Author Topic: American in Canada in 2018  (Read 471 times)

jason

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American in Canada in 2018
« on: September 21, 2017, 11:48:24 PM »
Hi

I'll be moving to Canada for permanently in 2018 for a new job. I have a small 401k from my former employer and a sizable IRA and investment account in the US.

Should I keep these accounts (assuming I'm able to) in the US. Do I need to convert these to Canadian dollars?

J.

Phil Hogan, CPA, CA, CPA (Colorado)

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Re: American in Canada in 2018
« Reply #1 on: September 22, 2017, 07:38:55 AM »
Hi Jason

Depending on your US broker you may or may not be able to keep the 401k and IRA in the US. The regular investment account however will likely need to come up to Canada. US regulations won't let you hold the account as a Canadian resident.

By using a cross border investment advisor in Canada you'll be able to both keep the investments in USD and have them managed from Canada, including the IRA and possibly the 401k.

The also be be some opportunity to roll the 401k or IRA to a ROTH IRA in order to save some tax in the future. Special elections are required however on the Canadian side to report the ROTH.

Hope that helps and let me know if you have any other questions.

Cheers

Phil
Phil Hogan, CPA, CA, CPA (Colorado)
250-381-2400
Hutcheson.ca
phil@hutcheson.ca
* The information contained in these posts should not be construed as professional advice and is for informational purposes only.