How to get paid USD or HKD?

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  1. #1
    inprov

    How to get paid USD or HKD?

    My husband's company is willing to pay him any way that he would like. They are going to pay directly for our apartment and school, so those are 2 of our major expenses. we will still have some bills to pay back in the States. How should we get paid. For tax purposes(in the US), they will structure it any way that we would like. What do you think? Should we just keep quiet about our free apartment? Is trhat even legal, or ethical? Man, I can't stand Bush and his stupid tax laws. It astounds me that the US has such a crappy (can I say that?) education system with all of the taxes that I pay!

    Off topic... Will I be alright as a completely uncouth and loud American in HK? Will everyone hate me? At least I am not fat, or I would be in big trouble.


  2. #2

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    I don't know if being uncouth and loud will garner you disdain, but being ignorant might.


  3. #3
    inprov

    Ignorant how? Poking fun at American stereotypes? Being familiar with the latest revisions in US tax law? Have a sense of humor! This is a stressful time, my tone is obviously sarcastic...

    Having spent time in Asia (and many other places outside of the States), the cultural differences are obvious between Asians and their North American counterparts in terms of being outspoken and brash. We recently had some guests visiting us from China. One of them had never been to the States and he was shocked by the sheer girth of those around him. I can certainly use a more formal vocabulary if need be. (I am sure I would shock you now if I told you my profession!)

    I am not here to attack anyone. Relocating in 8 weeks- selling a home- adjusting your career- saying goodbye-finding schools and a new home all with no relocation assistance- this is quite a lot to deal with.

    Having a sense of humor, even a self-deprecating one, is a good thing!


  4. #4

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    Actually, I'm a very recent US citizen and am certainly not the fanatically patriotic type (give me some time). I apologize if I misunderstood the intent behind your post, but I was certainly not offended.

    While I disagree with the typical American stereotype (I've travelled to nearly 40 countries - not including business trips - so I have some basis for comparison), my earlier post was actually in reference to your comment regarding taxes. I'm no Bush apologist, but I do believe in placing blame where it lies and not bashing scapegoats. Unfriendly tax levels have always been a legacy of the far left, but it appears you are referring to the recent tax law changes. These were not promoted by Bush. It was, in fact, Chuck Grassley (R- Iowa) who snuck in these expat-unfriendly provisions.

    Frankly, I think the law requiring US citizens and resident aliens to pay taxes regardless of employer and location is far more odious and "stupid" than the recent changes. I might also mention that Senator Jim DeMint (R- South Carolina) who is supported by Bush has been pushing for the removal of exclusion caps which would effectively eliminate the US income tax burden on expats.

    Sorry if I bored you with an extended off-topic discussion of taxes and politics, but I felt you deserved an explanation after my admittedly terse response. And I certainly don't want to add any additional stress. I'm in a similar situation as you regarding our relocation, and I know how crazy things can get.

    Last edited by Submariner; 19-10-2006 at 08:51 AM.

  5. #5
    inprov

    Ooh, ignorant I am... I knew it was under Bush... Just glad my husband isn't reading this. He is certain that I blame all of the cold days, bad interest rates, and my allergies on Bush as well.


  6. #6

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    Quote Originally Posted by Submariner:
    Unfriendly tax levels have always been a legacy of the far left
    "Far left" in the US? No-one from what the rest of the world would regard as even "moderate centre left" (social democrats etc) has ever come close to holding any political power in the US, never mind "far left". It seems that your indoctrination has been proceding well...

  7. #7

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    Obviously, one's opinion of what is extreme and moderate depends on where one stands. When making blanket comments (such as those made by me and you), it is futile to use external factors (ie. other countries) or your opinions as the standard by which to measure and judge the social norm. For this reason, I have used the US political spectrum as the standard. By this standard (which is the only relevant standard when discussing US politics), there are many far left adherents in the past and present who wield political power. Whether you consider them "far left" is irrelevant. What is relevant is whether they are outside of mainstream American political discourse. That is what will determine whether they are far left or not.

    I'm a bit disappointed that you accuse me of being indoctrinated. I have strong views that cross the political aisle, and some would call me a liberal. Regardless of political belief, labeling those who hold opinions with which you may not agree as being indoctrinated (or stupid) is immature at best and fanatical at worst. While I anticipated your entry into this discussion (and looked forward to an exchange of ideas), I expected a higher level of discourse.

    Just to be devil's advocate, I'll play your game. On a worldwide political scale (which as I pointed out earlier is meaningless to this discussion), one can safely say that countries such as Cuba, Venezuela, India, and Brazil lean left to varying degrees. There are many US politicians who openly espouse fundamental elements of the socio-economic-political systems by which these countries are managed. I'd rather not point out specific examples since that would take us even further off-topic (if that's possible), but it is very obvious to even a casual observer. This, by itself, disproves your assumption that "moderate center left" adherents have never had political power in the US.

    Apologies to Inprov for the tangent.

    Last edited by Submariner; 19-10-2006 at 10:25 AM.

  8. #8

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    Quote Originally Posted by inprov:
    t I blame all of the cold days, bad interest rates, and my allergies on Bush as well.
    You will do fine here in HK and indeed in most countries around the world.. Hope you get your visa sorted - I completely endorse PDLM's post on that..

    HKD or USD doesn't really matter from your standpoint, you are doomed to pay US taxes and banks here will convert one to the other whenever you need..
    Last edited by back2HK; 20-10-2006 at 10:42 PM.

  9. #9

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    On a practical level my recommendation is ask if your company can SPLIT your salary (split wire a portion to HK and a portion to USA). That way, you'll have the income you need in both places...USA for your bill pay, investing, savings (if you use those) & HK for your local expenses.


  10. #10

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    As for expat taxes, the bulk of the current laws existed far before Bush. Furthermore, given his and Dick's fondness for the oil companies, I doubt they supported the new changes considering they're pretty costly to these companies. (i'm not a Bush supporter in any sense of the word, just telling it like it is)

    As for the HK/USA salary split and tax consequences. My understanding is that it has more to do with who's paying you. If the HK side is paying then this money should not be taxed unless exceeding the USD80k threshold (although in your case it probably does). You shouldn't pay FICA either. But if you're getting paid through the US office, you'll still be able to be exempt on the first 80k for income tax, but you'll be responsible for FICA (6.65%).

    Where the money ends up being deposited should be irrelevant. It's the source that counts. You'll have a pretty complicated situation with school and home being paid for as well as whatever other benefits. You're probably best off using a professional expat tax advisor. It's good to negotiate this service into your company's package.