Tag Archives: relocating

Expat Success - Make your mistakes quickly. Defining Moves - The Art of Successful Relocation. Information, inspiration and resources for the global trailing spouse, accompanying partner, international assignment, expat family, expatriate

The Secret to Expat Success… And Why.

Expat Success - Make your mistakes quickly. Defining Moves - The Art of Successful Relocation. Information, inspiration and resources for the global trailing spouse, accompanying partner, international assignment, expat family, expatriate

 

 

I knew it. Finally, the insanity that is my expat life – and most of the website – has been vindicated, and it’s all thanks to Ellen Mahoney over at Sea Change Mentoring. She introduced me to the groundbreaking advice given by a tech start-up entrepreneur, as a recipe for global success and world domination…

 

Make your mistakes quickly

 

As a person whose family motto is “Disaster soon follows”, I have long been a proponent of this approach, with no idea that I was such thought leader. I had just assumed I was incompetent and (in a rare moment of self-acceptance) decided not to fight it. It’s a phrase that could be part of every expat mission statement, and should probably replace a lot of the well intentioned advice given in the all-too-brief briefing sessions; “learn the language”, “ get out and make friends” and my personal favorite “ join a gym”… Hmmm. Instead, the secret to expat success is familiar and effortlessly achievable – the global gaffe. And here’s why.

 

1. It reminds us that we will make mistakes.

In the assignment planning stage, it’s important to focus on the positive, but in doing so we often forget that expat life is still life. Mistakes happen, and when you are in an environment with unfamiliar language, culture, rules and expectations, they happen a lot. Making your mistakes quickly reminds us to expect – and even plan – for those mistakes. Whether that means working with a destination service provider or an expat coach, doing your own exhaustive research or simply being patient with yourself while you transition (or all of the above), it’s vital to acknowledge that perfection is impossible, and good enough is, well, good enough.

 

2. We focus on ‘right’ as a victory, rather than ‘wrong’ as a failure.

I once did a stint as a sales consultant and one of the job requirements was calling customers to set appointments. It was (and no doubt, still is) a miserable task –  you knew that your cheerful introduction could be greeted with anything from interest, to polite refusal, to a torrent of abuse and a dial tone. Thankfully, I was armed with a secret weapon; the company set targets for calls made, and let the actual results take care of themselves. So every call made was a relief – one less to do, one step closer to reaching the goal. Acknowledging that mistakes are inevitable (and in the early days, we are more likely to get it wrong than get it right) is incredibly freeing. It gives us permission to focus on the actions and let the outcomes take care of themselves. It prepares us for failure, and when things do go right, we get to stop, acknowledge it for the triumph that it is, and celebrate.

 

 3. It gets you out there.

Having taken away the fear of failure, there’s nothing like the element of competition to spur us on. Experienced expats (i.e. those who have been comprehensive in their cock-ups) can entertain for hours with hilarious stories of endless mishaps, miscommunications or general disasters; just visit the bar at any FIGT conference and listen for the raucous laughter if you don’t believe me. It’s the expat version of the Olympic Decathlon, with extra points for speed, style and variety. All that’s missing is the opening ceremony, the national uniforms and the lycra. But don’t let us stop you…

 

4. It helps you to bond.

If there’s one thing that unites the expat world, it’s our inability to watch people struggle without feeling some serious empathy. It’s one of the unwritten laws of expat life; we’re all in this together, and in my mind, there is a special place in Hell for expats who don’t help each other. Putting yourself out there and making mistakes publicly transports us all back to our early days and disasters, and gives us something in common that transcends language, culture or belief. It reminds us that we are human, and we love you for it.

 

5. It makes you brave.

Fear of failure is crippling, and stops us doing so many things that would take ordinary life and make it extraordinary. By contrast, being forced into situations where mistakes are inevitable and accepting them as a mere part of life’s journey gives us the motivation to be creative, to take risks and to try new things constantly. We dream big, and even if it doesn’t work out perfectly, we don’t go home. We learn that it hasn’t killed us, and we are really are stronger.

 

So there you have it – official permission to create chaos and have fun doing it. Providing of course, you follow our lead and share all your finer moments. Now we just need merit badges and an awards ceremony…

Expat essentials. Writing a will. Defining Moves - The Art of Successful relocation. Information, inspiration and resources for the global expat family, trailing spouse, accompanying partner, global services manager, relocation service provider, destinations service provider.. you get the picture.

(Often Ignored) Expat Essentials – Writing a Will.

Yes, I know. You don’t want to think about it, much less talk about it, which is why I have been getting shifty looks from most of my expat network this week when I asked them the seemingly simple question: “Do you have a will?” Want to know how many people said “Yes”?

Two. Out of about thirty people, all of whom have high net worth, children from at least one relationship, and often dual citizenship / resident status. A little worrying, no? 

I can’t claim the moral high ground – we recently unearthed our Will, dusty from 10 years in an unmarked cardboard box in a storage container in Walthamstow. Not exactly accessible in the event of our demise, and even worse, was so out of date that the paperclip holding it together was rusty and the Feisty One was not even mentioned. So on her behalf, I am doing something about it… Here goes.

Expat essentials. Writing a will. Defining Moves - The Art of Successful relocation. Information, inspiration and resources for the global expat family, trailing spouse, accompanying partner, global services manager, relocation service provider, destinations service provider.. you get the picture. I have a new dirty word: intestate. For those of you who have been living a carefree life of blissful indifference, it’s what happens when you don’t have a will. For non-expats, the implications are unpleasant: it gives the state responsibility and control over the division of your estate, decisions about who will take care of your dependents, the timeframe it all happens and (of course) access to a large chunk of your assets via taxes.

It’s a simple fix – a Will. It’s the document that tells those left behind what you want to happen to your dependents and estate.  Most of us overthink it, imagining a torturous process requiring three weeks of desperate hunting for title deeds and old bank statements. Nothing could be further from the truth – the best wills are simple statements of intent, which give executors something to work with and a few clues about where you have hidden your treasure. Combine that with a good estate planning lawyer and you will create a plan that saves everyone time, money and heartache at a time when they are most vulnerable.

Introducing first part of the Defining Moves “Ducks in a Row” program. Our aims are simple:

  • To inspire you to act. Right now. Because this is important.
  • To get you to the lawyer on time. We want to prompt to you think, discuss, list and plan, so that any legal advice you get is based on reality, not just the bits you could remember in the car on the way to the lawyer’s office. And make sure that when whoever prepares your will asks a question, you know the answer and are not paying $300 per hour for them to watch you think about it / argue with your spouse / try to remember whether or not you mailed the last life insurance premium.

So grab your pencil and paper, and let’s get started…

 

Step one: The People.

There are three groups of people you need to consider when drafting a Will;

  1. your dependents
  2. your beneficiaries
  3. your executors

 

Dependents.

These are the people who rely on you for some sort of care, support and/or protection. Traditionally, these were children still living at home, but modern families are often complicated with blended families, shared custody arrangements, adoptive children, elder relatives and even pets added to the mix. Thankfully, lawyers have seen it all before, and, even better if you have a family as nutty as mine, are sworn to secrecy…

Make of the list of those who you are responsible for, whether physically, socially, financially or legally, and the type of care you provide. Keep it simple – the rest can be figured out later – at this stage, your task is to create a comprehensive list.

Now list any special circumstances that will have to be addressed.  For many families, this may involve shared custody, child support or special needs but for expats there may also be issues of differing nationalities, citizenship and resident status that may have tax and legal implications.

For those of you with your own business, bear in mind that you may also have professional responsibility for continuity of care of clients – check your licensing organization or professional code of conduct if you are unsure.

 

Beneficiaries.

Your beneficiaries are the recipients of your estate – usually immediate descendants, siblings, friends and charities. Typically, assets are divided equally between your children, so if you want to use a different split, make this clear to your lawyer so that they can prevent your will being subject to legal contest. Note also that laws differ about division of assets when you die intestate – half siblings, step and adoptive children are often treated differently, and the portion of the estate automatically assigned to the spouse varies widely internationally.

If you have any other people or organizations who you want to leave money to, add them to your list now.

 

Executors, Financial Guardians and Legal Guardians.

It’s your group of guardian angels, so pick wisely. These are people who you trust to administer your estate and make sure your wishes are carried out, to care for your dependents and to manage the finances of the beneficiaries if they are unable to do so. The roles carry huge responsibility, so discuss whether or not your intended choices are both willing and able. They can be family members, friends or lawyers; typically, lawyers are paid (and aren’t given custody of the children…) whereas family and friends are less likely to be.

Note that guardianship differs from child custody: while custody refers to the physical care provided by a parent (who may have no legal powers), legal guardianship may involve physical and/or legal custody, and continues until the child reaches adulthood or the guardian’s death. By contrast, especially in the modern family, custody is far more flexible and changes according to the situations of the parents.

Here’s where expats need to be especially careful, because the local laws may be very different to those of your home nation and custody / guardianship arrangements and next of kin may not follow familiar rules. In the UAE, for instance, if no will is in place, Sharia law prevails, meaning that assets and custody of children potentially follow the male line – your husband / partner’s parents, brothers and sisters. How is your relationship with your mother-in-law, by the way?

 

Step Two: The Money

Your estate is the sum total of your assets, and while many of you will be rolling your eyes that I am pointing out the obvious, I can guarantee that there will be plenty of things that you will have forgotten. The temptation is to run to the filing cabinet / junk drawer and fish out the most recent bank statement, and start noting down numbers, but don’t. Your assets are constantly changing, so you only need to include categories – current and savings accounts, property, jewelry stocks, shares, businesses, investment accounts, life insurance, digital assets (websites, videos etc) – and where those assets are held. For a starter list, click here for pdf cheat sheet.

While you are making your list, make note of who your beneficiaries are, and how they are reported. Typically, life insurance goes to the spouse, but in a world where divorce rates run at about 45%, there are a huge number of exes who are still listed as primary beneficiary. Take note, and make any necessary changes…

 

Step Three: The Decisions

Now that you have the information, you can start making decisions about how to pass on your legacy, human or otherwise. Your key priorities are the welfare of your dependents, so start with those and work from there.

Guardianship of dependents.

Who do you want to care for your dependents if you are no longer around to do so? Depending on the complexity of your family and the types of dependents, there may be more than one answer to this question, so set it all out clearly, naming each dependent individually. Talk to all the parties concerned before you head to the lawyer’s office – you may be surprised to hear who your children would hate to live with, or which relative is intending to move to Outer Mongolia next month – to prevent return visits. Factors that may affect your decision are not just emotional – also consider location (how will your children feel about leaving the country, for instance), age and health of potential guardians, relationship with other friends and family, support network and financial ability to provide care.

Include financial provision for your dependents and decide who you want to manage your estate for them if they are still minors. In many cases, life insurance helps to cover the cost of raising children, but once you include the cost of college education it may not go as far as you think.

Financial, legal and professional dependent provision will require discussion with your lawyer and with those who you nominate to take over; the good news is that if planned in advance, the process is straightforward (and certainly infinitely preferable to leaving your legal advisor / executor to try to unravel the mess in your absence).

 

Step Four: The Division

This is the fun bit, providing you have money to leave. But before you start divvying up between your offspring and the local cat protection league, here are a few pointers:

  1. Remember that your debts and liabilities (taxes, funeral expenses, etc) will be deducted from your estate before the remainder is distributed. You can offset many of these by establishing a Trust, which will will talk about in the next chapter, but for the moment, just remember to include your loans, debts and other obligations when you are cataloging your estate.
  2. Ensure that you own your assets outright before you will them away. Anything jointly owned needs careful consideration to avoid passing on a headache rather than a well-intentioned gift. If you hadn’t already discussed future plans with the co-owner(s), now is the time to do so.
  3. Now is not the time to make a point. Sure, you may have favorites, but remember that in many cases you are not just leaving behind a bequest, but a lifetime of family discord and ill-feeling – not to mention legal challenges. It may seem a lovely idea to leave the bulk of your estate to your newest grandchild/ favorite nephew or next door neighbor, but the resulting fallout can often sour the best of intentions. The same rules apply for property – find out which mementos, furniture or jewelry are most loved by your friends and family, and divide accordingly, informing all of them who has been given what. That way, any discussions, disagreements or disappointments can be directed at you, rather than unwitting recipients.
  4. While we are on the subject of leaving objects to people, think carefully about whether they want them, and the responsibility you are handing over. It’s difficult to part with things, no matter how ugly, unwanted or expensive to maintain without feeling disloyal to the person who gifted it.

Now you have done the difficult bit, it’s time to put pen to paper and make a rough outline to take to the lawyer’s office. If you are an expat, you may be advised to get legal input from both your home and host nation perspective – while the laws of your home nation usually take precedence, extended residence overseas may change the rules, so be sure to explain the situation rather than making assumptions.

You need to include:

  • Your name, and identifying details (usually your address, but if you are an expat, you will need to clarify your domicile (primary place of residence) with an experienced lawyer – it has significant tax and legal implications.
  • Names of beneficiaries; the people and organizations you want to leave your assets (whether money, housing, land, stock options, digital assets etc ).
  • The name of your executor (the person responsible for making sure your wishes are met).
  • Guardians of your dependents – Legal and physical.
  • Who gets what.
  • Your legal advisor should also include a “residual clause” that states the recipient for any assets you forgot to mention, or have been accrued since you wrote your will. “I bequeath any residue to” should take care of it.
  • Signature and date, with initials and date on every page.

Congratulations if you made it to this point- you are well on your way. In the next post, we’ll be introducing the fun stuff.. Planning your funeral, Living Wills and frustrating the tax man.

Bet you can hardly wait.

 

Further Resources:

Nolo.com – Legal encylopedia – Wills

USA.gov – advice on writing both social media and regular wills.

UK Citizens Advice Bureau information on writing a will.

Australia. gov – Resources on wills and power of attorney

expat life

Resilience and the Trailing Spouse. Especially for Gill and Sarah..

It has been echoingly quiet on this blog for the last month, with only the infrequent post and the odd lonely tweet. I’d like to blame this on the increased workload of the impending move (the eternal blight of the trailing spouse), my current role as co-chair of the Teacher Appreciation Committee (those of you who are familiar with my previous comments on volunteering will now be choking on your morning coffee) or my incredible behind-the-scenes productivity on the series of checklists that I am creating. Alas, none would be true.

expat life
Photo courtesy of ana-white.com

The truth is far less glorious. I have lost my perk.

For the last month, I have looked like a wet hen, moping around with a downcast air, a surly temper and absolutely no interest in doing anything but watching reality TV and Downton Abbey reruns. It is the pre-move gloom, biting hard, and it’s crushing my creativity.

Thankfully, this morning, my pecker is back up, all thanks to a couple of wonderful websites that I discovered – none of which have anything to do with relocation, but everything to do with creating a home. Yourself. With tools.

It turned my thoughts to previous partners in DIY crime, Gill and Sarah. Gill, who at 6 months pregnant was heaving up floorboards in our old Vicarage (don’t feel sorry for her – she returned the favor by bestowing on me the dubious honor of spreading 10 tonnes of horse poop on her very large and prickly raspberry patch) and Sarah, who flew 4000 miles to grout my tiles. (Both of these activities sound like euphemisms for something far more fun and frisky, but neither are. They are grotty horrible jobs made only bearable by having good-natured, willing and long-suffering helpers, and copious amounts of alcohol at the end.)

Hence the title of this post. Sadly, Gill has the policy of generally ignoring any blog post with the word relocation in it, because she is happily settled in rural Wales (or, as we refer to it, God’s own country. Not particularly modest, the Welsh..), with a large vegetable garden and a now glaringly absent (and therefore completely useless) gardening assistant, currently writing these words from the comfort of a warm bed, 4000 miles away from the rampant raspberry bushes and piles of manure.Having witnessed so many of my epic disasters, she is only hungry for tales of chaos, knowing that they go hand in hand with a thriving, curious and spontaneous person who relishes making mistake because frankly, they make the best stories.

Which, as you can tell from the crickets chirping in the background, has been the person who got lost for a while there.

But thanks to a morning of excellent internet connection and the wonder of Pinterest, I’m back now, and this is very good news on two fronts.

The first is that in honor of Gill and Sarah, I am including the links for the two of the best DIY websites that I have ever discovered, full of projects that you would actually want to display in your home and very, very detailed instructions.

The second? We have spent the last 2 years in San Francisco in a rented home, so not one of my geographically convenient close friends is familiar with this DIY obsession, nor my complete disregard for life, health, personal commitments and designer clothing in my pursuit of a spare pair of hands.

These unsuspecting dears are coming over to the new place for dinner on Sunday. It’ll be like lambs to the slaughter. I sense some really good inspiration coming on..

 

 The Friendly Home  (Great name, huh?)

Ana White (and here’s a direct link to her chicken coop plans)

 

Career Choice and the Accompanying Partner Survey Release. Defining Moves, The Art of Successful Relocation. Information, Inspiration and resources for the global accompanying partner expat spouse.

The “Career Choice and the Accompanying Partner” Survey is out!

Career Choice and the Accompanying Partner Survey Release. Defining Moves, The Art of Successful Relocation. Information, Inspiration and resources for the global accompanying partner expat spouse.The eagerly anticipated “Career Choice and the Accompanying Partner” survey conducted by Evelyn Simpson & Louise Wiles is now available, and it makes fascinating reading.

“This report provides a view of the assignment experience and the impact it has on career choices and aspirations from the partners’ perspective.”

Respondents answered questions relating to their prior employment status, factors affecting their desire and ability to work in their host locations, and their levels of satisfaction and sense of fulfillment with the international assignment, and the responses, conclusions and recommendations made will have expat partners across the globe nodding in agreement.

Their findings included:

  • While 78% of accompanying partners would like to work while on their current assignment, only 44% do.
  • Unavailability of work permits inhibit many accompanying partners from working, but it’s by no means the only reason seeking employment while on assignment is difficult or impossible.
  • Theoretical availability of work permits doesn’t mean its practical to get one.
  • Other practical factors, such as language mastery, are more frequently cited as impediments than the lack of a legal right to work.
  • Working accompanying partners report higher levels of fulfilment than non-working accompanying partners.

For more information or to download a free copy of the report summary, click here.

Congratulations to Louise and Evelyn!

Creating a Relocation Budget. Defining Moves, the Art of Successful Relocation. Information, Inspiration and Resources for the Global Trailing Spouse, Expat partner, accompanying partner.

8 Money Rules for Creating a Relocation Budget

Creating a Relocation Budget. Defining Moves, the Art of Successful Relocation. Information, Inspiration and Resources for the Global Trailing Spouse, Expat partner, accompanying partner.
Creating A Budget. Striking error in our hearts since 1917..

Relocating plays havoc with your money; the cost of moving, the unpredictable expenses, the loss of local financial history and the soaring banking costs all make creating a relocation budget the greatest work of fiction since Harry Potter.

Despite the uncertainty, financial preparation and clarity is vital to a successful global transition, because if you think cultural orientation is challenging enough, try learning the Mandarin for “Why has my card been declined?”.

So for those of you considering (or already) living overseas, here’s part one of the  commonsense rules to follow for creating a relocation financial plan.

1. Budget no more than 25- 30% of your net household income for housing

– including rent or mortgage, property  tax and insurance and security services. While this may seem low, it gives you greater financial flexibility, so when other unexpected costs crop up, you are well prepared.

It’s especially relevant for homebuyers – while corporate assignment contracts often include a buyout policy, in the current financial climate you may get offered far less than you expect, or even be ineligible for the program. Check the fine print carefully before you buy if you may need assistance when selling or if you move on short notice – but for maximum security the less income you have tied up in property when you lead a nomadic life, the better. Read The Golden Rules of Expat Housing – Buying a Home.

2. Make friends with your tax advisor.

Expatriate taxes are complicated and while you need a qualified tax professional to oversee them, but don’t just relinquish responsibility.

Their priority will be to complete your taxes in a timely and accurate manner, but they have a wealth of information and experience relating to your tax breaks and liabilities for future plans and destinations and can help you avoid making costly mistakes. Higher education and retirement costs continue to rise, and with expat life comes the uncertainty of where these costs will be incurred and what support (if any) is available locally.

Most locations have tax free savings or investment policies for retirements, college funds etc., but you need to get independent expert advice to help you make the right choices. My personal favorite? Grant Thornton, for their knowledgeable, down to earth, easy to understand approach.

3. Plan for the Relocation “Money Roller Coaster”..

Changing location means fluctuating expenses – often much larger than you expect. Healthcare, school and college fees, retirement, cost of living and tax liabilities all vary hugely between locations and having a financial cushion can be the difference between all going well, all going into debt or all going without.

Don’t confuse this with your emergency savings account (for more on that, see part 2);  this fund is purely to manage expat related expenses that you can’t accurately predict. Anything from last minute flights home, the extra security deposit because of your pets or extra tutoring for your children – all are common expenses that most of us will have to cough up at one point or another, so forewarned is forearmed.

Once the dust has settled in your new home, add up how much you spent relocating – it doesn’t need to be accurate to the last penny, just a rough estimate. Divide this figure by the length of the assignment in months, and set up an automated bank transfer to a separate ‘transfer expenses’ account.

If the amount seems terrifying, don’t panic. Even $100 per month over the course of a 2 year assignment will net over $2400, enough to handle most short term expenses. The key to remember is that something is better than nothing, and the earlier you start, the bigger your cushion will be.

For a guide to cost of living expenses, use Xpatulator.com as a starting point but remember to take into account your individual family needs. While local clothing or groceries may be cheap, your preferred brand of  breakfast cereal, school wear or laundry detergent may be far more expensive than the index suggests.

4. Don’t Get Used To Expat Packages.

The days of the longterm expat living in one location for 10 years or more are over – nowadays, the trend is for shorter term assignments or moving the long term employee onto local, local plus or ‘expat lite’ programs. These packages may look seductive on paper, but they are designed to reflect the actual cost of living rather than as a perk.

While your income seems larger in the short term, you are exposing yourself to longer term financial challenges (potential loss of spousal income, international college fees, privatized healthcare and changing pension benefits to name a few), so explore the long term impact of your assignment and budget accordingly before you assume your increased income is disposable.

Read 9 Essential Questions Every Expat Should Ask  and

Don’t Let Your Expat Dream Become a Financial Nightmare.

 

Coming Next: Protecting Your Credit, Life Insurance, The Expat Emergency Fund, Long Term Plan.

expat finance - money for nothing. Defining Moves, the art of successful relocation. Information, inspiration and resources for the expat trailing spouse, accompanying partner and relocating family.

Expat Finance – Money for Nothing.

Expat life plays havoc with your finances. Often you are paid in one currency but live day-to-day with another, creating a budget is impossible when you have no idea what you will need or what anything costs, and trying to keep track of your spending when you have to establish a whole new life, home and family is virtually impossible.

expat finance - money for nothing. Defining Moves, the art of successful relocation. Information, inspiration and resources for the expat trailing spouse, accompanying partner and relocating family.Every time you relocate, your expenses peak sharply – flights, hotels, car hire, home furnishings, increased fuel consumption while looking for houses.. The list is endless, and those of you who keep financial records will bear me out. And while many of these fees are paid directly by the relocating company, there are plenty that you will pay and claim back or generally be stuck with. So if you are going to have to pay out, you might at least get some benefits.

Here’s the harsh reality about expat finance. When you move to a new country, your credit history will (almost certainly) revert to zero, you will need vast amounts of documentation to open any sort of financial account, and if you are an accompanying partner you may not be eligible for an independent account. However, bear with me, because I have goods news. Used wisely, credit cards can not only make your financial life easier, but they will reward you for your excellent management..

It’s an approach that I have been using for the last two years, and I have a very nice dining table and sideboard to prove it – bought with the cash back earned simply by routing our household spending through our credit rather than debit cards, and enjoying the additional benefits of fraud and faulty goods protection while I’m at it. So if you too would like revenge on the credit card issuers who gouged you mercilessly when you were young(er) and naive, read on..

There are a number of rules in my devious master plan;

1. Get a no-fee credit card.

The earlier you have some form of local credit on record, the longer your credit history will be and, providing you manage it well, the better the rates for any future loans that you apply for will be. However, note that every application for credit causes a temporary dip in your credit score, so if you are applying for any other loans (car loan, mortgage etc., you might want to hold off until after those loans have been approved. The higher interest rate on your credit card won’t matter, because you won’t be carrying a balance from month to month, and so won’t incur charges. As for cards that charge a monthly fee, I can only ask why, when there are so many no-fee cards out there?

2. Don’t be tempted to take out store cards.

They may be easier to get, but the low credit limit and the additional pull on your credit score will hurt your credit history in the short term, and the benefits are less transferable. Keep to one card, at least in the early days. There is plenty of time to shop around later, once you have perfected your technique.

3. Sign up for online access.

For those of us who know the color of the carpet in half the airports of the world, the ability to check accounts at any time of the day or night is vital. More importantly, it allows you to keep a very close eye on your balance, your transactions and your spending patterns, which makes keeping financial accounts far easier.

4. Have Good fraud protection.

This is also essential, especially when you live in countries with high levels of internet and card fraud. Go for one that allows you to dispute a transaction online, immediately and 24 hours a day, without having to wait in a call centre queueing system. Also, check the small print for liability – in the US, Federal Law guarantees zero liability for incidences where there card details have been stolen, and $50 when the card has been lost or stolen. Note, however, that this is reliant on you notifying them within a specified time after the transaction takes place. Hence the need for online account access…

5.Get on the Cash Back Rewards Program.

Okay, so it doesn’t have to be cash back, but I have toyed with various other options (air miles, ) and became so fed up with the seemingly impossible task of redeeming them that now I just demand cash and buy budget flights from whomever I choose. A decent cash back program will offer between 1 and 2% of spend, and while that doesn’t sound like very much, when you add up the costs of relocating and regular daily expenses, you will be astonished at just how much you can gain.

6. Monitor your account activity.

We use our credit card like a debit card, and keep a close eye on our budget. For those of you who don’t have any idea what you spend from month to month, logging all your spending on one card means that someone else is keeping tabs on the money going out, and financial clarity is only a mouse click away.

It’s not just about catching fraudulent activity – you need to think of your credit card statement as a bank statement or cash flow report, and know when you have reached your limit. The detail on the statements allow you immediate, accurate access to your day-to day spending – vital information for creating an accurate financial plan and proactive financial management.

7. Pay the balance in full, every month.

No ifs, no buts. Carrying a balance from one month to the next will wipe out any benefits of the cash back immediately – it’s what the banks are counting on when they make the offer. If you can’t pay it off immediately, don’t buy it, because credit card interest rates are the most expensive ways of borrowing next to payday loans and loan sharks. If you are worried about how disciplined you can be, start small and get in the habit of monitoring your money at least weekly.

8. Keep to the credit card payment schedule.

Watch the due dates closely, because any payment before the monthly statement is issued won’t register against that statement. It sounds complicated, but the credit card company requires you make a payment between certain dates, so while you can make additional payments to keep the balance down throughout the month, make sure you make a payment according to the bank’s schedule. So, if your statement is issued on the 20th of the month, for payment by the 30th, payments made on the 19th may not count, and you may incur late payment or even missing payment fees and delinquent notices. Sounds crazy, but it’s true, so watch out for it.

9. Keep records.

Credit card companies don’t make money from good money managers, so read the fine print carefully, and remember that the minute you close your account, you will lose access to your financial records. So while the online access is vital to keeping track of your money, you may need paper records for tax and reimbursement purposes. Many unwary expats have been caught out when they close an account in preparation for leaving a country, only to discover that the instant their agreement ends, they no longer can access their past financial history with that credit company. If you will need records in the future, print off paper statements at regular intervals, up to the point when you terminate your agreement.

As someone who spent her 20’s and 30’s juggling due dates on credit and store cards and constantly dropping the financial ball, there is something intensely satisfying about turning the tables and not only using their resources to keep control of the money, but also make them pay for the privilege. Finally, a reason to smile when you open your credit card card statement..

Smug, moi?

 Photo courtesy of George Eastman House

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Coping with expat homelessness - My Family in Global Transition. Defining Moves - the art of successful relocation. Information, inspiration and resources for the global expat trailing spouse / accompanying partner.

Coping with Expat Homelessness – My Family in Global Transition.

Coping with expat homelessness - My Family in Global Transition. Defining Moves - the art of successful relocation. Information, inspiration and resources for the global expat trailing spouse / accompanying partner.It’s the latest expat dilemma in the Defining Moves household, and in answer to our newly homeless state, I’m moving in with my sister. She may be currently unaware of her impending fate, but I’m guessing that she will be the recipient of quite a few panicked phone calls to inform her within minutes of this post being published.

It’s been a tricky few weeks in our family life; a combination of relief/grief that our home (albeit not one we have lived in for the last 7 years) has finally sold. It’s the first home that the OH and I bought together, the one we spent 8 years of blood, sweat and tears (and near financial ruin) renovating, and is the place where Feisty entered the world, prophetically at high speed and interrupting a particularly good Royal Variety Performance.

It’s hosted Millennium parties, expat students, copious numbers of chickens and too many renovation weekend projects to count. Friends and family have been coerced into everything from installing septic tanks, tiling bathrooms and ripping up floorboards, regardless of ability, stage of pregnancy or copious quantities of small children. Ask most of my Facebook friends for their memories of the house and they will cite brambles, dust, chaos, dodgy alcohol, and hopefully, laughter.  But for the last eight years, it’s been rented by a number of tenants ranging from the delightful to the dire, and is beginning to show the strain.

Throughout our expat travels, it’s what we have always called home, so ten days to pack up a household and fifteen years of memories, friendships and roots were all too short. We saw so many friends that we have missed, and missed seeing too many more. All the while, we worried that we would lose our roots, our stability, and our sense of home.

But a funny thing happened as we drove away, en route to my sister’s house. As the house disappeared from the rear view mirror, we didn’t feel sad anymore. We had had a brilliant ten days, surrounded by people who we only get to see every few years, and yet we picked up the threads as if it were only yesterday. We blended back into life without so much as a ripple, and when answering questions about when we would be returning, it was clear that not only would we be coming back, but that we knew how, when and what adventures we are going to have. This particular chapter may be over, but the story is far from finished.

I had imagined that the kids would be sad, saying goodbye to the only home that they had ever known, but I had missed the obvious point. It has not been their only home, and everywhere they have lived, they have been surrounded by people who care for them, whether blood relations or friends. The people at ‘home’ have taught them about friendship, strength of character and what is really important, and those values are what the rest of our gathered global family have in common.

We have gained so much more than we have lost, and it took selling the house to realize it. We were so focused on the safety net below, we had forgotten to look at the view. Somehow, having no house to call our own meant absolutely.. nothing. We still had the laughs, the stories, the catching up and the paintball bruises. We still have friends who find time to spend with us, who tolerate the months of silence followed by hours of chaos and who understand that if we didn’t catch them this time, we will definitely see them next visit. The memories of good times didn’t disappear once the pictures were packed, and we don’t need to be in the same room to share a common ground.

As the miles began to build up between ourselves and our former home, the Wiggy One made a observation, in rather less sombre tones than you might expect.

“Auntie Sarah’s is our home now”. He was smiling when he said it.

I had been thinking the same thing only that morning, when I woke up in her house, on a makeshift Ikea bed, amid the accumulated debris of my (temporarily displaced) nephew’s bedroom. In under two weeks, my physical residence in my home nation has gone from 6000 to 3 square feet. The only things I owned were in the suitcase on the floor and in a top drawer of the dresser – my drawer.

It represented permanence, the expectation that you are returning, and when you do, you will always have a place here. It’s all the things that we treasure about ‘home’, acceptance, love, laughter and a profound sense of stability. What we didn’t realize before was that it was held in bonds not bricks, hearts and not houses and people, rather than simply places.

It’s funny what having your own drawer can do. And a wonderful, kind and incredibly generous global family, who welcome us home; wherever, whenever.

 

 

the expat relocation home inventory. Defining moves - information, inspiration and resources for the expat accompanying partner. aka the trailing spouse

Expat Essentials: Do a Home Inventory

the expat relocation home inventory. Defining moves - information, inspiration and resources for the expat accompanying partner. aka the trailing spouse
And you are insuring these??

It’s got to be one of the most loathed tasks of any move, expat relocation or not: the home inventory. Many of us choose to do a low key ‘only mention the really big things’ effort, while some of us avoid it for ever. But your home inventory is one of the tasks that can make or break a move, especially one overseas, because it provides a clear, legal record of what exactly you own, what it’s worth, and what insurance you need.

The excellent news is that once it is done, it is very easy to update – especially if you use a spreadsheet format. There are many free online versions available – Google Docs is a popular one – that also allow you to save (incredibly helpful if you are traveling and don’t want to be carrying vast folders of paperwork everywhere) and share it with others (if you want to share the workload or have a moving company facilitating the move).

As someone who is on her fifth move (who has also done 3 commercial store inventories), I have now got this whole thing  down to a fine art – and less than 2 hours. Which is not a bad return on investment when at the end you will have a (hopefully) decluttered home, an accurate assessment of your home contents for insurance purposes, and a document that you can use, amend and share forever. So here, with no further ado, is our very own expat guide to completing your home inventory without ruining your day, your relationship or your chances of being voted “Most Cheerful 2012”.

 

1. Assemble your home inventory resources.

 

  • Packing supplies – preferably commercial packing boxes (they are regularly sized, strong and easy to stack) in a range of sizes, packing tape, labels and a permanent marker.
  • Method of recording inventory – either a printed paper version or by creating your own Excel / Google Docs / Pages spreadsheet. For a copy of our printable template, click here.
  • Colored stickers – one color per category (see Clear the Decks, below)
  • Camera
  • Envelope / Scanner for storing receipts.
  • Rubbish / Trash bags
  • Children / handy helper. The jury is still out on whether or not it’s a good idea for children to help – I personally get mine working – opening cupboards, counting etc. The downside is that they become distracted by finding old toys, picture etc far too easily, so it’s a good idea to do their rooms and any playrooms when they are absent..

 

2. Home Contents Inventory Criteria – Ship / Store /Sell / Donate?

 

There will be a number of different outcomes for your home contents, so plan now for easier decisions later. Categories include

  • Air Shipment
  • Sea Shipment
  • Checked baggage
  • Hand luggage
  • Store
  • Sell
  • Donate
  • Junk

Items that you are still using can be marked with different color stickers for easier packing later, whereas those for selling, donating and junk can be packed in labelled boxes. Even though you don’t intend to keep them, make sure you still include everything but the ‘junk’ as part of your inventory.

Remember fixtures and fittings that you would want to take with you when you leave – curtains, curtain rails, specialized light fittings, period fixtures etc., or that require individual care and attention for shipping insurance purposes.

 

Create Your Home Inventory Checklist

 

This is probably easiest to do as you go along, but decide what your categories and criteria are in advance will save you a lot of time and confusion. If you are using our template as a guide, you will see that we have a number of columns:

  1. Item – a brief description of what it is – either single item or group of X
  2. Quantity
  3. Brand
  4. Destination (Ship / Store / Sell / Donate)**
  5. Total value – new / as-is dependent on insurance criteria. Denote currency.
  6. Receipt / valuation (required for high value items, helpful on others)
  7. Insured
  8. Description (required for difficult to replace, high value or antique items)
Feel free to add your own columns – I’ve added specific ones related to the shipping of household goods, but other uses include cleaning, maintenance and repair, inheritors, owners, rental period etc. Make sure you record the date, for tax, insurance and shipping purposes – you need to to be able to show that your list and value is both recent and accurate.

 

the expat relocation home inventory. Defining moves - information, inspiration and resources for the expat accompanying partner. aka the trailing spouseIf you are relocating as part of an expat overseas assignment, check customs rules on what you can import – there are many exclusions, some of which may surprise you. Pickled eggs, for instance..

 

 

Start Recording

 

Taking it room by room is the easiest, most effective way to home inventory because it lets you take it in stages and (providing you are not in the middle of a remodel or one of those people who is continually redecorating for the current season) lets you spread it over days or even weeks – perfect if you want to deal will the junk and donations categories as you go along.

Concentrate on listing every item or group (e.g. soft toys, board games, DVDs) with enough detail to recognize and value them later – columns 1, 2 and 3 in our template. If you are clear on the destination of items, apply the colored sticker (just not to valuable antiques or things with delicate surfaces, please!!) or pack into a box, list it on your inventory and take a photograph of the item /contents of the box for your records. This will be important later if you need to prove existence and value of items for insurance or tax purposes.

Don’t forget to include everything on your property – it may say ‘home contents’ on your insurance policy, but that term also covers possessions in the garage, any sheds and outbuildings, garden ornaments and potted plants.

 

Fill in the blanks

 

The remaining information is what determines loss / damage value, so you need to complete it as soon as possible and provide supporting evidence. Very few people are properly insured, and many of us have pulled an approximate figure out of the air when it comes to assessing home contents, only to find that replacing clothes is far more expensive than we realized and we have been overpaying for the horrific dinner service we inherited from Great Aunt Nellie..

Points to consider include:

  • Does your insurance reimburse cost of new replacement or current value?  Use Ebay, Amazon and online stores for a quick and easy way to accurately assess these, and give you a total value for insurance purposes. The results may surprise you..
  • Do you actually want to replace it? If the answer is no, consider selling it, or at least excluding it from your home contents insurance.

Some items can be easily bought used, but you might prefer to buy others new. Used might include sporting equipment, tools, furniture and dinnerware, whereas clothes, shoes, electric appliances and toys are more likely to be purchased new. Insure accordingly, because clothes especially are expensive to replace..

Don’s spend hours agonizing over every last item – your home inventory is a dynamic document, so you can change your mind about whether to ship, store or sell at any point until the assessors / buyers arrive.

 

Keep a Back Up

 

Now that you’ve done the hard part, make sure you keep a duplicate, either online in a free storage service like Evernote or Dropbox, or as a photocopy in your files. If possible, store it in a variety of formats (Excel, Numbers) to allow easy sharing.

I prefer not to use discs and flash drives because of their easy loss or damage, but if you have a less destructive way with hardware, they are small, portable and convenient. Note, however, that more and more devices no longer have a CD drive, so a flash drive is more universally useable.

 

Get Rid of the Boxes.

 

This is my favorite bit – I find the removal of boxes and boxes of unwanted clutter incredibly cathartic. Don’t just remove them to the garage or garden shed, where they will stay for next three years; get rid of them immediately. And then sit down and enjoy your newfound space..

It’s Zen and the Art of the Home Inventory.. Bliss.

 

** Many countries, including the US, allow a tax deduction for donation of items to charities, so record the donations and keep the receipt from the drop off centre. If your area doesn’t have this  policy, there is no need to record donated items on your inventory.

Expat Essentials: Safeguarding your longterm health, finances and family. Defining Moves - The Art of Successful Relocation. Information, Inspiration and Resources for the Expat Trailing Spouse / Accompanying Partner

Not Just For Expats: 3 Ways to Safeguard Your Life, Health and Family at home and abroad.

Not Just for Expats - 3 steps to safeguard your longterm health, family and finances. Defining Moves The art of successful relocation
My version of long term care

This post was sparked by an episode Mad Men –  a series about adverting executives in  New York in the 50’s and 60’s.  This particular one covered the characters’ responses to the Cuban missile crisis.

Kennedy was had just given his famous television broadcast, highlighting the potential threat to the US from the Soviets, plunging the characters into a frenzy of uncharacteristic behaviors.

In justifying their sudden need to fulfill life dreams and expectations, one of the characters made the comment:

” We might not be here tomorrow”,

to which the reply came;

“Isn’t that always true?”.

We all applaud the idea of living each day as if it were your last, but are incredibly naive about what that actually means. Most of us imagine finally parachuting, walking the Inca Trail or any other number of ambitious, death defying activities listed on our bucket list. It bears little relation to the reality of life and death.

The concept of seizing the day is reliant on good health, or at least mental consciousness, the absence of pain, and a considerable amount of forward planning. If I ask how many of you have checked your medical records, understand your health insurance rights and coverage, or have an advocate who knows your wishes in the event you are unable to make decisions, 97% of the room start twitching nervously and suddenly find their notes fascinating. Sound familiar?

For those of you who are now in a state of panic, let me reassure you. You don’t need to start visiting psychics, ordering crystal balls or trying to predict every eventuality – in fact, the simpler you keep it, the better.

To get you started, here are the three essentials to consider:

 

Health Insurance for Locals and Expats Living Overseas.

For those of you who don’t live in a country with a National Health Service (and for many of you who do), for any travel abroad or residence overseas, health insurance is essential. While many services and regular care can be contracted more cheaply without going through an insurance service provider, for the expense  of chronic, emergency and long term health coverage, you need a safety net.

Sadly, most insurers are for-profit businesses, which means that they are careful (and in some cases, downright difficult) about handing out money, and have many ways of avoiding or limiting it. Not being completely honest about your age, activities, destination and current or previous health is the fastest way to get your claim rejected and end up with a huge bill.

Pre-existing conditions, so-called ‘extreme sports’ and high risk behaviors (i.e. drug taking, using prostitutes) are common exclusions and many policies only cover your host country. They often specify services and providers that you can use, required co-pays and ineligible treatment and procedures. This means that either you personally, or your family, will be liable for any healthcare costs not met by the insurers, and these can stack up really, really quickly.

The basics to consider include:

  • What exclusions apply to your policy, and are they relevant to your situation?
  • What are the insured maximums, and what does that really mean in terms of local care?
  • Are you covered for transport home?
  • In the event of your death, will your remains be repatriated or is that the responsibility of your next of kin?
  • If you have company insurance, how are your benefits affected if you are no longer able to work or have to terminate your assignment early?
  • What happens if care is not available in your host country? Will you be sent home, or to another country, and if so, can family members accompany you?
  • If you are taken ill when overseas, are you covered for a family member to join you? Who will look after the children? Who will be your advocate? How do I make my wishes known in a way that is legally binding?

 

In the event of serious or long term illness, where do you want to be?

Common wisdom dictates that we like to be surrounded by our nearest and dearest, but for some, that qualifies as the one of Dante’s Rings of Hell.

As Greta Garbo is famously uttered “I want to be left alone”.

Most of the time the answer is “wherever I can get the best care”, but the reality is harsher and involves finance, family, support and legal residence issues.

For working expats, the decision is often taken out of their hands – once you are no longer able to work, your visa is invalid, and you are repatriated. For those permanent overseas residents the choices are wider, and many choose to stay where care is cheaper and there is less pressure on family members to be full time caregivers.

Returning ‘home’ is often not as easy as it seems, and may require significant adjustment –  repatriation is difficult under the best of circumstances, so expect a period of transition for the whole family, especially if you have been expats for a long period. Consider both mental and physical health needs for all the family – there are many excellent counselors that can deal with adaptation and coping issues, both for you, your partner and your children. x

Before you take the decision to move back, you will also need to check that you are entitled to healthcare benefits – either though the national health service or via your insurance – before you move; many insurance companies will not cover people with certain pre-existing conditions or will demand high premiums, and your expat insurance may only include your host country. Consider also what is included, whether it is just urgent care, inpatient care or ongoing long term care – and also, the standard of care and and waiting lists.

.

Do you have an Advanced Directive of Health Care?

More commonly known as a Living Will, this document defines who will make decisions for your care in the event that you are unable to do, and sets guidelines for your care. We tend to assume that here only apply if we have a serious debilitating illness, however having a stated person to advocate for you is invaluable for acute and emergency medical conditions too – whether you are simply under anesthetic, unconscious, in severe pain or have temporary amnesia.

Your advocate doesn’t have to be your life partner – I have chosen my sister for four reasons: firstly, we have similar decision making processes; I would rather that my partner was free to concentrate on his own needs and those of the children; she has a great relationship with my partner and I trust her to make the best decisions for both him and I without being burdened with guilt and expectations, and finally she has a great sense of humor, and if anyone can find the laughter in any situation, it’s her.

Many doctor’s offices have ADHC template forms that you can complete, but it’s worth getting legal advice – many terms vary between states and countries. Use simple language to eliminate the chance of misunderstandings, be specific about your intentions, state what treatments you are and are not willing to receive (especially in countries with different health standards and practices), nominate a healthcare proxy (someone who you trust to make decisions for you) and ensure that they understand, agree and that their contact details are accurate and finally, get it witnessed, preferably by someone with legal standing.

 

Expat Essentials: Safeguarding your longterm health, finances and family. Defining Moves - The Art of Successful Relocation. Information, Inspiration and Resources for the Expat Trailing Spouse / Accompanying Partner
How my children see it..

Ill health happens, and never when we expect it. When it does happen, it’s a knee jerk, all hand-on-deck approach, dominated by the need to get care quickly, the demands of the medical staff and the fear of the unknown. It is always inconvenient, unexpected and bewildering, and as a former nurse I can tell you that the last thing your partner or loved ones want to be doing is second guessing your choices. They need to know what you would want, and they need it in writing. It needs to be discussed, agreed upon, written down and easy to find. You can change your mind at any point, but we all need somewhere to start. 

And as a final piece of advice, bear in mind the words of wisdom from Phyllis Diller:

“Always be nice to your children – they are the ones who will choose your rest home.”

 

Expat or not, this is important.. The Relocating Expat Information Checklist. Defining Moves - The Art of Successful Relocation

Expat or not, this is important.. The Relocating Expat Information Service. You.

Expat or not, this is important.. The Relocating Expat Information Checklist. Defining Moves - The Art of Successful RelocationI have two distinct groups of readers; those who enjoy watching and hearing about my expat disasters from a safe distance, and those who are listening carefully, trying to avoid making the same ones themselves. Some are happy to stay exactly where they are and enjoy the fun, and some of you have a thirst, a career or a spouse leading you to life as a global nomad.

You all fall into one of two categories: those who hold the information, and those who desperately need it. I mentally think of you as The Knowers, and the Growers.

The Knowers (aka Locals & Expert Expats) are those of you who have lived in a place for long enough that you know where everything lives, know how to get the information and help you need, and understand the unspoken rules that make every community unique. You know which teachers inspire children, how much to spend on birthday gifts and which children have nut allergies. You know where to go to get your legs waxed, where to get your car serviced, and where to get the best deals on everything from food to children’s shoes to carpets.

And then there are the Growers (aka The Recently Relocated, the Inexperienced, Inept or Just Plain Overwhelmed).We can be easily spotted by our bewildered expression, the vast number of forms were are incessantly clutching, and by the GPS unit permanently fixed to the dashboard of our hire car. We arrive either half an hour early or ten minutes late, depending on how many times we had to stop to check your address. Our children are always under or overdressed and have Tshirts with unfamiliar writing and logos. If you happen to stop for a chat, we will either be lost for words, a little misty-eyed at your kindness or will talk your ears off for the next 45 minutes. And if you happen to suggest meeting up for coffee, our faces will light up with joy as we shout “Yes Please – Now??!!”

I spent most of my life as a Knower, rooted in the same community for the first 30 years, leaving only for college and returning faithfully each holiday. Living in the town was as easy as breathing – I knew where everything important could be found, and when a gap in my knowledge appeared, family and lifelong friends quickly filled the breach. It was a fabulous upbringing – secure, stable and even now, very little changes. It had roots.

At 30, it all changed, and I became a Grower. I had to nurture a new life, a new network and a new identity. I lost my career, my sense of self and my instruction book, and I made many expensive and painful mistakes. So many, in fact, that I have filled a website full of them. It was only thanks to the intervention of some very kind Knowers that I didn’t run screaming back home.

Which is why, following on from the last post, I’m putting together the Defining Moves version of two tins cans and a piece of string, to connect you all in the most basic of ways. No-one should have to make this many mistakes, or hit the low points that so many do, and we can at least try to do something about it. S, linked at the bottom of the page are two lists of all the questions we desperately want to ask those of you in the know, but are too shy / afraid / overwhelmed to ask.

Whether you are a Knower, a Grower or anything in between,  download it, print it, add to it and share it with schools, friends and newcomers alike. Comment if you think I have forgotten something, but whatever you do, please fill in whatever you can. It doesn’t have to be complete – one simple recommendation is enough to tell us that you have noticed us, and you do care. We need you.

We who are about to arrive, salute you.

Stuff We Really Need to Know: The Newcomer’s Checklist

What Every Parent Needs to Know

Photo courtesy of the US National Archives.