Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News Editorials & Other Articles General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

BlueMTexpat

(15,519 posts)
13. Be sure to check whether your Medicare will
Sat Jun 22, 2019, 07:24 AM
Jun 2019

cover you in Mexico. Here's one site to visit: https://www.medicareinteractive.org/get-answers/medicare-health-coverage-options/medicare-and-living-abroad/medicare-coverage-for-those-who-live-permanently-outside-the-united-states

For information: https://blog.aarp.org/travel-experience/if-i-go-abroad-what-happens-to-my-medicare

If you do go abroad and are eligible to receive medical coverage through that country's system, you may end up having to pay a penalty to Medicare for the years you spent outside the system if you decide to move , back to the US. I know that sounds strange and I don't really find that it makes sense either. But please be sure to check that with someone knowledgeable.

I was eligible to retire in Switzerland (and chose that option in 2007) because I had worked here legally for 13 years before my retirement. Because I had the status of an "international civil servant," special health insurance was provided to me by my employer. Unfortunately, I had worked with two different employers: one for seven years and one for six. This meant that I did not meet the 10-year vesting period for either. Switzerland does not have a national health care system, but rather a state-monitored private insurance system much as Obamacare was intended to be. So, as a condition of my residence permit to show proof of insurance coverage, I must purchase insurance on the Swiss market. The cost is not unreasonable. I have only had two occasions where I have really needed it in the past 12 years. In both instances I found the coverage quite satisfactory and the company very helpful.

Because I travel often to the US to visit family, I chose a GP before I became Medicare-eligible and have continued to pay Medicate premiums because I tend to have most routine work and tests done in the US. Together with the Swiss, it's a lot out of pocket for medical insurance. But at least I am able to sleep at night.

Other things to see about: will you want to maintain a US Driver's License? These are state-issued and the requirements vary. But there are some new requirements called "Real ID" in some states at least where you must provide proof of residence in the state by correspondence from two institutions, i.e., bank, tax returns, etc. You may want to get all that squared away before you leave or find out what else you can do in order not to find yourself caught in a dilemma.

The last two things: taxes and voting. You are responsible for payment of federal US taxes and, in some cases, state taxes even when you live outside the US. Be sure to get this settled so that you understand your rights and responsibilities. I am not sure whether you must also pay taxes in Mexico. I only know that as a condition of my residence in Switzerland, I must also pay Swiss taxes.

Because of a bilateral tax agreement between the US and Switzerland (which I am sure that the Trump Admin will manage to botch up just as it has everything else), I basically pay no income taxes in Switzerland as per the tax law, the same income cannot be taxed twice. But where they get me is with something called a "wealth" tax - which I wish that we would adopt in the US so that the wealthy pay at least part of the share that they should. This means that while I may not be taxed in Switzerland on income generated from investments, including IRA withdrawals, I must report the Dec 31 value of all investments (excluding my IRA value), real estate, bank accounts, etc. for each tax year and must pay a tax on that. I don't pay much, because comparatively I don't have all that much. But this amount is NOT deductible from my US tax liability.

Be sue to check out tax situations that may apply to you. It is better to be safe than sorry.

As for voting, you can vote for federal candidates via the Global Ballot based on your last voting address in the US. See https://www.votefromabroad.org/

But this ballot ONLY applies to federal elections and candidates, i.e., President, Vice-President, Senator and the Representative from the state and district where you last voted. You cannot vote for any state officers, including Governor.

There is really a lot to think about with an international move. Those who plan ahead generally are most successful and happy.

Recommendations

0 members have recommended this reply (displayed in chronological order):

I lived in Mexico (Mexico City) for 4 years and LA for 13. fierywoman Jun 2019 #1
Yucatan tourism is crashing to algae bloom is causing seaweed to cover all beaches. applegrove Jun 2019 #2
Go to the Mexican consulate and get the proper visa Recursion Jun 2019 #3
Thanks ashling Jun 2019 #4
No bits of advice... but good for you!! Thekaspervote Jun 2019 #5
If only CDerekGo Jun 2019 #6
Thanks ashling Jun 2019 #11
Best wishes to you and your family. You're very fortunate..... KY_EnviroGuy Jun 2019 #7
Same here ashling Jun 2019 #10
Endemic corruption in so many nations we read about.... KY_EnviroGuy Jun 2019 #12
May I ask why Mexico and not Canada for example... Pachamama Jun 2019 #8
and climate ashling Jun 2019 #9
Be sure to check whether your Medicare will BlueMTexpat Jun 2019 #13
OT...btw,... Duppers Jun 2019 #14
The situation has not been resolved ashling Jun 2019 #15
Just saw this old post SaintLouisBlues Nov 2019 #16
Message auto-removed Name removed Feb 2024 #17
Latest Discussions»Region Forums»Americans Abroad»We plan to sell most ever...»Reply #13