Logistics & Legal: Moving Abroad

I lived in Heidelberg, Germany from May 24th until December 21st, 2019 for a work opportunity in my employer's German office. It turned out to be the most challenging yet rewarding experience.

An important component to life abroad is the summation of logistical and legal aspects. This document provides an outline of everything I went through as an American employee moving for a temporary work assignment in Germany (2019). If you are interested in cultural aspects and day-to-day life abroad, I will be posting other articles in the future. Stay tuned.

This content may apply to other abroad situations (i.e. long-term stay, study abroad, etc.) in different EU countries; however, the procedures will vary. It will certainly provide an idea of what to expect and give you solid pointers to go off of. At time of travel 1EUR = 1.1USD.

We will cover:

1.     Domestic preparation [three months before departing to new country]

2.     Arriving & Settling Abroad [first three weeks upon arrival in new country]

3.     Returning & Terminating [last two weeks before returning to home country]

Domestic Preparation

Failure to complete domestic procedures will either prevent you from going abroad or make your first weeks/months abroad extremely difficult; find out what is required, start early, and be meticulous. Here is everything I recommend you look into when preparing (start this three months before departing to your new country).

Visa

With a US passport you can travel (not work) in Germany for 90 days. Upon entrance to the country you step into the Schengen Area (26 countries that allow for free flow of people https://www.schengenvisainfo.com/schengen-visa-countries-list/ ). If your stay is within 90 days, you do not need any extra visa permits.

However, if your stay extends beyond 90 days or you will be working (for any duration) you need to obtain a proper long-term stay permit/visa to live in another country. This comes in the form of a Work Visa or a Student Visa (there are likely other options as well) that allow you to stay in the country until a specified date. For students, your domestic or international university partner will handle the student visa. For employees, your employer will coordinate the work visa.

Cash & Currency

In Germany, cash is still king. They use the Euro like many other EU countries. Here’s a list of countries that use and don’t use the Euro: https://europa.eu/european-union/about-eu/euro/which-countries-use-euro_en

Moving between international currencies is challenging and you will get hit with fees when converting or withdrawing money. The goal is to minimize the number of times you are hit with a fee. To do this, withdraw large sums of cash rather than small amounts (often the ATM fees charge a 1x flat rate fee of approx. 5EUR, not a percent of the transaction). 200 EUR did the trick for me, but never carry all of this on you. Additionally, use credit card wherever possible to save your cash resources.

When using ATMs, you can use your credit card with a cash advance or a direct debit from a debit card. First, check with your current bank to see if they offer any courtesy international withdrawals and let them know you will be travelling internationally. If not, I recommend using TransferWise due to their flexibility (see more on TransferWise below).

Before leaving the country, it would be wise to contact your local bank and obtain 600 Euros (depends on your duration of stay, how much you will be spending, etc.). You can use this as starter cash and to open a German bank account if necessary (more on bank accounts to come). Keep coins on you because bathrooms cost 0.50 or 1.00EUR.

TransferWise

At least 2 months before you leave, register online with them and they will ship you a debit card that you can use in any country. TransferWise is a banking service that allows you to open bank accounts in other countries online, allowing you to transfer money into the local currency for withdrawal at ATMs. You first transfer money into TransferWise, then you can transfer within other currencies from there. Easy and fast with minimal fees.

Here is a my TransferWise referral link! https://transferwise.prf.hn/l/KXaQPpR

Outlets & Power

USA standard wall outlets run on 110V. The rest of the world uses 220V. All across the world there are different plug layouts for plugging into the wall. To use your USA device that runs on 110V in a foreign 220V outlet, you need to:

1.)   CONVERT the voltage from 220V to 110V. Not doing this will overload the electronic circuit and burn out the device. These devices are called converters because they convert high voltage to low voltage, then deliver that low voltage to your device.

2.)   ADAPT the plug layout from the US-style two vertical slender tabs to whatever you will plug into. These devices are called adaptors because they adapt to the local outlet. There are universal adaptors available that offer the entire array of plug layouts.

Note that crucial electronics (laptop and phone) likely have dual compatibility and can work with either voltage system. Read the labels/tags on your chargers/converters cubes to ensure. If charger label says something similar to: “INPUT: 100- 240V” or “up to 220V” you should be good.

On the right is a universal adaptor. The two-pronged circular plug is European. You plug your device into the other side of the block.

Unlock your Phone

Unlocking your phone involves contacting your phone provider so they allow you to remove the existing SIM card in your phone and replace it with another. Depending on your phone plan, your SIM card may be ‘locked’ inside for a certain period before allowing you to switch to a different SIM card (6mo-1yr). Contact them ASAP and see how to unlock your device if you plan to switch SIM cards abroad (recommended – see section Arriving & Settling à Phone).

Credit Card

Some countries in Europe primarily use cash, others use mainly card, and some are eliminating cash completely (@Sweden https://www.cbsnews.com/news/sweden-is-going-cashless/). Obtain a credit card that has no foreign transaction fees; use this whenever possible. Visa and Mastercard are global, Discover is domestic US only. I used CapitalOne because: no foreign transaction fees, obtained easily as a student.

When paying, if offered the choice to pay with 'USD' or Foreign 'Currency', always select foreign currency as this is cheaper. Same goes if a street vendor accepts USD, the price will be much higher than if you pay in local currency. In summary: keep it credit, keep it local.

Paperwork

You will likely utilize an online portal you to submit paperwork. For my work visa, I used a service called Fragomen (prompted by my employer). The paperwork isn’t simple. It required signatures from my University and employer, University stamps of approval on enrollment documents, and more. Start this as soon as possible.

Consulate Visit

You may or may not need to visit the local consulate of the country you will be living in. For me, this meant visiting the German Consulate in Chicago. This was the last step in the paperwork process in order to receive my work visa (which was pasted onto two blank passport pages). Be sure to ask the consulate what paperwork is needed. You will need:

1.)   Completed paperwork, 2 or 3 copies of each

2.)   Passport, which they will keep and paste the visa inside of, then mail back to you in 3-4 weeks

3.)   Passport photos, you can get these at a Walgreens, get at least 4 as you may need them abroad

This is a visit of great importance. You have one shot… consulates are booked year-round with rare openings. It took me over a month to find an appointment after checking daily to see if someone had dropped their appointment the night before. No German needed, but a 'Guten Tag' and 'Danke' certainly don't hurt!

Passport

Be sure you have an updated passport with a handful of blank pages (and at least one set of 2 adjacent blank pages when opened like a book – your VISA will go here). Note that you will need to meet the passport regulations of your new home country and regulations of anywhere you want to travel. Most countries require your passport to be valid for 6mo to 1 year after visiting. Play it safe and if your passport expires in the next two years, renew it!

Health Insurance

All Europeans have health insurance provided by their government that residents pay for through taxes. Your coverage gets complicated depending on your situation, but it is the law to have health insurance while in the EU.

1.)   Vacation – totally chill, you have whatever healthcare you had in your home country

2.)   Study abroad – Universities tend to force students to enroll in their international healthcare plan (their students, their liability). This was my situation. I dropped off my parent’s plan for seven months – it was cheaper – then rejoined parent’s plan upon returning to the USA.

3.)   Employed by US office, working abroad – if you utilize your US company’s healthcare plan, check and be sure it has an international component. If they are sending you abroad for work, it likely does.

4.)   Employed abroad, working abroad – if you are starting a new job for a foreign-based company (i.e. a start-up in Berlin), you will enroll in local healthcare and join the system because your income taxes pay for healthcare, ask your manager for advice on how to enroll.

International Driver’s License

Even if you won’t have access to a car, the longer you stay somewhere the greater the chance you will likely end up behind a wheel. Consider you may drive for work trips, rent cars in other countries while on vacation, etc. I didn’t bring a license and was OK but would have liked one in order to rent a vehicle while in Greece. My parents used AAA (Triple A) when they visited to rent a car. It costs $20 for the license, bring your current license, passport, and passport photos to the AAA office. No test needed; they simply create a new international version of your license that has translations and relevant info that other countries need to see. Example below.

General Accounts

As a general note, be aware many of your accounts will be flagged for illegal activity. It’s great to see your bank ward off errant, fraudulent international purchases – except when it’s actually you. Do your due diligence to alert any banks and other services that your location is changing. Change any dual securities/authorizations/verifications to allow for codes being sent via e-mail rather than via text (assuming you will obtain a new international phone SIM card / phone number).

Arriving & Settling

Register – anmeldung

When first arriviving in Germany, you will be chilling in the Schengen Area with no problem. In order to legally stay in the country, you must register. Registering, or ‘anmeldung’ in German, involves walking into the Town’s Municipal Center (‘Rathaus’) and bringing all your paperwork (visa, passport, work permit, new living address, etc.). You must know where you are living permanently for the duration of your stay to register! After your visit you are given very important papers and will be sent a tax ID in the mail; now you are officially here to stay! You will need to unregister (‘abmeldung’) before leaving the country permanently.

Important note! When registering you will be asked for your religious affiliation. What they will not mention is that that you must pay taxes to your religious community. "As a German resident, you are subject to church tax if you are a member of a religious community which is allowed to levy church tax in Germany. These are in particular the Catholic Church and the Protestant Church in Germany. You generally become a member of these churches through being baptized in such church." (Deloitte Tax, 2020). This comes directly out of your paycheck at work. If you wish to avoid this tax, say you are atheist.

Rundfunkbeitrag

Now that you are in the government’s system, you get the fun privilege of paying for things you don’t want. Number one on the list is the Rundfunkbeitrag. This is a monthly fee of 17.50EUR you have to pay in order to have access to government radio and TV. Don’t watch TV or listen to radio? Doesn’t matter - it's mandatory. Oh, and remember this must be a bank transfer ??. And the mail that comes will all be in German.

Translating

For written document translation, the local fan favorite is deepl.com. They have a desktop 'app' you can download on your laptop and rapidly translate chunks of text with high accuracy (better than Google Translate). Other recommended apps are below in the 'Useful Apps' section.

Mail

Keep all of this because only the government and its subsidiaries will be sending you mail and it’s likely important. All mail is in German and translating legal documents may be one of the most frustrating things you will do. Patience… but don’t hesitate to ask your German work colleagues to translate and give you the sparknotes version!

Bank Account

This is extremely important, because rather than using your credit card for payments, Germans use either cash or bank transfers. Thus, you need bank credentials/details when signing up for services (bus pass, Rundfunkbeitrag, etc.).

You must register first, because you need your Registration Document and your Tax ID (biproducts of registration). Bring all of your documents (passport, work visa, basically anything that has to do with your legally being in Germany) to a local bank branch along with 200 EUR. The bank I used, Sparkasse, accepted USD. Let them know your plans, how long you will stay, when you expect to close the account, and if there will be any fees. Be transparent and allow them to best advise you. I encountered no troubles or fees opening and closing the account with Sparkasse.

You will also receive a debit card which you can use to withdrawal free money from the bank’s ATMs! Why do you need TransferWise? For when you travel and need cash, and for transferring money into and out of your German bank account.

Transit Pass

Public transit is great! I lived 7 months in Germany, visited 16 countries, commuted to work every day, and didn’t need a car to do so. For your local commute and getting around your city, google to figure out what the local transit provider is called. You can buy one-ride tickets at little kiosks at the bus/train stops (with cash!). A transit pass saves you money. Living in Heidelberg, the local provider was RNV = Rhein-Neckar Verkehrsverbindung. Country-wide provider is the Deutsche Bahn (DB) and ICE (inter-continental express). The DB and ICE are more expensive, careful not to ride their trains rather than the local service you are paying for (DB will fine you 60EUR). When you go to the office for your transit pass, bring your bank details -yep, bank transfer- and one of those extra passport photos you kept handy.

Rent or buy a used bike, too! There are almost always bike lanes on the sides of streets (Fahrradweg or Fahrradstra?e) that give riders a safe zone. If it’s dark out, be sure you have lights front and rear – it’s the law for your bike to be lit!

Useful Apps

A handful of new apps to download before heading out. They assist with finding transit connections, translating, and mapping.

1.)   Local transit – the RNV provider had an app that showed all connections from A to B, live updates of train times, and more. Masterful app.

2.)   DB Navigator – this is how to find all other connections, such as from the airport to your new home or when travelling to a different country.

3.)   Google Translate – I cherish this app because you can download languages to your phone and then translate without wi-fi or data. Very powerful and highly practical when trying to figure out what’s on the dinner menu.

4.)   Google Maps – Another gift. The last time you are connected to wi-fi before flying somewhere, you can download a map of the airport, area you are visiting, etc. This can be an absolute lifesaver when you’re cluelessly roaming the streets of Morocco with no internet access and no English-speakers.

5.) WhatsApp – the main form of communication across all of the EU. If you have a US SIM card still , you can text your US friends thru WhatsApp using wi-fi. If you bought a new German SIM card, you can text the States (any phone that has WhatsApp) using wi-fi/data no problem.

Insurance

Your health insurance / healthcare was covered previously in the pre-departure section. As you begin talking with Germans, you will find they have insurance on everything. It’s interesting, but wow. One of the more useful and practical insurances was ‘personal liability insurance’. The covers you in case your bike blows a tire, you fall off, the bike flings into the street, hits a car, the car swerves into a wine shop, and causes $50,000 worth of wine damage. Seems silly… but my bike stand slipped up once and you’d be surprised at the dent a bike frame can make in a Mercedes… and how much it can cost to fix that.

The insurance plan I registered for was through Basler (BSV) and cost 70EUR / yr, no deductible, for coverage up to 2 Million. Turns out I could be pretty clumsy if desired.

Insurance is too complicated to deal with for short stays. If you are staying longer and decide to opt-in, expect a bank transfer for payments. When you are departing, provide them with your 'I'm leaving the country' documents so they can't keep charging you.

Travelling with your Passport

In general, anytime you leave your new home city bring your passport with you. Any mode of transit (train, bus, flight) that crosses an international border will likely checks passports, so plan for it. Hostels and airlines always check. When don’t you need your passport on you? Throughout your day-to-day, going to work or class, walking around town. But once outside your home city, keep it tight on you as it serves as an entrance ticket but also a ‘get out a jail free card’ when things hit the fan. In an emergency, seek the US consulate. Having your passport is a major help.

Note, too, random tourist destinations can require passports to enter (@Louvre in Paris).

Phone

A brief overview of phones! In the US I had a local AT&T SIM card that let’s me call, text, and use data in the US & Canada for free. We can also text using wi-fi using texting apps.

There are three options when going abroad:

1.)   Keep your current SIM card, use airplane mode and utilize wi-fi

• This is free, you can only use wi-fi apps to communicate, no data when walking around

2.)   Keep your current SIM card, pay for an international data plan

• Typical rate is $10/day when travelling, perhaps you can get a better for a longer term if you talk to your provider. Now you can get data when you're out and about and in emergencies.

3.)   Buy a new German SIM card, pay for a local data plan (Recommended)

• Use AldiTALK - SIM card costs $15, plus phone plan of $10/month for talk, text, and data. Visit an AldiSüd or AldiNord near you when you arrive.
• Make sure your current phone is ‘unlocked' as discussed earlier in this article.

Note that figuring out your phone situation should be a top priority upon arrival. This helps with finding public transit connections, calling the friends if you get lost, or simply performing day-to-day tasks when you are out and about. Remember that a European SIM card covers the ENTIRE European Union per a recent law. Your travels to Paris, Amsterdam, and London (well- actually they left the EU...) got a whole lot easier! But be sure to take know which countries are in the EU and which are not!

You’ll be using your data mostly for internet access, not for calling and texting. Europeans call and text through the texting app – WhatsApp. Free to download. And because it still costs megabucks to call and text thru SMS (cell towers) outside the EU with your German SIM card, the best way to keep in touch with family and friends from home is WhatsApp, Facebook Messenger, and Viber.

Returning & Terminating

Unregistering – abmeldung

Approximately four weeks before you head out, you must unregister (abmeldung) at the local municipal building (Rathaus). Show up with your passport and other key docs you’ve collected, and walk out with the crucial Abmeldung-Best?tigung. This is your official government document that states you are leaving the country and assists in breaking other agreements/payments by proving you are leaving. The visit only lasted five minutes.

Ending Payments & Agreements

Armed with the Abmeldung-Best?tigung, head to your transit provider to cancel your pass, cancel any insurance policies, cancel your Rundfunkbeitrag payments thru their website, etc. You want a clean break from all financial commitments. This will allow you to return to Germany in the future without any problems.

Taxes

Taxes are a concern when you have income while living abroad. You can and should avoid double taxation. Depending on how and by whom you are employed, you will either pay German or US taxes (not both). Note: in 2019, based on entry level paying job... US income tax rate = 18-20% (2019 under Trump Administration), German income tax rate = 30-35% (cap at 42% when making 55,000EUR, 2019).

1.) If you are a US employee being paid from the US office, then

• You will file two tax returns. One in Germany, one in USA. During employment, you pay US taxes when money goes into your US bank account. Meanwhile, your employer pays German taxes on your income. When filing taxes for the fiscal year in both countries, an allocation will be performed to eliminate this double taxing. The German taxes your employer paid will be redirected to you via the IRS, then you will write a check to your employer. This double joint filing will likely be coordinated with a consulting/accounting agency, I worked with Deloitte.

2.) If you are employed by a foreign company (i.e. start-up in Berlin), then

• You will file German taxes. through your German employer. Of course, handle anything in the US if you had income during the US fiscal year (but this is separate from your German income). I am not an expert in this situation, speak with your employer for clarification.

In the tax process, you will likely be asked for your religious affiliation. Make sure this matches your religious declaration you made when Registering (anmeldung). To reiterate: "As a German resident, you are subject to church tax if you are a member of a religious community which is allowed to levy church tax in Germany. These are in particular the Catholic Church and the Protestant Church in Germany. You generally become a member of these churches through being baptized in such church." (Deloitte Tax, 2020). This comes directly out of your paycheck at work. If you wish to avoid this tax, say you are atheist and answer questions as such. #NoTimeForTithe

Close foreign bank account

Make sure to wrap this up, because doing this from the States would be incredibly difficult if not impossible. Bring all your docs again and it should take 10 minutes to close it.

Work Referral

Before leaving, ask your local German HR department for a reference letter. This is a standard German practice and expected to be provided upon employee termination. They may forget because you are headed back to the US and think it won’t be valuable… but think long term! Maybe you’ll return to Deutschland and look for work one day - that reference letter just made you the top international applicant!

Health Insurance

Don’t forget to double check you now have health insurance returning to the states! My study abroad insurance ended and I forgot to get back on my parent’s plan immediately… resulting in 20 days uninsured. Nothing a little bubble wrap can’t help.

Reverse Culture Shock

To be honest, I found this notion humorous. It’s difficult going to a new country, but coming home? Home is home… but remember, you’ve changed - home hasn’t. Embrace your differences and allow time to adjust.

Closing Comments

Another article about moving and working abroad: https://www.dhirubhai.net/pulse/what-you-need-know-before-living-working-germany-natalie-kalinowski/

Cool places to visit in the EU: https://philparisi.weebly.com/euro-travel.html

Size comparison of US States vs. European Countries: https://pancake.shinyapps.io/Euro_US_Comparison/

Hopefully this information will make you feel more prepared as you gear up on your next adventure. Yes it's a lot, but it's worth it. We're capable of doing more than we think; living/working abroad will stretch you to your limits. Let me know what questions you have - reach me at [email protected]. Cheers!