What Ares Management Employees Need to Consider Before Making the Leap to Retire Abroad

Healthcare Provider Update: Provides medical, dental, and vision insurance, along with mental health benefits and flexible work arrangements 11. With ACA premiums projected to rise 18% or more 2, Aress benefits may help employees avoid marketplace instability and maintain comprehensive coverage Click here to learn more

For example, Ares Management 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 Ares Management 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 Ares Management 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 Ares Management employees.

Simply for political, economic, and social reasons, many Ares Management 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 Ares Management.

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 Ares Management 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, Ares Management employees who are retiring abroad need to plan carefully.

Featured Video

Articles you may find interesting:

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. 'Ares Management 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 is the purpose of Ares Management's 401(k) plan?

   The purpose of Ares Management's 401(k) plan is to help employees save for retirement by providing a tax-advantaged way to contribute a portion of their salary.

   What types of contributions can employees make to Ares Management's 401(k) plan?

   Employees can make pre-tax contributions, Roth (after-tax) contributions, and, if eligible, catch-up contributions to Ares Management's 401(k) plan.

   Does Ares Management offer a company match for 401(k) contributions?

   Yes, Ares Management offers a company match for employee contributions to the 401(k) plan, subject to specific terms and conditions.

   How often can employees change their contribution amounts to Ares Management's 401(k) plan?

   Employees can change their contribution amounts to Ares Management's 401(k) plan at any time, subject to plan rules.

   What investment options are available in Ares Management's 401(k) plan?

   Ares Management's 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles.

   Is there a vesting schedule for the company match in Ares Management's 401(k) plan?

   Yes, Ares Management has a vesting schedule for the company match, which determines when employees fully own the matched contributions.

   What is the maximum contribution limit for Ares Management's 401(k) plan?

   The maximum contribution limit for Ares Management's 401(k) plan is set by the IRS and may change annually; employees should check the current limit for the year.

   Can employees take loans against their 401(k) balance at Ares Management?

   Yes, Ares Management allows employees to take loans against their 401(k) balance, subject to specific terms and conditions outlined in the plan.

   What happens to an employee's 401(k) balance if they leave Ares Management?

   If an employee leaves Ares Management, they can choose to roll over their 401(k) balance to another retirement account, leave it in the plan, or withdraw it, subject to tax implications.

   How can employees access their 401(k) account information at Ares Management?

   Employees can access their 401(k) account information through the Ares Management benefits portal or by contacting the plan administrator.

   With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.
   Ares Management has recently announced a restructuring plan aimed at streamlining operations and reducing overhead costs. This restructuring includes potential layoffs and changes to employee benefits as part of a broader effort to improve operational efficiency. It is crucial to address this news due to the current economic environment, where companies are making significant adjustments to adapt to shifting market conditions and regulatory changes. The investment climate is uncertain, and understanding these changes is vital for navigating financial planning and tax implications. Additionally, political decisions on economic policies may influence how these restructuring measures impact employees' retirement plans and benefits.