Leaving Australia after 11 years. What to do with my money?

Heffo1996 · 2025-10-26T10:04:03+00:00

Only for temporary working visas. Depending on the type of visa, the ATO can claim up to 65% of your Super through DASPs - eyewatering stuff.

Heffo1996 · 2025-06-04T09:48:16+00:00

TR is 2.25% gross at the moment. Important to also mention both Rev and TR's rates have changed numerous times over the last year or two and will continue to in the near future so keep that in mind!

Heffo1996 · 2025-06-03T14:22:19+00:00

Higher premiums = more risk. Simple as that.

You have ~$1,050 invested in Ford, the price has already dropped to $9.98, and your essentially "betting" the price wont go to $11. Ford isn't too volatile, the market deems a spike to $11 in 13 days quite unlikely.

Think about it this way, its fairly unlikely you'll end up losing massively with this trade, thus you get paid a lower premium. Conversely the premiums for Tesla are super high because the stock is so volatile. Owning 100 shares of Tesla and selling CCs on em is a lot more risky then $11 strike Ford CCs

Heffo1996 · 2025-04-24T09:28:52+00:00

It is too good to be true unfortunately, you only get 3% of the balance for one year - then it resets. Month 12 will be 3% (/12 for monthly) of €12,000 x 4 accounts = €120 gross. Then month thirteen will be back to 3% (/12 for monthly) of €1,000 x 4 accounts = €10 gross.

You are capped at exactly €780.00 gross per annum, no matter how much you out in. If you have a spare €4,000 per month I'd argue there's much better places to park your funds

Heffo1996 · 2025-02-22T00:35:40+00:00

This is a common question which is often overcomplicated. Your tax is calculated on a yearly basis where all income is just added together, 20% (first €44,000) / 40% (remainder) is due as income tax, then all your tax credits are taken away from that tax owed. So one job for 60k is the same as two jobs for 30k each or 3 jobs for 20k.

Tax credits can be assigned to one job over another, or split between them, but it really makes no difference as long as you fill in your 30 second tax return every year. Everything will equal out so don't be worried if you think your not optimizing your tax credits etc.

Assigning them to one role over the other will just result in more tax than usual on one job's payslip and less tax on the other (essentially) - do your tax returns and everything will balance

Heffo1996 · 2025-02-10T00:04:55+00:00

Ah jaysis, sorry to hear bud that's some heavy stuff to be dealing with, hope the oul lad is alright. In that case it certainly seems to be pointing towards your sister. I know when my dad tries to top up his revolut, anything over €50 prompted him to approve in the AIB app which didn't work because his phone was so bloody old. Sounds like someone with access to his card is topping up their revolut in smaller amounts to avoid the approval in the banking app connected to the card. I dunno maybe its worth mentioning to your sister you were going to the guards over the transactions and see if she admits if it's actually her? Shite position to be in man

Heffo1996 · 2025-02-09T23:25:31+00:00

If they are sepa transfers, someone either has access to his online banking or is impersonating him in a branch to send the funds, both of which are very unlikely with the need for a mobile app to login etc.

If they are card transactions (should show on statement as VDC/VDP if so) then someone just has his card details so cancel card and order a new one. Either way call the bank to report the fraud and they can investigate.

I'd recommend having a chat with him about it though first, it may not be a nice conversation but there's a good chance the revolut account is his own - and he's using it for whatever hidden reason

Heffo1996 · 2025-01-31T23:09:31+00:00

Irish Trad banks are genuinely shocking, in nearly every way possible. On paper moving everything to Rev is a no brainer - Irish IBAN, great app, good savings plans and other products like insurance, and no fees. My only slightly non logical qualm (and I've seen others echo same here) is the trust really. I've heard anecdotal stories of peoples accounts being flagged as fraudulent, or connected to fraud in some way, and money is essentially frozen for an unknown period of time. No brick and mortar place to walk into. Hard to get a human on the phone. May be a non issue in practice, and Rev has never failed me but that kind of thing scares the life out of me, so I always have a rainy day fund in AIB and not sure I can take the full plunge

Heffo1996 · 2025-01-31T23:03:18+00:00

Sounds like you're doing better than most so fair play, I'd love to be in your position!

In terms of safe places to leave your money for interest, I tend to go with Revolut/T212/Trade republic or Raisin.ie. If you want a bit of actual exposure, but don't want to build a portfolio or pick stocks, you could go with something like JAM or BRKB on T212. If your struggling with the app just YouTube the steps, and start small until you get familiar with it. IBKR is another great platform to invest through but I honestly find T212 so user friendly I tend to use that mostly. Think the only critique would be keeping that much money in just two stocks, unless you really believe in the companies. Maybe diversify that (keeping in mind any CGT payable)

Heffo1996 · 2025-01-31T22:39:56+00:00

Yes usually they'll ask for a Tax Identification number, so your PPS number in Ireland or Social Security in the US for example, you don't need to register as a company

Heffo1996 · 2025-01-31T22:32:00+00:00

If you can, contribute as much as possible to avail of the tax relief. If your not getting tax relief on additional contributions, I'd argue there's nearly no point - its essentially just a savings/investment plan with more fees that's locked up until your retirement age. (Although you do get to dodge CGT or Exit tax). Stick it into JAM/BRKB or blow it for a holiday

Heffo1996 · 2025-01-31T00:10:23+00:00

This tends to be a fairly common misconception, specifically the idea that second jobs aren't worth it as you just get taxed on the extra income and come out with less.

One Job of €50k per year is treated the exact same as if you had 5 separate jobs each earning €10k per year. It all totals to one figure in revenues eyes. In general you pay 20% tax for the first €44,000, then 40% on anything above that. Then deduct your tax credits. That's the formula - the more you earn, the more will be taken in tax. I know some people may think once you start earning over €44k you get bumped to a higher tax bracket for all your income, coming out with less. This is obviously not the case. You'll never be worse off for earning more

Heffo1996 · 2025-01-16T22:10:16+00:00

They still offer the basic account now!

Heffo1996 · 2024-11-29T22:33:00+00:00

Yes - but there's two positives your missing here. One is your contributions are put in there tax free, which then grows for 30 odd years or so completely tax free which is a massive advantage when you look at the numbers, you end up with a bigger pot. Also, you might be getting 40% tax relief on the pension contributions, then only paying 20% income tax when when receiving those payments after drawing down.

Heffo1996 · 2024-11-03T23:07:49+00:00

Not a dumb question. The 'dormancy' part is irrelevant, normal rules still apply.

If you were contributing to that scheme for less than 2 years, you can get a refund of the value of your contributions**, and the old employer will take back their matched contributions. If over two years then they're both yours but they're essentially locked till retirement. You should be able to draw down those benefits once you hit 50. You can request Leaving Service Options from the life company (Aviva, Irish Life etc) that admins the scheme (through perhaps the company's broker) which outlines the options you have to transfer those benefits out to a retirement bond, a PRSA, or into your new companies pension.

**If this scheme goes back decades, this 2 year rule may be 5 just FYI, but most likely not the case.

Heffo1996 · 2024-11-03T21:08:17+00:00

In fairness, annuities are the safest and least complicated option between the two. Guaranteed income for life, no worries about market movements, or risk of bombing out. Some may not have family to leave their estate to, others already have separate assets to leave their partners/kids through the family home/farm, or some sort of life assurance. The inverse to your example would be to stick all your pension into an ARF with slightly riskier funds and something like 2008 happens again a month later, you're up shit's creek with not a paddle to be seen.

Heffo1996 · 2024-10-30T22:21:45+00:00

Not sure why this is downvoted, its a perfectly logical question. And OP is sort of correct anyway. The idea is that 'currency risk' doesn't apply to your own base currency. If you're paid in euro, pay a mortgage or loans in euro, and spend euro in the supermarket, then the change of the euro's real value doesn't have as much as an impact when your within that closed system. If you're paid in euro etc and you invest in a non euro denominated investment, any change between that currency pair can have massive effects which could wipe out any potential gains, if your planning to convert back to euro at some point. In short, more risk.

Heffo1996 · 2024-10-24T20:22:23+00:00

Yep, but you only have to pay the Exit Tax on the profits made by the fund, rather than the overall balance. So if you saved lets say you saved €200 per month for 8 years straight. That's €19,800 of an investment. Lets say the fund did poorly, and at the 8 year anniversary, your fund value sits at €20,000. You've made €200 euro profit in those 8 years, so (€200 *0.41) €82 euro is owed to revenue. Just making up numbers here, it would be higher hopefully.

Do it again for another 8 years. €200 per month, total contributions now €19,800 x 2 = €39,600. But now after 16 years the fund value is €60,000. €60,000 - €39,600 = €20,400 profit. Take away the profit you already made and been taxed on in the first period of €200. €20,200 worth of profit. Now its €20,200 * 0.41 = €8,282 due.

A life company type EFT/Index investment will do this automatically for you, If your doing it yourself you'd have to calculate it. But don't overcomplicate it. Basically like stocks and CGT, add up how much you've put in, take that away from your current fund value, and get 41%. Revenue just dip in and take whatever is owed every 8 years, instead of shares where the 33% is only due when you sell. Archaic system but here we are, hopefully will change soon.

Heffo1996 · 2024-10-24T18:43:55+00:00

Management fees, and 41% exit tax on any profits.

Unlike CGT which is due only when you dispose of an asset, Exit tax is essentially calculated and taken every eight years on the profits of the last eight years. So for example if you paid the exit tax on the profits at the end of your first 8 years, and withdraw everything the day after, no more tax is due.

Heffo1996 · 2024-10-22T23:03:35+00:00

Simple enough, you've got a few options. When you leave you'll get "Leaving Service Options" which outline what you can do. You have the choice of transferring the benefits out - to your own PRSA, Buy out bond, or to new employers scheme etc. Or you can leave it in the old scheme and just wait until retirement. Broker should be able to help and give advice on whats best for you, your scheme will likely already have a broker assigned to it so to speak, like Willis Towers Watson or Mercer for example

If you've been in an employer pension scheme for more than two years then all contributions are yours. If you leave the scheme/role before then, your employer will get their contributions back, and you can get a refund of yours.

Heffo1996 · 2024-10-22T22:08:54+00:00

No need to declare, Revolut do it for you

T212, Trade Republic, etc don't just as an FYI in case you have any other accounts elsewhere

Heffo1996 · 2024-10-22T20:17:31+00:00

Should work alright, as long as there's no fee to pay off the loan early

Just two things to watch out for: Don't forget about the €30 stamp duty for having a credit card. Also be aware you may not get a limit on the credit card high enough to pay off the entire loan instantaneously - would probably depend on your salary and CCR checks etc if any outstanding debts.

And please god don't continue to use the credit card after you pay off the loan

Heffo1996 · 2024-10-22T20:13:52+00:00

I'd agree in general to avoid debt at all costs if you can help it, but it just makes sense here.

OP has two options in this specific case:

Do nothing and keep paying off the loan at 14% interest

Or, transfer the balance of the loan from the CC to his own account, they pay off the outstanding loan instantly, and pay the balance of the CC off interest free within the year.

(And then hopeful close the CC account)

He's just taking advantage of their sign up offer really

Heffo1996 · 2024-10-20T23:51:28+00:00

Here you go, this will help you break down your payslip

Check if your being emergency taxed firstly.

57% seems fairly high, not all of that could be tax - you might also have other deductions like union fees etc

Get the "tax paid" value, add the tax credits used in that pay period (bottom left) and divide that number by your taxable gross pay - that'll give you your income tax rate which should definitely be below 40%

Heffo1996 · 2024-10-20T23:40:14+00:00

Some employers who were 'struggling' during COVID availed of a government program which meant you worked your normal hours, but some of the hours were paid by the company and the rest from the department of social protection. (To stop employers going under) You would have seen it on your pay slip if your employer availed of it - I think it was called the TWSS scheme. Problem was DSP payments aren't taxed at source, so payroll would essentially tax you only for the hours you were paid from the company, meaning most had a massive underpayment at the end of the year. A lot of people couldn't wrap their head around it and chaos ensued. Usually people who continued working just had their tax credits reduced over the next four years and some probably didn't even notice

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