to relocate or even try hard to open an offshore bank account.
In addition to the mental benefits of banking offshore, you may as well be "future proofing" your life by starting now, even if you don't have many assets.
Are you familiar with the Kaizen approach? The definition says that it is an approach to creating continuous improvement based on the idea that small, ongoing positive changes can result in major improvements. We say that you should ask yourself: "What do I really want? What is holding me back on this journey of becoming a nomad? How am I going to achieve it?" The truth is, there is no right or wrong way to do it - you can dive right in or you can make small steps every day, every week, every month until you reach your dream.