Income tax for expats

Hi there, I am moving to PR with my wife and daughter. We are actually living the Czech Republic and i work for an American company and we would like to get some advices in the following:

- Income tax ... how much you pay as expat?
- Medical/dental care ... what is the cost for a family of 3 members
- Services cost ... what is the average a small family size pays a month?
- What are the areas you would recommend to rent townhouse/houses?

Thanks in advance,
Ruben

Income tax: It's complicated because you'll either pay to the US or to PR depending on where your income comes from. I haven't had to pay PR yet, so can't compare.

Medical/Dental: We just signed up self-insured family at $275/mo to Triple-S, the major provider on the Island. I'm not sure that includes dental.

Services: Electricity is petrol generated and hence some of the most expensive rates in US. We pay $75/mo, and that's with a low income break and without A/C. Petrol is $.70/L. Propane at $20 a small tank. $90/mo cable/internet/phones.

Housing: Look in gated communities if possible. In what part of the Island will you be working?

Thanks for the info….

My salary comes from St. Louis, MO.

Re housing, I am looking in gated communities … do you have some recommendations?

Thanks in advance,
Ruben

The tax exception is for certain employees of US government. See www.irs.gov/publications/p570/index.html for details.

I don't have a recommendation for gated communities -- there's a lot of them and they do vary. Our town is quickly turning into a bedroom community for San Juan, and here is a sample listing for a gated community down our street.

homes.point2.com/US/Puerto-Rico/Gurabo/VEREDAS-Real-Estate.aspx

Perhaps websites like this are a good way to scope things out.

I'd pick what school you want your daughter to attend before focusing on where you want to live. Here are a few suggestions are:

Commonwealth-Parkville
St. John's
Academia Perpetuo Socorro

Hi Ruben,

In terms of places to live in PR you may find usefull my blog "Relocating to Puerto Rico" http://earlytrend.blogspot.com/2010/05/ … -rico.html
If you already know in which city are you going to work, maybe I can provide some suggestions on more precise places.

Concerning Income Tax, it doesnŽt matter where your salary comes from, if your labor activity is held in PR, then your contribution will go to the "Secretaria de Hacienda" of Puerto Rico. Tha tax rate will depend on your income level, as it is progressive, and on the dependents you have under your responsibility.

Health coverage: if you can choose I would suggest Triple S adding Delta Dental Plan (I think this is the best value for your money).

Should you have any additional inquiries I would be more than pleased to help you.

Regards,

Miguel Mucci