Is This the BEST Country to Move to?

Summary

In this video, Michael discusses Switzerland as an underrated relocation destination, often overshadowed by more popular choices like Southeast Asia, the Middle East, and Latin America. He highlights Switzerland's benefits, including no capital gains tax, mild weather, and high living standards. Despite being more expensive, Michael argues that Switzerland's stability and quality of life make it an attractive option, especially for those who can structure their income wisely.

Takeaways

• 🌍 The speaker argues that Switzerland is underrated for relocation despite its potential.
• 🏖️ Southeast Asia is popular for relocation due to favorable tax and lifestyle factors, but the hot and humid climate can be a drawback.
• 🏜️ The Middle East is less appealing due to extreme heat and lack of greenery, despite some countries offering interesting opportunities.
• 🌉 Latin America offers territorial tax benefits but often has less developed infrastructure.
• 🏰 Europe is attractive for its climate, established infrastructure, and cultural richness.
• 🇵🇹 Portugal's popularity for relocation has decreased due to changes in NHR rules.
• 🇪🇸 Spain is gaining popularity for relocation, especially with the Beckham law becoming more accessible.
• 🏔️ Switzerland is not commonly discussed as a relocation destination but has many benefits, including no capital gains tax.
• 💼 Switzerland is a good option for those with investment income, as it allows for high deferral effects and no CFC rules.
• 🏡 Switzerland offers a high quality of life with safety, cleanliness, and good connectivity, making it attractive for the wealthy and those fleeing less favorable conditions in other countries.
• 💼 For career-oriented immigrants, Switzerland is a better choice than places like Dubai due to higher wages and superior social services.

Q & A

What are the common reasons people relocate internationally?

People typically relocate internationally for financial reasons such as tax benefits, cost of living, and lifestyle.

Which regions are usually considered for relocation by the speaker's audience?

The speaker's audience typically considers Southeast Asia, the Middle East, Latin America, and Europe for relocation.

What are the common issues with relocating to Southeast Asia?

The common issues with relocating to Southeast Asia include hot and humid weather, which can be wearing on some people.

What are some of the challenges with relocating to the Middle East?

Challenges with relocating to the Middle East include very hot weather for much of the year and a lack of greenery and history in newer cities.

What are the trade-offs when considering Latin America for relocation?

In Latin America, the trade-offs often include less developed infrastructure compared to other regions.

Why is Europe attractive to many people considering relocation?

Europe is attractive due to its blend of weather, established infrastructure, and cultural appeal.

What are some popular European countries for relocation mentioned in the script?

Some popular European countries for relocation mentioned are Portugal, Spain, Malta, Cyprus, and Italy.

Why is Switzerland not as popular as other countries for relocation despite its benefits?

Switzerland may not be as popular because it is a bit more difficult to relocate to, and it is perceived as more expensive than other options.

What are some of the tax benefits of relocating to Switzerland?

Switzerland offers tax benefits such as no capital gains tax and no Controlled Foreign Corporation (CFC) rules, allowing for high deferral effects.

What are some lifestyle advantages of living in Switzerland according to the script?

Switzerland offers a clean, safe environment with mild weather, good connectivity, and a high quality of life with excellent healthcare and education.

Why does the speaker believe Switzerland is becoming more attractive despite being bearish on Europe as a whole?

The speaker believes Switzerland is becoming more attractive because it is seen as a recipient of people fleeing less favorable conditions in other parts of Europe.

Outlines

00:00

🌍 Relocation Options Around the World

The speaker, Michael, introduces the topic of relocation, focusing on countries that are often overlooked despite their potential. He discusses the common reasons people relocate, such as financial incentives, tax benefits, cost of living, and lifestyle. Michael then categorizes the world into different clusters based on these factors. He mentions high-tax countries that are less attractive for relocation, Southeast Asian countries like the Philippines, Malaysia, Singapore, and Thailand, which are popular but have issues like hot and humid weather. He also talks about the Middle East, which has attractive opportunities but suffers from extreme heat and a lack of greenery. Latin America is another cluster, with countries offering territorial tax systems but often with less developed infrastructure. Europe is highlighted as a blend of good weather, established infrastructure, and cultural richness. Michael discusses the popularity of countries like Portugal, Spain, Malta, Cyprus, and Italy for relocation, noting the changes in programs and their impact on吸引力.

05:02

🇨🇭 Switzerland: An Underrated Relocation Destination

Michael focuses on Switzerland as a relocation destination that doesn't get as much attention as it deserves. He acknowledges the challenges of relocating to Switzerland and the variance in tax treatment across different cantons. He points out the benefits of no capital gains tax, the absence of Controlled Foreign Corporation (CFC) rules, and the potential for high deferral effects, making it attractive for certain individuals, especially those with investment income. Michael also discusses the less favorable aspects, such as high costs and the management control rules that apply to Swiss companies. He highlights the quality of life in Switzerland, including cleanliness, safety, mild weather, good connectivity, and high air quality. He contrasts this with other locations like Montenegro, which may have a nice summer season but lacks the year-round appeal and infrastructure of Switzerland. Michael concludes by suggesting that Switzerland should be considered by more people as a relocation option, especially for those who can structure their income appropriately.

Keywords

💡Relocation

Relocation refers to the act of moving one's residence or place of work from one location to another, often across international borders. In the context of the video, relocation is discussed as a strategy for individuals seeking better financial conditions, such as lower taxes or a more favorable cost of living. The video explores various destinations for relocation, considering factors like climate, infrastructure, and cultural aspects.

💡International Tax

International tax involves the tax obligations of individuals and businesses that operate across different countries. The video discusses how some countries may offer more favorable tax conditions for those looking to relocate, which can be a significant factor in relocation decisions. For example, certain countries might have lower tax rates or special tax regimes that could benefit expatriates.

💡Asset Protection

Asset protection is a financial strategy designed to safeguard an individual's wealth from potential risks, such as lawsuits or economic downturns. The video touches on the importance of asset protection in the context of relocation, suggesting that some countries may offer better legal frameworks or financial systems to protect one's assets.

💡Cost of Living

Cost of living refers to the amount of money needed to sustain a certain standard of living in a particular location. The video script mentions that cost of living is a key consideration for people considering relocation, with some countries offering a more affordable lifestyle compared to others.

💡Southeast Asia

Southeast Asia is a region comprising countries like the Philippines, Malaysia, Singapore, and Thailand. The video discusses this region as a popular choice for relocation due to its favorable climate and cost of living, despite the challenges of high humidity and heat.

💡Middle East

The Middle East is a region that includes countries like the UAE, Qatar, and Oman. The video mentions the Middle East as a less desirable location for some due to its extreme heat and lack of greenery, which can be a deterrent for those seeking a more temperate climate.

💡Latin America

Latin America refers to the region of the Americas where Romance languages are predominantly spoken, including countries like Paraguay, Uruguay, and Panama. The video script highlights Latin America as another area considered for relocation, with the trade-off being less developed infrastructure in some countries.

💡Europe

Europe is a continent that offers a mix of cultural, economic, and climatic diversity. The video discusses various European countries as potential relocation destinations, noting the balance of weather, infrastructure, and cultural appeal that the continent provides.

💡Switzerland

Switzerland is highlighted in the video as an often-overlooked destination for relocation. It is noted for its stability, lack of capital gains tax in some cantons, and high quality of life. The video suggests that Switzerland could be an attractive option for those with investment income, due to its favorable tax treatment on such income.

💡Capital Gains Tax

Capital gains tax is a tax on the profit made from selling assets that have increased in value. The video emphasizes the absence of capital gains tax in Switzerland as a significant advantage for certain individuals, particularly those whose income is derived from investments rather than employment.

💡Infrastructure

Infrastructure refers to the basic physical and organizational structures needed for the operation of a society or enterprise. The video mentions infrastructure as an important factor in relocation decisions, with some countries having more developed infrastructure than others, affecting aspects like ease of living and business operations.

Highlights

Switzerland is an underrated country for relocation.

People often relocate for financial reasons such as tax, cost of living, and lifestyle.

High tax countries are generally avoided for relocation.

Southeast Asia is a favored region for relocation due to favorable conditions.

The climate in Southeast Asia can be hot and humid, which may not be ideal for everyone.

The Middle East is less popular due to extreme heat and lack of greenery.

Latin America offers a variety of relocation options with varying infrastructure quality.

Europe is popular for its blend of weather, infrastructure, and culture.

Portugal, Spain, and Italy are among the European countries considered for relocation.

Switzerland is not as well-known for relocation despite its many benefits.

Switzerland offers no capital gains tax, which is attractive for certain individuals.

The tax treatment in Switzerland varies significantly across different regions.

Switzerland does not have CFC rules, which allows for high deferral effects.

Dividend treatment in Switzerland can be favorable depending on the circumstances.

Switzerland is clean, safe, and has mild weather, making it an attractive place to live.

Switzerland is well-connected in terms of air travel.

Switzerland is considered a recipient of people fleeing from other European countries.

Switzerland is geographically beautiful and offers a high quality of life.

Wages in Switzerland tend to be higher, and social services are well-established.

Switzerland should be considered by more people as a relocation destination.

Transcripts

welcome back everyone Michael here with

offshore citizen today I am in a country

which I would argue is somewhat

underrated in the world of relocating at

least within a certain group of people

so we talk a lot on this channel about

kind of one of the two main areas that

we deal with relocation International

tax obviously we deal with Banking and

asset protection and these different

things as well but a lot about subject

of relocation the question is where to

relocate now usually when we're talking

about this the world kind of clusters

and usually this is based around around

the idea that people are typically

relocating for some sort of a financial

reason tax you know cost of living

lifestyle those sorts of things now if

you kind of start to group the world

what you find is okay there's a whole

bunch of high tax countries that you're

not going to move to if you're you know

somebody in this pool of people then

there's another set of countries which

is kind of Southeast Asia so this is

principally Philippines Malaysia

Singapore uh Thailand so those four tend

to be the the favorable ones from this

perspective what's the issue with those

ones they tend to be hot and humid right

so there's a ton of people who love Asia

I tend to love Asia there's a lot to

appreciate there but the reality is that

you're always in you know 100% humidity

and it's always hot you know this can

kind of wear on you some of those

countries have their own little quirks

but you know there's some variety

between them and so that's the deal but

this being said pulls you away from

there next would be the Middle East

right you're looking at the Middle East

and what's the issue with the Middle

East well it's the middle of summer here

I'm not in the Middle East at the moment

and that's partially for a reason that

it gets very hot in the Middle East now

some people have uh they like dislike

like the lack of green you can kind of

get away from that a bit by going to

places like Aman in Salah Etc but for

the most part this is going to be an

issue so although you have you know UAE

Qatar Bahrain Oman all of which you

could go to and all of which have some

interesting ideas some interesting

things going on for them the reality is

that you're going to have a very hot

weather for a lot of the year a lack of

green tends to be newer cities lacks

some of the history and culture that

exist now you get that more SE in Oman

than you do in say Dubai Etc so there's

some variety obviously but these are

some of the things that people tend to

dislike about that part of the world and

that's fair then you have places in

Latin America right so you have Paraguay

uguay for a few years Chile some of the

territorial tax countries so Panama

Costa Rica Nicaragua obviously the

islands so Cayman Islands Bahamas

Antigua Etc so you've got kind of that

that cluster of places and the tradeoff

there tends to be in a lot of cases that

infrastructure is not as good right so

again depending on your preference it

obviously you know I just Nar like a

whole bunch of countries and you know

you've got it'll be different in San

Jose than it is in you know flamingo in

uh in Costa Rica Etc you'll definitely

have differences if you're talking about

you know Panama City versus somewhere

else so like there's definitely some

spectrum and variety that you're dealing

with when you're talking about these

places but that's definitely a bit of a

drawback for a lot of people some people

like Colombia again not so great from a

attack standpoint but people like the

lifestyle there again you know like you

tend to have crime you tend to have this

sort of thing so where does that leave

you well a lot of people really like the

idea of living in Europe right Europe

has I think a nice blend of weather for

a lot of people it is a situation where

there is a fairly wellestablished system

of infrastructure so that on my ordering

stuff like that these things often tend

to work although a little bit less in

Eastern Europe than they do in uh in

Western Europe you're in a situation

where certainly there are some other

advantages like culturally people often

find that that is uh quite nice for them

and so this is this is kind of appealing

and you know so it's a bit of a bit of a

trade-off well within Europe where do

people tend to look at so what I find

historically they were looking for a few

years in Portugal Portugal's kind of

less popular now they've changed the nhr

rules but uh it was very popular you

certainly have something like Spain out

of the Beckham law is becom increasingly

popular I think rightly so especially

since they've made it a bit easier you

have Malta people don't tend to love

molta for the most part Cyprus people

tend to like it a little bit more

although it depends on what their

particular preferences are so I I think

it's it's less popular as a place that

people would like to go Italy is I would

say less popular than Spain it's harder

to make it work they've kind of

decreased the quality of some of their

programs but if you're at a sufficient

Financial level then it can work Eastern

Europe Bulgaria Romania once in a while

places like Montenegro Bosnia Albania

Macedonia Etc but these ones take tend

to be like a little bit less developed

you're not going to have you know same

same access through things like Amazon

Etc so people tend to not prefer those

you do have the Nom in Ireland you've

got the new thing that's coming in in UK

which will be kind of a 4-year program

but if you kind of kind of work through

those one that people don't talk that

much about I do have clients from there

and people who are moving there but not

not that popular is Switzerland and so

this is where we are today we're in

Switzerland on Geneva in B so you can

kind of see how the sun is coming out so

that is good and I I think that

Switzerland tends to probably not get as

much attention as it should now it is a

little bit difficult to relocate to

Switzerland I'll do some videos in the

future on kind of residency options Etc

the tax treatment varies wildly across

the country from Zoo to Geneva is

dramatically different in terms of the

overall tax rate that you're going to

pay however what you do get are things

like no capital gains tax that's a big

deal for the right type people so you

often see people say oh you know I'm

going to go to Greece or Italy under

100,000 regime well that 100,000 regime

doesn't apply to earned income anyway

and doesn't apply to local income anyway

so it's only foreign unearned income

right and if you're like okay well it's

kind of foreign unearned income a lot of

that income for many people is going

like what's that going to be it's like

interest capital gains dividends right

usually you can structure income such

that it's going to be dividends or

capital gains anyway so you can kind of

rule out the interest side if you need

to by wearing a company there

Switzerland doesn't have any CFC rules

so that's pretty useful it allows you to

have a high deferral effect which is

great and so you're saying okay well if

I can avoid having capital gains tax and

my income is largely investment income

this could be pretty good now on the

dividends not as good but certainly not

terrible you can especially if you have

uh the right the right treatment uh

could be could be pretty good not

necessarily so great for a Swiss company

that's a different conversation there

are management control rules in

Switzerland you have to be aware of that

it's kind of frankly expensive and a

pain in the ass to have a Swiss company

I don't generally recommend it although

there are some cases where we've set

them up and utilized them Etc and so you

can kind of pay attention accordingly

but what are the what are the things

we'll swi on okay so it's clean it's

safe things tend to work quite well the

weather is pretty mild there's you know

nice things to do in the summer there is

nice skiing and access to the mountains

Etc during the winter it's well

connected in terms of airfare Etc I mean

I was just talking to my wife earlier

about how if you're in Montenegro or

something there might be some great

things but it's not very well connected

by air so that's a problem the season

isn't good outside of the summer so

that's a problem the infrastructure

isn't as good there isn't as much

ability to pull things in so this is

like some pretty major benefits it is

somewhat expensive I actually don't find

it to be as expensive as some people

make the comment on but it is certainly

a pricier part but I think that for

people in many different categories I

mean there's a reason why the wealthy

people leaving some place like Norway

have been coming to Switzerland right

now there's a whole host of different

reasons you can get into for that but I

think that as I look and I say I'm

pretty bearish on Europe as a whole I

think it's generally going the wrong

direction I tend to be bullish on

Switzerland because I think it's a

recipient of how bad things are in a lot

of these other places so I have clients

who are like yeah they they're German

and they're like we're fleeing Germany

to get to Switzerland and go someplace

that's considered much better and they

say okay you know like we're willing to

handle

how things are in zoo okay well that's

that's great to know it's geographically

beautiful and so I think that there's

probably a lot of people who should

consider Switzerland as an alternative

again it is not the cheapest place it's

not the lowest tax place it's not all

these different things but for the right

person especially if you can structure

your income in the right way I think

that it is competitive and not talked

enough about so there's that and then

for people who actually want to come and

have some sort of like say they're

earning a career or something say it's

probably better to come as an immigrant

to Switzerland than it is to go to say

Dubai wages tend to be higher and so

that's good social services are clearly

better right you've got Healthcare

you've got education these things tend

to work really well like I said you have

the high safety regardless you have the

high cleanliness the air quality is

certainly going to be better A lot of

people like the green and so yeah it's

just it's someplace that it should

probably be on more people's map than it

is so tell me what you guys think put it

in the comments below tell me you know

is this something that you think is a

good place do you like it do you hate it

why do you like it why do you hate it

and I will look forward to seeing you on

the next video