Canadians Moving to USA
Financial Planning for Canadians Moving to the U.S.
Relocating to the US as a Canadian can bring exciting opportunities, but it also introduces a maze of tax systems, reporting obligations, and conflicting regulations. Accounts like Registered Retirement Savings Plans (RRSPs), Tax-Free Savings Accounts (TFSAs), and Registered Education Savings Plans (RESPs), are each treated very differently under US income tax law. Without proper planning or disclosures, what once offered tax advantages in Canada could quickly lead to penalties, unintended tax consequences, or regrets south of the border.
At Clarity Cross Border Planning, we provide comprehensive cross border financial planning for Canadians moving to the US, acting as your cross border advisor through every step of the journey to optimize your move, minimize tax burdens, avoid costly mistakes, and create a clear strategy for life in the US.
Who We Work With
We support Canadians making the move to the U.S. for a variety of reasons, including:
- Professionals Relocating for Career Opportunities
- Snowbirds Wanting More Time in the U.S.
- Entrepreneurs Starting a Business in the U.S.
- Canadians Marrying an American and Starting a New Life Together
Why Cross-Border Planning Matters
Moving to the US isn’t just a residency change, it requires careful planning to avoid double taxation, complex reporting requirements, and unforeseen penalties. Canadian accounts and benefits, such as RRSPs, TFSAs, and CPP/OAS, need to be addressed before becoming US resident. American accounts and benefits, such as 401ks, IRAs, Roth IRAs, and Social Security need to be understood and planned for after becoming US resident. Without proper planning, the contrasts in these two systems can create serious financial setbacks and regrettable tax implications.
Some of the biggest challenges we solve include:
- Understanding U.S. tax filing requirements and avoiding double taxation
- Managing RRSPs, TFSAs, and other Canadian accounts under U.S. law including Canadian mutual funds and mutual funds that may trigger additional reporting or tax treatment
- Mitigating Canadian departure tax when severing Canadian tax residency
- Coordinating CPP/OAS benefits with U.S. Social Security and Medicare
- Planning for estate and inheritance taxes under U.S. rules and the Canada US tax treaty
- Addressing healthcare coverage gaps when relocating
- Developing a currency strategy to protect against exchange rate risks
Our Cross-Border Planning Approach
We take the guesswork out of cross-border finances. Our approach includes:
- A comprehensive review of tax obligations and residency status, including your departure date and potential plans to obtain permanent residency
- Strategic restructuring of accounts and investments for U.S. compliance, including aligning cost basis and tax purposes across two countries
- Guidance on estate and gift planning tailored to your new residency, with coordination across Canada Revenue Agency (CRA) and Internal Revenue Service (IRS) frameworks
- Support with healthcare and insurance considerations, including employer plan coverage, Affordable Care Act-related health insurance options, and Medicare
- Clear, unbiased advice with flat-fee pricing and no product sales
How the Canada–U.S. Tax Treaty Impacts Your Move
The Canada-US Tax Treaty plays a pivotal role in structuring an efficient cross-border move. From eliminating double taxation and reducing withholding taxes, we help you understand the treatment of employment and pension income, capital gains, stock options, and retirement accounts to derive significant long-term tax savings.
Why Choose Clarity Cross Border Planning?
Clarity Cross Border Planning is uniquely positioned to serve Canadians transitioning to the United States as a truly independent, conflict-free cross-border advisor. With dual CFP® certifications and the ability to provide advice to both Canadian and US residents, we specialize in integrated tax, investment, retirement, insurance, and estate planning across both countries. This dual jurisdiction expertise allows us to deliver coordinated guidance that few firms are qualified to offer.
As a fee-only, advice-only firm, we do not manage assets, earn commissions, or charge percentage-based fees. Our transparent, flat-fee structure ensures our advice remains fully objective and aligned solely with your best interests. Our role is to architect a smooth and well-coordinated departure from Canada while developing a clear, actionable plan for your life in the United States.
Ready to Start Your U.S. Planning?
Moving to the U.S. is a big step, your financial strategy should move with you. We’ll create a clear, compliant plan so you can focus on your next chapter with confidence and ensure a smooth transition.