How to receive an American pension in another country, and who is eligible

The growing number of people leaving the United States to retire or live abroad raises important questions about Social Security, taxes and bank accounts. Documented explains how this affects Social Security, SSI, 401(k) and banking services.

For the first time in more than 50 years, the number of people leaving from the United States may exceed the number of immigrants to the country.

According to the Social Security Administration (SSA), more than 711,000 U.S. citizens and retirees are receiving their due payments. foreign addresses.

Economic estimates indicate that approximately one-third of immigrants to the United States eventually leave the country. Many return home due to:

• lower cost of living;
• family reasons;
• limited access to medical services.

Can I get Social Security abroad?

In most cases, yes, but with conditions.

U.S. citizens can receive Social Security outside the country if:

• they are entitled to payments;
• They live in a country where SSA can send money.

On the subject: Emergency Financial Assistance in New York: What Programs Are Available to Residents

There are restrictions for certain countries, including Cuba and North Korea.

To check availability, the SSA provides a special online tool.

Payments for non-citizens

Some non-US citizens (such as green card holders, refugees, and people with work permits) may become ineligible for benefits if they live abroad for more than six months at a time.

It's important to remember the basic requirement: to maintain permanent resident status, you must be in the United States for at least 183 days per year. Learn more about this here.

What is a Totalization Agreement?

Totalization Agreement is an international agreement between the United States and other countries.

It helps:

• avoid double taxation;
• combine pension contributions in different countries.

The United States has such agreements with many countries, including:

• Italy;
• Germany;
• Switzerland;
• Belgium;
• Norway;
• Canada;
• United Kingdom;
• Sweden;
• Spain;
• France;
• Portugal;
• Netherlands;
• Austria;
• Finland;
• Ireland;
• Luxembourg;
• Greece;
• South Korea;
• Chile;
• Australia;
• Japan;
• Denmark;
• Czech;
• Poland;
• Slovakia;
• Hungary;
• Brazil;
• Uruguay;
• Slovenia;
• Iceland.

If a person is not a citizen and leaves the United States for more than 30 days, he or she is required to notify the SSA using a special form. here.

Supplemental Security Income (SSI)

SSI cannot be received outside the United States.

However, U.S. citizens can receive Social Security disability benefits abroad if they meet certain requirements. Learn more. here.

401(k) retirement account

401(k) remains active even after moving abroad.

But it is important to consider:

• it is possible that new contributions may be stopped;
• your country of residence may tax the payments;
• financial strategies will change.

It is recommended that you discuss the following issues with a financial advisor:

• where is the account now;
• it should be left or transferred;
• Is it possible to transfer to a foreign pension fund?
• how taxes will be levied;
• How will the exchange rate affect it?
• Should the American banking trail be preserved?

Closing a bank account in the United States

You can close your account:

• by phone;
• in writing;
• in person at a bank branch.

Before closing, you must:

• pay all bills;
• cancel auto payments;
• withdraw or transfer the remainder;
• Download bank statements.

Closing an account usually doesn't affect your credit score. However, in some cases, the following may occur:

• early closing fees (usually in the first 90-180 days);
• transfer fees;
• international bank fees.

Retiring abroad requires careful planning, especially regarding social security payments, taxes, and bank accounts.