Not in all cases, but a lot of expatriates are lucky enough to get great packages with their employment. Housing, school fees, transport and more. This totally changes financial planning. It not only allows for more disposable income to be saved but it also means a lot more risk of losing all those benefits. After all, as soon as an expat resigns, is fired, is made redundant, loses their job due to illness or injury or even [touch wood] passes away, he or she and their family will will be losing all those benefits thus provisions would be made to offset those risks.
2. Threat of Terrorism
Expatriates are being sent all over the world for their occupation. Some of which are going not only to terrorism rich countries but also those countries that won’t have the best response and healthcare to deal with certain fluke situations.
Recent news has showed us that even the traditionally safe countries are not places free of terrorism. All this being said, it goes to show that estate planning and life insurance is more important for expatriates due to the added risks of their movements.
3. Portable People
The movements of expatriates can be culturally rich, especially working for companies that move their staff around a lot. But it can also be tiresome each time an expat moves country. Housing, bills, school fees, bank accounts and insurance policies are among some of the most significant aspects that will change frequently. When dealing with financial planning for expatriates, an advisor would need to take certain precautions, use portable products and plan for these moves to have the least amount of financial interruption.
Currencies can become quite a headache when living overseas. Your spending power and bills are often increasing and decreasing every day due to fluctuating currencies. Salaries can also fluctuate month by month for many expatriates inline with currencies. And if the expat is travelling a lot for work it can add an additional layer of complexity. Something that financial planners working with expatriates know all too well.
Different countries will have different laws, attitudes and penalties when it comes to financial regulation. Living and working overseas requires knowledge of these local regulations to not get caught out however innocent of intentions.
GMS have been on the ground in Jakarta, Indonesia for over 20 years providing advice and access to international products for expatriates in Indonesia. The most popular services/products offered are: