The Millionaires Are Leaving! (But it’s not for the reason you think)
I read an interesting report, linked below, yesterday which talked about the migration patterns of millionaires from the USA (which sounds like birds were being studied).
The short of it is that there’s been a net out migration of millionaires in the US (that is, the sum of millionaires coming to the US is exceeded by the sum going out of the US). The report states that this affluent group is leaving the US primarily to chase the American dream abroad as they believe the rising crime rates and regulations specifically targeted against them are leading to a hostile environment in the US. The report states that they are not leaving the US for tax reasons but primarily for safety and financial diversification purposes.
The wealthy already utilize lower tax rates through capital gains rates, depreciation from real estate holdings, and use of debt financing on their stock and real estate portfolios, which is why I agree with that report.
What the report does miss is that migrating out of the US is not reserved solely for the wealthy. Someone earning $100K-$200K/year (even less) can realize tremendous value from relocating out of the country and paying little to no tax through the use of the tax code. They can then use that money instead to invest in stock, real estate, precious metals, etc and accrue net worth. Plus moving to a country with a lower cost of living translates to further savings which can then be invested.
You might be thinking that it’s not so easy to do that. I don’t disagree, but it’s far from impossible and very much worth the effort (besides, nothing that’s valuable is easy to accomplish). If relocating to save on taxes and build wealth is of interest to you, reach out to me and we can schedule some time to chat.
-Stephen Morris
LINK TO ARTICLE - https://cdn.henleyglobal.com/storage/app/media/HP_USA_Wealth_Report_23.pdf
