Moving to Australia permanently requires careful consideration of tax implications, currency choices, and investment platform compatibility. Seek professional advice to optimize your cross-border financial strategy, ensuring compliance and effective management of your portfolio during the transition.
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“Moving to Australia permanently, have a good chunk of $ in Investnow. From my understanding, I can either leave it in nz and transfer AUD to an NZ bank account and continue investing as long as I declare foreign income with the ATO. Or is it best to take all the money out, transfer it to AUD and invest via an Australian platform? To me, it seems to make sense to transfer to Australia, and if so, what would be the best option to transfer a large amount of money to an Aussie bank account?”
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When moving to Australia permanently, there are a few considerations regarding your investments. It’s crucial to consider any tax implications and the ease of managing your investments from abroad. Here are some general points to consider:
Tax Implications:
When considering a permanent move to Australia, it’s crucial to understand the tax implications of your investments. Research the tax laws in both New Zealand and Australia, paying special attention to how they may impact your portfolio. Seeking guidance from a tax professional well-versed in cross-border financial matters can ensure that you comply with regulations in both countries and optimise your tax position.
Currency Considerations:
Evaluate the costs and benefits of keeping your investments in New Zealand versus transferring them to Australia. Transferring funds across borders involves currency conversion fees and exchange rate risks. Compare the expenses associated with currency conversion and assess the potential impact on your investment returns. Understanding the long-term currency outlook and potential fluctuations can help you make an informed decision about whether to keep your investments in NZ dollars or transfer them to Australian dollars.
Investment Platform and Management:
Research Australian investment platforms to determine if they offer investment options and fees comparable to your current platform in New Zealand. Consider the ease of managing your investments from Australia and accessing your funds. Assess whether the benefits of consolidating your investments on an Australian platform outweigh any potential drawbacks, such as unfamiliarity with the platform or changes in fees.
Transfer Options and Compliance:
Explore different methods for transferring a significant amount of money to an Australian bank account. This may include wire transfers, online money transfer services, or utilising your bank. Evaluate the fees associated with each transfer method and ensure compliance with financial regulations in both countries. Keeping abreast of regulatory requirements is crucial to navigating the cross-border financial landscape successfully. Diversifying your approach and seeking professional advice can contribute to a well-rounded strategy for managing your investments during your move to Australia.
Hope this helps.
Regards, Clive Fernandes (Financial Adviser)
Director – National Capital
Disclosure: I am the director of National Capital, a KiwiSaver advice firm. The views expressed in this article are the views of the author. The information provided is of a general nature and is not intended to be personalised financial advice. You may seek appropriate financial advice from a Financial Adviser to suit your individual circumstances or contact National Capital.
