Brightshadow2k

Common belief: if you renounce US citizenship, the government taxes all your assets on the way out. Retirement accounts, investments, real estate — all of it hit with a tax on the day you leave. This is the version that circulates on Reddit and in financial media.

The fee to renounce US citizenship drops from $2,350 to $450 on April 13th. Before that becomes a trending topic and everyone makes the same mistake — here's how the exit tax actually works. Most people have it wrong.

The FEIE is $132,900 per qualifying individual — not per household. A married couple where both qualify can exclude $265,800 in combined foreign earned income from US federal taxes. Most two-income households planning international moves are running the numbers as if only one exclusion applies.

Portugal, Spain, and Greece all raised their passive income visa thresholds in 2026. If your relocation plan is 18+ months out and depends on a specific income threshold to qualify, the number you're planning for today may not be the number you face when you apply.

The exit tax only applies to "covered expatriates" — those with $2M+ net worth, an average annual US tax bill over $211K, or unresolved compliance issues. Most people who renounce US citizenship don't hit any of those thresholds and pay no exit tax. The fear is real. The math usually isn't.

Nomad

Establishing domicile in a tax free state when leaving the USA is a critical step. It will save you thousands!

Focus on what you can control-FREE Move abroad Guide. Brightshadow2k.com

Taxes due in multiple countries is absolutely possible when you move out of the USA. I tried to break down some of the factors to give folks a general understanding.. there’s a long form video on my YouTube (brightshadow2k)with several examples

This is how I suggest you structure retirement funding while living outside the USA

Accountability is a must!

Civil war criteria

Investing often has a moral component. #investing

BTC continues its climb upward. As it does, BTC dominance also increases. All of the alt coins are rising as well, but at some point in the next couple months BtC dominance will fall and the alt coins are going to absolutely soar 📈 #crypto

DIY has never been easier. #mrshadow #diy

What is FBAR? Something #expats and #immigrants leaving the USA need to pay attention to.

Trading account looking promising. Maybe I know what I’m talking about with this #crypto stuff 🤷🏽‍♂️

Bitcoin is breaking out of a bull flag pattern. If it finds support we will see some real upward momentum! #crypto

Learn from my mistake! Get a home inspection yourself before selling your house. This way you can fix the smaller items and potential buyers never see them. Also allows you to list larger items as “Sold As Is” if you don’t intend to fix them. Price negotiations will go much smoother! #movingabroad

Are people aware of the lending option for USDC on Coinbase? You could earn 8-10% on your money! Thoughts? #crypto

0.25% rate cut from the Fed. This is a good thing for your stocks, crypto and home sales. #crypto #housingmarket

We are poised for alt coins to start running. If rates get cut next week also we will start seeing some fireworks 💥 #cryto

My 401k has almost doubled this year because of FBTC and FETH holdings #crypto

Anyone invested in #CRO at $0.10? I just took some profit at 100% ROI but this thing is going to continue to balloon 🎈

3 months ago I bought #BTC at 78k. That’s a 40% gain as of today 😁#crypto

As #bitcoin dominance drops while a new all time high is looming, we could see a true alt season in #crypto very soon. Beware buying in these moments newbie’s.

Received my daughter’s passport. My entire family is now #expat ready

I received my updated passport! #expat

Have you considered how you’ll Convert Electronics while abroad?

The USD has degraded 10% in 2025. Here are some considerations for #expats