Can I keep my U.S. investment accounts when I move to Canada?
A move to Canada can be quite daunting, especially when it comes to finances. If you have a family, and have spent years accumulating wealth in the United States (in a variety of different accounts), then you may find yourself in a position of wondering, “What can I keep open? What must I close? What should I transfer to Canada? What are the tax implications? Who do I talk to about it all?!”
Those are all great questions! At Huston Wealth Management, we want to help make this process as smooth as possible for you. This article will give you a broad overview of the different accounts that you might have, and what can be done with them. For your other questions, please check out the articles on our website under the tab ‘Cross-Border Services’ here: https://www.hustonwealthmanagement.com/
Non-Retirement Accounts
Once you move to Canada, most U.S. firms will not agree to hold your non-retirement accounts. This is because they are not registered in Canada. Thus, they may force you to liquidate and move your assets. This can be surprising and unnerving. You may have tried contacting other cross-border firms but found that you do not meet minimum requirements for your wealth.
That is where Huston Wealth Management can help. As a part of Raymond James (USA) Ltd. (RJLU), Huston Wealth Management cannot hold your non-retirement accounts in the U.S., but we can facilitate a transfer of your assets to Canada and service your account here.
**NOTE** You should be aware that the U.S. and Canada tax non-registered accounts differently. And when you move your account to the “Great White North,” you will want to be aware of your tax liabilities in both countries. That is where our tax professionals at RJLU come in. They specialize in cross-border wealth management and would love to help you have a smooth transition.
You can have one cross-border financial advisor for all your accounts in the U.S. and Canada. So don’t start liquidating everything and realizing capital gains just yet.
Retirement Accounts
Whether you have a 401(k), Traditional IRA, Roth IRA, or some other retirement plan in the U.S., you can move it to Raymond James USA, and we can manage it for you. Before you make a potentially costly move, please see the articles on our website regarding the three aforementioned retirement plans.
Other Accounts (i.e. 529 College Savings, HSA)
Do you have other, smaller tax-advantaged accounts and you are not sure how to handle them? We can help with those too. At Raymond James USA, you will have access to our tax partners who specialize in cross-border wealth.
And though you may be tempted to liquidate and close smaller accounts, talk with us first to see if we can either manage the accounts for you, or come up with other options that may save you money.
Consider a Dual-Licensed (USA/Canada), Cross-Border, International Financial Advisor.
Don’t let that invisible border scare you any longer. Reach out to us and we would be happy to help you start planning for your move up north!
Disclosure: The information above is from sources believed to be reliable, however, we cannot represent that it is accurate or complete and it should not be considered personal tax advice. We are not tax advisors and clients must seek independent advice from a competent professional advisor on tax-related matters before withdrawing from their U.S. retirement plan.
Disclosure: This material has been prepared by Dean Huston and expresses the opinions of the authors and not necessarily those of Raymond James Ltd. (RJL). Statistics, factual data and other information are from sources RJL believes to be reliable but their accuracy cannot be guaranteed. It is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. This newsletter is intended for distribution only in those jurisdictions where RJL and the author are registered. Securities-related products and services are offered through Raymond James Ltd., Member-Canadian Investor Protection Fund. Insurance products and services are offered through Raymond James Financial Planning Ltd., which is not a Member-Canadian Investor Protection Fund.
Raymond James (USA) Ltd. advisors may only conduct business with residents of the states and/or jurisdictions in which they are properly registered. Raymond James (USA) Ltd. is a member of FINRA/SIPC
