As an American expat or dual citizen, navigating your finances in Canada can be complex and overwhelming.
You're likely looking for an expat financial planner who understands your unique challenges, from managing your investments in the U.S. and Canada to dealing with intricate tax regulations. At SWAN Wealth, we recommend finding a dual-licensed advisor who can provide personalized advice tailored to your expatriate status and financial goals.
WHO WE HELP
Canadians Moving from the USA to Canada
SWAN helps Canadians who are moving back to Canada from the USA and need help managing the financial transition and ensuring their investments are optimized.
Americans Moving to Canada
SWAN helps Americans and Green Card holders moving to Canada for retirement, work, or a work-optional lifestyle. If you have Roth IRAs, 401(k)s, and non-registered investment accounts, we can help.
Americans Living in Canada
If you're already living in Canada, you need to make sure your investments are optimized for your residence and you're not overpaying your taxes. SWAN provides portfolio management and cross-border financial planning.
Strategy and Planning for American Expats in Canada
As an American living in Canada, getting a great expat financial planner and wealth management team on your side must be a top priority.
While expat financial planning may seem complex, there are steps you can take to make your life easier while living in Canada.
As a cross-border financial advisor, I'm constantly speaking with Americans and Green Card holders living in Canada but experiencing issues with their cross-border finances. I've noticed many of the same mistakes come up over and over again.
Nobody wants problems with the IRS, CRA, or a massive tax hit. But these things happen when you don't have a comprehensive cross-border financial plan and investment strategy.
In this guide, I'll cover the essential topics you need to know about financial planning, investing, and tax planning as an American living in Canada.
If you want a simple guide to cross-border financial planning, please click HERE to get the PDF we've created to simplify your planning process. We made this document specifically for Americans, Green Card holders and dual citizens living in Canada.
Your needs are specific, and the pitfalls you may be experiencing are unique to your situation.
Finding the Right Wealth Management Firm for Expats
Before you sign on the dotted line and start transferring your assets, you want to make sure that you're working with the right team.
If you have investable assets of $3M or more, then finding a wealth management firm that specializes in working with cross-border families is key. Working with an advisor that doesn’t specialize in this may mean you end up invested in the wrong things, such as Passive Foreign Investment Companies (PFICs) or mutual funds, which are not ideal for Americans in Canada.
Wealth Management for Expats
As an American living in Canada, you need more than just a standard advisor.
You need a dual-licensed advisor who can help you with financial planning, estate planning, tax strategies, and investment management.
You need a financial advisory team that understands both the U.S. and Canadian systems.
Your financial plan must include smart tax strategies, cross-border estate planning, and investment management that avoids expensive mistakes such as being invested in PFICs.
At SWAN Wealth, we help you look at the full picture—where your income comes from, how it's taxed, and how to protect and grow your wealth. When every detail matters, you need a team that sees what others miss.
Questions to Ask a Financial Advisor
You should feel confident and comfortable discussing your finances with your cross-border advisory team.
Make sure you ask the right questions when you have an introductory meeting with a cross-border advisor. And be sure they are fully qualified to help clients in situations such as yours.
This is a list of essential questions American expats should ask potential financial advisors to ensure they receive the best service and advice:
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Do you specialize in working with cross-border clients?
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How long has cross-border been your focus?
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Do you have other clients with situations like mine?
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What are the main cross-border pitfalls we need to be aware of moving forward?
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What is communication like when we become clients?
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Will your team be able to help us with our estate planning?
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Will you be able to refer us to a good cross-border accountant and lawyer?
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If we move back to the U.S., can you still manage our investments?
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Will you be able to provide us with cost-base tracking and a full set of tax receipts?
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How do your costs work?
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Do you have portfolio managers who do the investing in-house? Or do you outsource it?
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What is your investment philosophy?
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Do you use packaged products like mutual funds, where there are additional costs?
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Are your advisors fiduciaries?
Living in Canada as a U.S. Citizen
You may think living in Canada as a U.S. citizen is not a significant change to your finances.
It's not uncommon for people to believe they're done once they've sorted out everything related to the move! I often speak to U.S. citizens who have moved to Canada and are shocked to discover how different things are. Before the move, they were only worried about where they wanted to live, what to do at the border crossing, and whether they should bring their car.
But once they're living in Canada as U.S. citizens, they realize it is much more complicated.
This is primarily because of the continual obligation to file with the IRS. This obligation creates many things to be aware of to ensure you don't fall into major tax traps.
Financial Planning Requirements for American Expats in Canada
As an American living in Canada, your financial planning isn't as simple as if you were a Canadian.
You need to consider that you will be reporting your income to two countries with unique rules and laws. Standard savings tools that are great for a Canadian may not be the best option for an American living in Canada.
When you start a financial plan, the foundation of the conversation is cash flow:
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How much do you need now and in the future stages of your life?
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Where will you draw this money from?
In terms of income streams, if you worked in Canada and the U.S. for part of your career, you would have accumulated CPP and Social Security. There are strategies for when to start taking one over the other.
Moreover, registered retirement vehicles such as RRSPs in Canada and IRAs in the U.S. have different rules.
This means you need to consider the timing of which account to take money from first. While this is complex, it's something your cross-border financial advisor can help you plan. If you have substantial assets, you shouldn't be doing this alone.
Estate Planning for American Expats Retiring to Canada
These are a few guidelines to follow and pitfalls to watch out for when doing your cross-border estate planning as a U.S. Citizen retiring to Canada:
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If you haven't moved to Canada yet, get all your documents together for your pensions and apply for an online social security account.
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You will need to update your will for the province in which you live.
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You may face double taxation if you use a U.S. resident as the executor of your will.
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Before moving, you will likely want to collapse your revocable living trust in the U.S.
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Remember, taxation of trusts is different in Canada and the U.S. You may want to hire a cross-border estate lawyer.
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If you are the beneficiary of a trust created in another country, ensure the trustee and lawyer understand how being a non-resident beneficiary impacts you.
Dealing with Trusts as an American Expat in Canada
When discussing financial planning, I often hear one big fear from clients: "What happens when I pass?"
If you’re an American in Canada, it’s critical to consider this eventuality.
If you aren't careful, you can fall into tax traps in your estate planning. You may risk double taxation of your estate if you have an executor who lives in the U.S. or if you use trusts incorrectly. You need to know that trusts don't work the same way in both countries.
When a person sets up a trust in their country of residence, such as Canada, and one or more of the beneficiaries lives in the U.S., frustrations often ensue. One can easily spend a lot of money to get expert advice and set up an estate, only to discover that it isn't ideal within a cross-border context. This can be very frustrating.
If you aren't working with cross-border experts, you'll only get one side of the story.
The tax treatment of trusts is different in Canada and the U.S. If you're considering using trusts, you need to speak to a cross-border trust lawyer. At SWAN, we connect our clients with one of the cross-border trust lawyers in our network when necessary.
Retirement Planning for U.S. Citizens in Canada
When doing retirement planning as a U.S. citizen in Canada, you need to consider where to take your income from in retirement to maximize the benefits and avoid overpaying taxes.
I always tell clients that an RRSP and an IRA represent a future tax liability for which we must plan. You don't need to wait until your 70s to take out money.
For example, let's say you have $2 million in an IRA because of a previous rollover from an employer. Thus, you will have a higher required minimum distribution in the future.
Next, imagine you also have a large RRSP, meaning you will have a high amount to take out. Adding this to other income and pensions could move you up into the top tax bracket in Canada.
You need to know the tax impact of where you draw your money from in retirement.
The added layer of being a U.S. citizen in Canada must always be considered. Because you continue to file returns to the IRS and are at a greater risk of falling into tax traps, your tax considerations will always be more complex.
This is a crucial part of retirement planning for U.S. citizens in Canada.
About SWAN Wealth Management
At SWAN Wealth Management, our clients come to us because they value education and expertise and are looking for a guide.
They want to make smart decisions and avoid costly mistakes.
We have created the videos and articles on our website based on common questions from clients over the years. Most of our clients are experts in their field, and now they want an expert to guide them.
If you go to a bank or team that doesn't specialize in cross-border, you are at a higher risk of being invested in the wrong things. Many people think that working with a big bank will ensure everything is managed correctly. But unless your advisor is a cross-border expert, your investments may not be perfectly optimized.
Remember that cross-border financial planning is more complex than regular investing and financial planning.
Any mistake can cost you at tax time and give your accountant a serious headache.
When you first meet with us at SWAN, we first want to understand you. We want to know where you are now and what got you to this stage. Only after understanding this do we start to offer education and strategies.
We act as your guide through different life stages and transitions of wealth. Although most of our clients have assets or interests on both sides of the border, each person is unique.
We tailor our advice and services to your needs.
Dealing with the IRS as a U.S. Citizen in Canada
As a U.S. citizen in Canada, as long as you file your tax return, you will typically be okay with the IRS.
I have found it interesting to learn from my clients that the CRA, Canada's equivalent to the IRS, is much more forgiving than the IRS. One of my clients said that when they lived in the U.S., it was like you were guilty until proven innocent with the IRS. They also mentioned that the IRS is quicker to penalize. With the CRA, on the other hand, the client said, it is like you are innocent until proven guilty.
Nonetheless, you shouldn't worry about the IRS if you are following the rules.
Report your worldwide income to the U.S., follow the rules, and work with a cross-border advisor and a cross-border accountant who understand how to use all the foreign tax credits. If you do these three things, you usually won’t owe tax to the IRS. This is because tax rates in Canada are traditionally higher than in the U.S.
At SWAN, once you become a client, we’ll do a tax consultation with our in-house cross-border accountant to ensure you’re aware of all the potential pitfalls. Next, we’ll recommend a few cross-border accountants in our network so you can find the right accountant for your needs.
Avoiding Double Taxation
To avoid double taxation, build a team around you that understands your situation and has experience dealing with clients like yourself.
Work with a cross-border financial advisor, a cross-border accountant, and a cross-border lawyer. If you have substantial assets, I wouldn't recommend managing your cross-border financial situation alone. I have dealt with many cases where a client comes to us after paying penalties and taxes that could have been avoided if they had worked with an expert initially.
If you have yet to move, I recommend that you start planning and getting professional advice, ideally a year or two before you proceed with the move. This way, you can take advantage of potential opportunities well in advance.
But if you're playing catch-up right now after completing your move, please don't worry. Simply schedule a call with one of SWAN Wealth's team members. We'll identify what can be done to optimize your cross-border investments and financial plan.
Managing Your Investment Portfolio in Canada as a U.S. Citizen
Managing your investment portfolio in Canada as a U.S. citizen can be confusing because there are investments that cause additional tax complications.
In addition, you will be reporting to two governments with different currencies and methods of taxing capital gains. Thus, if you like to keep life simple, work with a firm like SWAN Wealth that produces two sets of tax receipts.
Most Canadian banks will make 1099 slips if you hold U.S. stock positions and sell. However, banks usually do not produce the full set of slips required for a U.S. person. Your accountant must look through your slips and determine which ones you have and which are missing. Then they must find the missing information. This adds an additional layer of cost to preparing your taxes each year.
In addition, many accountants don’t like to work with clients who don’t have the full set of slips because it's too time consuming. (And clients don’t understand why they have such an expensive tax return.)
They will only work with you if you have a full set of tax receipts from a cross-border advisor.
Moreover, if you work with a Canadian-only advisor, they might invest you in Canadian mutual funds or Canadian ETFs, which may cost you at tax time. On the flip side, if you keep your investment portfolio in the U.S. while living in Canada, your U.S. advisor is unlikely to know which investments are treated tax favourably in Canada.
You may miss out on opportunities to reduce your tax bill.
Ideally, you should find a cross-border financial advisor who can work with you whether you live in Canada or the U.S., as this will save you time and money.
Major Cross-Border Financial Pitfalls to Avoid
When Americans in Canada come to us, they often say, "My situation isn't that complicated. I don't think we'll need to do much differently."
While that may be true for when you live in the U.S., as an American living in Canada, there is always complexity with plenty of pitfalls into which you can easily fall.
Here are some of the main things to avoid and watch out for:
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Do not invest in Canadian mutual funds or ETFs, as they may be considered PFICs.
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Do not keep your taxable non-registered accounts in the U.S. as a Canadian resident.
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Do not contribute to a Roth IRA as a Canadian resident.
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Do not roll over an IRA to an RRSP.
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Do not open a TFSA before speaking to your accountant.
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An RESP is tax-free in Canada but is seen differently by the IRS. There are still some circumstances where it may be beneficial.
Action items for Americans planning on moving to Canada:
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Get a cross-border investment advisor who demonstrates expertise in dealing with clients in situations similar to yours.
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Determine if you are a covered expatriate before giving up your Green Card.
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Plan taxable events before you move.
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Work with a cross-border accountant who can prepare your Canadian and U.S. tax returns so they can match the foreign tax credits.
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Speak to your accountant before opening a Canadian corporation.
If you'd like to learn more about why you should follow these guidelines, please schedule an introductory call with a SWAN Wealth cross-border expert.
Putting Together Your Cross-Border Financial Planning Team
I have had new clients come to me frustrated because they were dealing with people who didn't understand their situation on so many occasions, I've lost count.
When you have to report your worldwide income to two countries, you are exposed to two tax bodies, and you do not want to make a mistake that costs you money. This is why I recommend building a team that has cross-border experience.
You will need:
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A cross-border financial advisor who knows what you can invest in as a U.S. person living in Canada and who can manage your U.S. retirement accounts, whether you live in Canada or the U.S.
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A cross-border accountant who understands how taxes work on both sides of the border and can help you avoid double taxation.
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A cross-border lawyer who can advise on immigration and help determine strategies if you are a covered expatriate or create an estate plan to protect your assets.
Ready to Simplify Your Cross-Border Finances?
At SWAN Wealth Management we know that you want to be free to enjoy your life in Canada.
In order to do that you need a cross-border financial plan that’s tailored to your needs. Your US advisor can’t help you move or manage your investments in Canada, and you might be worried that you’re going to miss something during this transition.
We believe that moving your assets to Canada should be simple and easy. We understand how complex this process can appear — especially since it’s difficult to find clear information online.
That’s why we specialize in helping cross-border clients like yourself.
With over 25 years of experience as Certified Financial Planners and Portfolio Managers, we ensure your cross-border financial plan fits your needs and protects your assets.
Here’s how the process works:
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Schedule a 15-minute introductory call.
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Meet with a Financial Advisor.
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We create a cross-border plan.
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Together, we start the process.
To get started, schedule a 15-minute introductory call.
In the meantime, here’s our Cross-Border Moving Checklist, so you’ll be able to stop worrying about whether you’re missing something and instead relax and enjoy your next adventure.
Choosing the Right Cross-Border Financial Advisor
Here are a series of questions to ask yourself as a guide to choosing the right cross-border financial advisor:
First, consider the logical details:
Do they have the expertise to help me in my situation?
How familiar are they with working with clients like me?
Do they have the ability to quarterback my cross-border finances?
Do they have a fiduciary responsibility?
Can they manage and provide advice on the investments and create a cross-border financial plan?
Do they have someone on their team who can offer advice on taxation in both the U.S. and Canada?
Can they prepare tax returns for both countries if necessary?
Can they help me regardless of whether I live in Canada or the U.S.?
If I move back, can I still work with them?
Next, determine the emotional details by asking yourself:
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Do you feel you could discuss your fears, beliefs, and goals around money?
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What are this company's values?
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Do you feel aligned with this company’s values?
Once you have evaluated both the emotional and logical sides, you will feel confident that you have chosen the right team.
At SWAN Wealth Management we help in the following ways:
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Manage your IRA and retirement accounts from Canada or the US
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Offer a pre-immigration consultation from a tax perspective before you move
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Guidance on retirement benefits such as CPP, social security and Medicare
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Transfer your investments from the US to Canada keeping them in a tax deferred account
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As a portfolio manager we are not limited to just investing in mutual funds but can choose holdings tailored to your individual needs
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Hold investments in US and/or Canadian currency on both sides of the border
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Minimize your tax burden by creating a tailored financial plan
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Manage your investments over the long-term so you can retire happy
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Provide access and management to your investments no matter on which side of the border you live
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Understand the tax implications of various investment strategies
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Create a financial plan that serves you in the short- and long-term
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Act in accordance with our fiduciary duties to ensure every aspect of your financial plan is in your best interest
To get started simplifying your cross-border finances and investments, schedule a call below.
Planning for Your Financial Future in Canada
You're about to make the move—now it’s time to make your money work for you.
Moving to Canada as a U.S. citizen means you're about to take a bold step. Now, it’s about making smart choices to secure your future. Whether you’re moving toward a work-optional lifestyle or currently enjoying retirement, the decisions you make today will shape your tomorrow.
Working with the right cross-border financial advisor gives you clarity and confidence.
At SWAN Wealth, we’re here to help you avoid tax traps and optimize your investments. We act as your guides, helping you avoid cross-border pitfalls so you can enjoy your life and sleep well at night. You won't have to worry or spend hours researching taxes and investments when you know that everything has been taken care of by a team of cross-border experts.
Common Questions
The needs of Canadian expats and American expats are not the same. If you're a Canadian moving to the U.S., then working with a dual-licensed financial advisor is a smart move. However, if you're moving to the UK or another country, you may need to work with a financial advisor who has experience dealing with these countries. At SWAN, we can help individuals living and working in Canada and the U.S.
Yes, but only if they specialize in cross-border issues. A regular Canadian or U.S.-only advisor may not know the tax traps or reporting rules that affect Americans in Canada. Working with a cross-border wealth manager helps you avoid costly mistakes and manage your investments properly in both countries.
Asset allocation must account for currency, taxation, and investment rules in both countries. What works for a Canadian may hurt a U.S. taxpayer. Avoid PFICs, manage currency risk, and ensure your mix of stocks and bonds fits your goals and minimizes taxes across borders.
Yes, but that’s just a starting point. A CFP has a high level of knowledge, but for cross-border needs, you should go further. Look for dual-licensed advisors with experience in U.S.-Canada financial planning and who understand both countries’ tax and estate systems.
The CRA doesn’t penalize PFICs like the IRS does. But if you’re a U.S. citizen in Canada, you still need to report them to the IRS. The issue isn’t the CRA—it’s how the U.S. taxes these investments. It’s usually best to avoid PFICs altogether.
The best expat financial advisor in Canada is someone who is licensed in both the U.S. and Canada, has experience with clients like you, and understands the tax and investment rules in both countries. Look for a team with proven cross-border expertise, not just general financial planning experience.
More Resources
About the Author
Tiffany Woodfield is an Associate Portfolio Manager licensed in Canada and the USA, a Chartered Investment Manager (CIM), a Chartered Retirement Planning Counselor (CRPC), and a Trust and Estate Practitioner (TEP). She is also the co-founder of SWAN Wealth Management, along with her husband, John Woodfield. Tiffany advises clients who live in Canada and the United States and wish to simplify their cross-border financial plan, move their assets across the border, and optimize their investments to minimize their tax burden. Together, Tiffany and John Woodfield help their clients simplify their cross-border finances and create long-term revenue streams that will keep their assets safe, whether they live in Canada or the U.S.
Key Concepts to Understand When Inheriting an IRA in Canada
Eligible Designated Beneficiary:
Certain beneficiaries, such as spouses, minor children, or disabled individuals, are eligible for special distribution rules that allow them to stretch withdrawals over their lifetime instead of the standard 10-year rule.
Inherited Roth IRA:
Inherited Roth IRAs are treated differently from traditional IRAs because withdrawals are generally tax-free in the US. However, Canada may tax the distributions if not properly reported.
Required Minimum Distributions (RMDs):
If you inherit a traditional IRA and are an eligible beneficiary, you may have to take annual withdrawals based on your life expectancy. This is called an RMD. If you are not an eligible beneficiary, you must withdraw all funds within 10 years.
Foreign Tax Credit:
Since IRA withdrawals are taxed in both the US and Canada, a foreign tax credit may help offset double taxation, reducing your overall tax burden. You should work with your accountant and cross-border financial advisor to ensure you minimize the tax hit of this inheritance.
Estate Taxes:
While the US estate tax generally applies to large estates (over $13.99 million in 2025), it can affect Canadian residents who inherit from a US citizen with significant assets. If you are a Canadian inheriting an IRA and the deceased’s worldwide estate exceeds $13.99 million in 2025, you may need to ensure US estate taxes are paid on the portion of the estate above this threshold, as adjusted by the Canada-US Tax Treaty.
Income Tax Deduction:
Some IRA-related expenses or contributions may offer deductions in the US, but they may not apply when the account is inherited.
Surviving Spouse Sole Beneficiary:
If a surviving spouse is the sole beneficiary of an IRA, they have the option to roll it into their own IRA or follow inherited IRA rules, giving them more flexibility in managing taxes and withdrawals.
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