American moving to Portugal with Wife, is it time?

hotelchow88 · 2021-06-14T13:13:49+02:00

Explore the challenges and advice for an American relocating to Portugal with his wife, focusing on tax implications, remote work, and family planning.

hotelchow88 Member

Member since 14 June 2021

hotelchow88Member14 June 2021 11:13:49

Kind of a complex situation but wondering if anyone can offer advice, my wife is from Portugal and we have been married for almost 3 years (this September). We are looking to relocate to Portugal from the US for the next year and possible permanently around September, at which time I can apply for citizenship in portugal/EU.

I currently work for a US company in IT making 100k, they have allowed me to work from Portugal for 3 months in the past while visiting but I'm thinking the possible tax implications of moving there permanently won't fly. I understand portugal NHR and my tax implications but has anyone done this successfully from the US company side? Wondering if the only way is to convert me from w2 to 1099, just know that IRS has a strict guideline on what 1099 is....

Thankfully my IT skills can get me another job easily but it won't be easy finding a job in the US that allows remote from Europe, retaining my existing job as long as possible would be ideal. Thankfully we have zero debt, a decent amount in savings (approx. 60k) and that buffer does provide some comfort.

It may sound odd as a man in his early 30's but I really want someone to offer me reassurance that things will most likely be OK as family obviously thinks we are crazy. I love Portugal, my wife misses portugal, we would rather have a baby and start our family in portugal. My initial goal was to save for 3-5 years on my US salary so we had enough to purchase a property in Portugal but missing the country so much, getting sick of America's culture and overpriced living (housing especially) has pushed us towards the edge.

Really the biggest thing holding me back is work, I have a solid job that I like a lot (worked here 5 years), they let me work 100% remote from home and it really couldn't get much better, removing those golden handcuffs will hurt. I know I can get another job easily living within US but it's that unknown of trying to get a US company to hire me overseas or taking a 50% paycut that's bothering me, maybe it's the American greed inside me that want's more, maybe that's something I need to work on.

Newportbeachgirl New member

Member since 22 February 2021

NewportbeachgirlNew member15 June 2021 02:37:05

I live in the US, and have been thinking to live in Portugal in a few years, like you, I鈥檓 kind of scared about leaving the US with a MAYBE getting a passive income when I鈥檓 overseas. I would not move for a 鈥渕aybe鈥� if I were you, I suggest that you try to go to Portugal for 3-6 months while working at your current job, hopefully they let you do it, at the same time try to find another part time job there and make sure it is stable, just in case if your current employer tells you it won鈥檛 work anymore and he wants you to be in the US, at that time, you already have a part time job, preferably in the IT, which you can make it full time.

I would not say bye to a $100k job just because my wife is sick of the US and misses the Portugal! This is crazy, unless you both have enough money to support yourself in Portugal for at least 2 years without working.聽

You are at a critical age, you both are not young, you are in your 30s, this is the time when couples save money for their retirements, not move to a new country without a good plan and without plan B and C and D available too. While you think you both are young, that鈥檚 true, but you are not young to move across the earth losing a good paying job and start from a scratch just because you don鈥檛 like the American culture.

hotelchow88 Member

Member since 14 June 2021

hotelchow88Member15 June 2021 14:51:31

Thank you for the insight, 100% agree with a lot of what you said, the smart thing to do is come back down to reality, stick this out, save more money and build a nest egg.

Wife and I have agreed upon staying here for another year at least, giving us time to build up more wealth, reassess next year. We are still young and have plenty of time, maybe I find a job that's willing to allow international work over the next year, or build a business.

Again, thanks for the input, always good to have an opposing view to clear the fog.