Life as a perpetual traveller feels like freedom — no lease, no commute, no fixed address. Your home is wherever you choose: Lisbon this month, Bali the next. For many Americans, it’s the ultimate lifestyle — blending work, exploration, and independence.
Yet behind the freedom lies financial complexity. As a U.S. citizen, you remain tethered to the U.S. tax system and financial regulations, no matter where your travels take you. Without careful planning, the dream of perpetual travel can become a maze of banking restrictions, tax pitfalls, and insurance gaps. Financial planning is the stabilising force that allows your global life to stay sustainable.
Below, we outline the key financial considerations for Americans who live life on the move — from taxes and banking to investing, insurance, and estate planning.
1. The IRS Travels with You
Leaving the United States doesn’t mean leaving the IRS behind. Every American citizen must file a U.S. tax return annually, reporting worldwide income — even if they have not set foot in the States for years.
Fortunately, tax rules provide relief. The Foreign Earned Income Exclusion (FEIE) allows you to exclude up to $130,000 (2025 figure) of earned income from U.S. taxation, provided you meet the physical presence test (330 full days abroad in a 12-month period) or qualify under the bona fide residence test.
Keep meticulous travel records — flights, accommodation receipts, passport stamps — to substantiate your claim if ever challenged.
In addition, if you hold foreign bank or investment accounts, you may need to file FBAR (FinCEN Form 114) and Form 8938 (FATCA). Penalties for non-compliance can be steep, even for unintentional omissions.
Not all foreign investments are suitable for U.S. taxpayers. Foreign mutual funds and ETFs are often treated as PFICs (Passive Foreign Investment Companies), which can trigger punitive tax rates. Real estate held in your own name, however, is typically only reportable if sold or rented out.
Before investing abroad, seek advice from a U.S. expat financial advisor familiar with cross-border regulations.
2. Banking: Keep It Simple, Keep It Accessible
Maintaining access to your money is one of the biggest practical hurdles for long-term travellers.
Many U.S. banks are cautious about retaining clients with foreign addresses, sometimes freezing accounts or restricting services. If you plan to travel indefinitely, contact your bank before departure to confirm they can accommodate your new circumstances.
Savvy travellers may sometimes pair a U.S. online bank with a multi-currency fintech account such as Wise, Revolut, or Monzo. This combination may offer the stability of a U.S. base and the flexibility to pay and withdraw in local currencies at low cost.
You may opt for debit cards that refund ATM fees and avoid excessive foreign exchange charges — small details that can make a big difference when you’re moving constantly between countries.
3. Investing Without Borders
Your address might change every month, but your long-term financial goals shouldn’t.
Retirement accounts like IRAs and 401(k)s) remain intact while you’re abroad and can continue to grow tax-deferred. If you have U.S.-sourced earned income, you may still be able to contribute.
For simplicity and compliance, keep your investments U.S.-based. Exchange-traded funds (ETFs) and index funds listed in the U.S. avoid the reporting headaches and punitive taxation that can accompany foreign investments.
Diversify globally within your U.S. accounts rather than through overseas platforms. And avoid “day-trading from the beach” — a globally diversified, long-term approach is still the most effective way to grow wealth.
Currency planning also matters. If you expect to retire in Europe, consider holding some euro-denominated assets to match future spending.[UG1]
4. Health Insurance: Your Hidden Vulnerability
Healthcare is the area most perpetual travellers underestimate.
Medicare does not cover treatment outside the United States. If you fall ill abroad, you’ll need international health coverage to protect yourself from catastrophic costs.
Choose a global medical insurance policy that covers major hospitalisation, emergency evacuation, and repatriation. A single medical evacuation can cost over $100,000 — making proper coverage essential.
If you plan to return to the U.S. later in life, remember to enroll in Medicare at the appropriate time. Delaying enrollment can lead to lifetime penalties. Until you return, a combination of Medicare (when eligible) and international coverage can provide a strong safety net.
5. Estate Planning for the Borderless Life
Even if you don’t own a home or have dependents, estate planning is vital.
Travellers often accumulate assets across jurisdictions — from digital wallets to investment accounts. Without a valid will and properly designated beneficiaries, these assets can become entangled in legal complexities.
Keep your will valid under your home state’s laws and check that [UG2] all beneficiary designations (on IRAs, life insurance, etc.) are current. Store digital copies securely, accessible from anywhere.
If you’ve acquired assets in foreign countries, consider local legal advice to understand inheritance rules — some jurisdictions impose forced heirship laws that may override your U.S. will.
6. Cash Flow and Currency Management
Without a fixed address, you must treat cash flow as your safety line.
Maintain at least three to nine months of living expenses in liquid form, ideally split between U.S. dollars and one or two major currencies (such as euros).
Use fintech tools that allow multi-currency balances and low-fee transfers to manage spending efficiently. Wise, Revolut, and similar services often provide real-time exchange rates and virtual cards, helping to minimise losses from currency fluctuations.
If you earn primarily in U.S. dollars but spend in other currencies, keep an eye on exchange rate risk. Major currency shifts can quickly affect your lifestyle costs. A buffer fund helps smooth volatility.
7. Build a System, Not a Scramble
The greatest advantage of sound financial planning is consistency.
While your lifestyle may be fluid, your financial routines shouldn’t be. Establish a structured framework:
- Automate savings and investments each month.
- Collect all financial statements annually in one digital vault.
- File U.S. taxes by the IRS deadline (June 15 for expats, with an automatic two-month extension).
- Review insurance policies midyear.
- Adjust retirement contributions by year-end.
A few automated reminders can prevent costly mistakes and preserve your peace of mind while you focus on the adventures ahead.
Final Thoughts
The perpetual traveller lifestyle is deeply fulfilling — offering cultural immersion, personal growth, and unmatched freedom. But that freedom may come with increased complexity, especially for U.S. citizens subject to the world’s most far-reaching tax and reporting system.
With proactive planning, disciplined systems, and guidance from qualified cross-border financial advisors, you can manage your finances confidently from anywhere on the planet.
Financial freedom isn’t just about earning more — it’s about creating stability that travels with you. Once you have that structure in place, you’re free to enjoy the journey — wherever it leads next.
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This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
Investment advice and investment advisory services offered and provided through Blacktower Financial Management US, LLC. This communication is for informational purposes only based on our understanding of current legislation and practices which are subject to change and are not intended to constitute, and should not be construed as, investment advice, tax advice, tax recommendations, investment recommendations or investment research. You should seek advice from a professional before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.