Although many investors look offshore for investments, it is also smart to consider offshore savings accounts. Although they may provide lower rewards, savings accounts give individuals peace of mind about the stability of their assets. Rather than opening another savings account domestically, take advantage of the many ways that offshore savings accounts can boost your net worth.
Pocket More Profits With Reduced Taxation
There are several ways that you can boost your net worth. One way is to bring in more money each year, but another way is to have less money leave your account. Perhaps the best way to spend less on a regular basis, a move that will only help your account balance grow, is by finding a legal way to reduce your tax burden.
By opening an offshore savings account, you may be eligible for drastic reductions on your income or capital gains taxes. To have this step be most effective, however, you’ll need to pay close attention to the location of your offshore savings account.
Every jurisdiction has its own tax regulations, so it is smart to pick a country with favorable tax laws to foreign investors. In Belize, you’ll have access to a zero percent capital gains tax, which means all the profits you make on your investments or account balances can stay right where they are: Your portfolio!
Reduce Your Banking Fees by Heading Offshore
Another savvy way to reduce what you spend consistently is to move your money to a bank with lower overall banking and maintenance fees. Domestically, the banks that offer these lower fees may not also offer the privacy, service and stability you need to keep your money safe. However, many offshore banks can deliver high-quality banking services without the high prices.
The difference is all in the cost of living and overhead around the world. In countries where the cost of living is relatively affordable, banks can operate on less money. Therefore, they are able to charge their customers less while still turning a profit and staying in business. Caye International Bank, with its location in Belize, is a perfect example of this kind of favorable financial institution.
Access Better Interest Rates for Higher Profit Potential
Domestically, the interest rates available to those with savings accounts can be incredibly low. In fact, the most common rates won’t even stay ahead of inflation, which means that the purchasing power of your savings can actually decrease every year. This is absolutely something you want to avoid, but you don’t have to give up the peace of mind of liquid savings to do so.
The best way to enjoy higher interest rates, and therefore to bring in greater earnings each year, is to look for offshore savings accounts. Many banks in international locations stay competitive by offering higher rates for their account holders. If you want to enjoy the highest rates possible, consider a lifestyle account. These savings accounts offer higher interest rates the larger your account balance, which helps you stay motivated to increase your savings over time.
If you’re eager to boost your net worth, you don’t always have to take on risky investments. Sometimes, the best choice is to open up a new offshore savings account in a destination like Belize.