Hobo Goes Home for Thanksgiving I have purchased a one-way ticket with Delta Airlines from Bangkok, Thailand to Indianapolis, Indiana for 1038 U.S. Dollars.
I will fly into the USA on the 26th of November and fly out on with Taca.com to Guatemala on the 8th of December for 238 USD one-way.
I cannot be in the USA over 30 days per year or I have to pay Uncle Sam Taxes, if I stay out of the country 335 days, I can earn up to 80,000 USD and not pay taxes. In reality, I am only in country for about 20-25 days; I need to keep a few days open for an emergency need to return to the USA. I did hear that if I had residency in another country, I could actually be in the USA longer, this is just rumor and I do not know anyone who is actually utilizing residency in another country this way.
I will be in Guatemala, checking on Backpacks, thinking about building a Hostel and calling the USA on Skype.com because I am in the same time zone.
Around say the 15th of January I am hoping to head south to Peru to go look for los menos civilizados near Pucallpa. I am tempted to say uncontested tribes, however the reality is it the lesser contacted tribes. The locals call them, “Ellos sin ropa.”
Andy,Foreign income exclusion.I think your safety factor of 5-10 days for emergencies is a prudent idea.Splitting hairs.The IRS current publications state that the maximum foreign earned income exclusion is adjusted annually (since 2006) for inflation. For 2007 tax returns, the maximum exclusion was increased to $85,700, and for 2008 returns it is $87,600.And the requirement for days abroad is that a U.S. citizen or a U.S. resident alien must be physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months.You can actually be in the USA for 35 days per year but certainly wouldn't want to cut it close.If my math is right, they would have us believe US inflation is only 2.2 percent annually. The Bureau of Labor Statistics show 4.1 percent inflation for 2007 and I calculate from the Bureau's website that the 2008 inflation is on track to be about 4.5 percent. As I understand it, they don't include food or energy costs in the calculation. Seems silly as who can get around food and energy costs? As a result many experts seem to agree that real inflation is higher than officially reported in the US.Hard to complain really as any way you slice it US inflation appears low to moderate by world standards.The other thing that seems skewed is that they are adjusting the max income exclusion based on USA inflation for people NOT living in the USA. Thus, is it good strategy as a matter of efficiency to spend more time in countries with a combination of lower than US inflation and where purchasing power parity is advantageous?All this is no big deal for those well under the max exclusion I suppose. But for those hovering near the threshold one tends to analyze a bit more.Your Flights...Interesting that both your flights BKK-IND and ORD(assumed)-GUA are right around 12 cents per mile.Eric
Thanks for the update on the number, I wish I was closer.I am a conservative person, I seldom need to split hairs, I believe in giving plenty of room for problems, the world is not a perfect place.12 Cents per mile, this would be double former method of calculating world trips.