What American International Group Employees Need to Consider Before Making the Leap to Retire Abroad

Healthcare Provider Update: Healthcare Provider for American International Group American International Group (AIG) does not operate its own health insurance plans but partners with various insurance providers to offer services. Key partners include major healthcare insurers such as UnitedHealthcare, Anthem, and Cigna, among others. These collaborations allow AIG to provide diverse health insurance options to its clients in a variety of markets. Potential Healthcare Cost Increases in 2026 As AIG navigates the changing healthcare landscape, a significant rise in health insurance premiums is anticipated for 2026, particularly within the Affordable Care Act (ACA) marketplace. Reports indicate that some states may experience premium hikes exceeding 60%, driven by factors such as increasing medical costs, the expiration of federal premium subsidies, and aggressive rate increases by major insurers. Without congressional action to extend enhanced subsidies, an estimated 22 million enrollees could face out-of-pocket premium increases of over 75%, potentially pricing many middle-income Americans out of affordable coverage. This convergence of market forces poses substantial challenges for both insurers and consumers alike, reshaping the healthcare landscape in the coming years. Click here to learn more

For example, American International Group employees planning on moving overseas need to have a clear plan of action to overcome the challenges of acquiring residency and citizenship in another country,' according to Brent Wolf from The Retirement Group at Wealth Enhancement Group.

Kevin Landis of The Retirement Group, a division of Wealth Enhancement Group, explains why detailed planning is crucial for American International Group employees who intend to retire abroad. However,

In this article we will discuss:

1. The complexity of obtaining residency or citizenship abroad: Discussing the legal, financial, and cultural issues that are involved in moving overseas for American International Group employees.

2. The necessity of professional advice and planning: Emphasizing the importance of thorough preparation and professional advice to ensure a smooth transition to retiring abroad.

3. Tax advantages and financial planning for retirees: Explaining the possible tax advantages that are available through international treaties and the strategic financial planning that needs to be done for the retirement savings of American International Group employees.

Simply for political, economic, and social reasons, many American International Group employees are looking to secure citizenship or residency in other countries if the United States is not as attractive as it once was. But, getting residency in another country and, perhaps, citizenship is not as simple as just buying a plane ticket and setting an itinerary.

This is because there are many processes that may take a few years to accomplish at times. The more people who are considering these options, the more difficult these choices become. It is therefore crucial to identify the legal, financial, and cultural implications that arise in order to ensure a smooth transition to a new home overseas before embarking on this journey.

Without a proper plan and some professional advice, it can be quite a challenge to switch gears and retire during your tenure at American International Group.

The impact of potential tax advantages when retiring abroad will definitely affect your financial position. Many countries, including the United States, have tax treaties that prevent income from being taxed twice. For instance, pensioners are attracted to Portugal by the Non-Habitual Resident (NHR) regime that offers special tax concessions for up to 10 years.

You can enhance your retirement benefits by taking advantage of these perks and seeking the advice of a tax specialist. The IRS notes that because these treaties can be very different it is important to research and seek the advice of a professional (IRS, 2023). These advantages must be used by American International Group employees to enhance their retirement.

Expatriating and retiring is a process of planning a long and beautiful road trip. Just as you would not travel without a map, a well-maintained car, and knowledge of your location, American International Group employees who are retiring abroad need to plan carefully.

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Step by step, you will be guided on how to make your transition to your new home easier, from explaining cultural differences and tax benefits to helping you understand the legal and financial environment. Just as a road trip opens new views and experiences, retirement abroad presents a world of possibilities for a happy and comfortable retirement.

Sources:

1. The Warren Street Wealth Advisors Team. 'American International Group and Large Company Employees.' Warren Street Wealth Advisors, 3 Feb. 2025, Accessed from warrenstreetwealth.com.

2. 'US Taxes for Americans Retiring Abroad in 2025.' MyExpatTaxes, 20 Nov. 2024, Accessed 3 Feb. 2025 from myexpattaxes.com.

3. Toms, Mary, CPA, MBA, MS. 'US Tax Implications of Retiring Abroad: What You Need to Know.' PBMares, 10 Dec. 2024, Accessed 3 Feb. 2025 from pbmares.com.

4. 'Financial Planning for US Expatriates.' The Expat Financial, Accessed 3 Feb. 2025 from expatfinancial.com.

5. 'Retiring Overseas: What You Need to Know About Your US Taxes and Financial Planning.' Expat CPA, Accessed 3 Feb. 2025 from expatcpa.com.

   What type of retirement savings plan does American International Group offer to its employees?

   American International Group offers a 401(k) retirement savings plan to its employees.

   How can employees of American International Group enroll in the 401(k) plan?

   Employees of American International Group can enroll in the 401(k) plan through the company’s benefits portal during the enrollment period or upon starting employment.

   What is the employer match policy for the 401(k) plan at American International Group?

   American International Group provides a matching contribution to the 401(k) plan, which typically matches a percentage of employee contributions up to a certain limit.

   Are there any eligibility requirements for American International Group’s 401(k) plan?

   Yes, employees must meet certain eligibility requirements, such as a minimum length of service, to participate in American International Group's 401(k) plan.

   What investment options are available in the American International Group 401(k) plan?

   The American International Group 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and company stock.

   Can employees of American International Group take loans against their 401(k) savings?

   Yes, American International Group allows employees to take loans against their 401(k) savings, subject to specific terms and conditions.

   What is the vesting schedule for employer contributions in the American International Group 401(k) plan?

   The vesting schedule for employer contributions in the American International Group 401(k) plan typically follows a graded vesting schedule, which means employees earn ownership of the contributions over time.

   How often can employees change their contribution amounts to the American International Group 401(k) plan?

   Employees of American International Group can change their contribution amounts to the 401(k) plan at any time, subject to the plan's rules.

   What happens to the 401(k) savings if an employee leaves American International Group?

   If an employee leaves American International Group, they have several options for their 401(k) savings, including rolling it over to another qualified plan or withdrawing the funds.

   Does American International Group provide resources for employees to learn about retirement planning?

   Yes, American International Group offers educational resources and tools to help employees understand their 401(k) plan and make informed retirement planning decisions.

   With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.
   American International Group (AIG) is a leading global insurance organization. The company provides a wide range of property casualty insurance, life insurance, retirement products, and other financial services.
   AIG offers RSUs and stock options to eligible employees. The stock options vest over time, providing long-term incentives.