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Retirement Abroad? Key Costs Gannett Employees Should Consider Before You Go

'Gannett employees considering retirement abroad should recognize that worldwide taxation, limited Medicare coverage overseas, currency fluctuations, and cross-border estate coordination can materially influence long-term income and legacy planning. Be sure to take a comprehensive view of these factors and consult qualified legal and tax professionals before making an international move.' – Paul Bergeron, a representative of The Retirement Group, a division of Wealth Enhancement.

'Gannett employees exploring retirement abroad should carefully weigh how ongoing U.S. tax obligations, health care coverage limitations, currency exposure, and cross-border estate considerations may shape their long-term financial picture. Aim to coordinate with experienced planning, legal, and tax professionals before committing to an international transition.' – Tyson Mavar, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article, we will discuss:

Key U.S. tax rules that follow retirees overseas.
Health care and Medicare considerations for living abroad.
Financial planning complexities, such as currency risk and estate planning.

By Brent Wolf, CFP®, Wealth Enhancement

For decades, many Americans have dreamed about retiring abroad—whether for lifestyle reasons, proximity to family, or simply a change of scenery. For many Gannett employees, the idea of enjoying retirement overseas after years of dedication can feel especially rewarding.

For individuals over 55 with substantial invested assets, retiring abroad may be possible. However, it requires careful planning. Moving overseas does not automatically simplify finances and, in some cases, it can increase complexity—particularly when retirement income includes employer-sponsored plans.

Before making a decision, there are several important financial considerations.

1. The U.S. Tax System Follows You

The United States generally taxes U.S. citizens on their worldwide income, regardless of where they live. This remains true even if a Gannett employee establishes residency in another country.

That means:

- Traditional IRA and many employer-sponsored retirement plan withdrawals are generally taxable for U.S. purposes.

- Required Minimum Distribution (RMD) rules apply to most tax-deferred retirement accounts, such as traditional IRAs and many employer plans (though not to Roth IRAs for original owners).

- Social Security benefits may be taxable depending on income levels.

- Capital gains must continue to be reported.

- Depending on thresholds, foreign financial accounts and assets may need to be reported, including potential FBAR (FinCEN Form 114) and/or FATCA Form 8938 filings.

International tax compliance requirements remain in place after moving abroad, and penalties for noncompliance can be significant. U.S. citizens residing overseas typically continue to have federal filing obligations.

2. Medicare and Health Care Outside the United States

Medicare generally does not cover health care services received outside the United States, except in limited circumstances. Some Medigap policies may provide limited emergency coverage abroad, but traditional Medicare coverage is largely restricted to care received within the U.S. ¹

As a result, retirees living overseas often evaluate alternative health care arrangements, which may include purchasing additional coverage. For Gannett employees accustomed to employer-sponsored health care benefits, this transition requires thoughtful comparison of costs and coverage.

Health care planning for retirees—including income-related Medicare premium considerations and broader long-term planning—can become more complex when residency changes.

3. Currency Risk

If retirement income is denominated in U.S. dollars but expenses are paid in another currency, exchange-rate fluctuations can affect purchasing power. This may be particularly relevant for Gannett retirees relying on distributions from U.S.-based retirement accounts.

For example, a significant change in currency exchange rates can increase or decrease the effective cost of living when converting dollars into foreign currency. This exposure introduces additional variability that should be evaluated in long-term income planning.

4. Estate Planning Across Borders

Estate planning can become more complex when assets or beneficiaries span multiple jurisdictions. Gannett employees who accumulate assets across different states or countries during their careers may already have layered estate considerations.

Many countries have forced heirship rules. Some impose inheritance taxes on local assets. Legal treatment of trusts may differ from U.S. law, and foreign real estate may require additional planning to align with U.S. estate documents.

When individuals own property or financial accounts outside the United States, coordination between U.S. estate planning documents and local legal requirements is often necessary.

Evaluating the Decision Carefully

Retiring abroad can be appealing for lifestyle and personal reasons. However, U.S. taxation of worldwide income, limited Medicare coverage outside the country, currency exposure, and cross-border estate planning considerations are important financial factors for Gannett employees to evaluate before making a long-term move.

A thoughtful analysis should consider how relocation may affect income planning, tax obligations, health care arrangements, and legacy goals over the coming decades.

How The Retirement Group Can Help

Relocating internationally in retirement introduces tax, health care, estate, and income planning considerations that deserve careful review. The Retirement Group works with individuals navigating complex retirement decisions, including Gannett employees evaluating international retirement, and can help assess how a move abroad may affect long-term planning.

If you would like guidance tailored to your situation, you can contact The Retirement Group at (800) 900-5867 to discuss your retirement planning questions.

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Sources:

1. Centers for Medicare & Medicaid Services. Medicare & You 2026 . U.S. Department of Health and Human Services, 2026, https://www.medicare.gov/publications/10050-medicare-and-you.pdf .

2. Internal Revenue Service. Tax Guide for U.S. Citizens and Resident Aliens Abroad . Publication 54, Dec. 2025, https://www.irs.gov/pub/irs-pdf/p54.pdf .

3. Congressional Research Service. Social Security Benefit Taxation Highlights . IF11397, 23 Sept. 2024, https://www.congress.gov/crs_external_products/IF/PDF/IF11397/IF11397.4.pdf .

How does The Newspaper Guild International Pension Plan ensure that members are informed about their pension benefits, and what steps should an employee take to understand their earned Pension Credits within this Plan?

Member Information on Pension Credits: Members are informed about their pension benefits and earned Pension Credits through an annual statement provided by the Board of Trustees. This statement includes details about years of service, vesting status, and accrued Pension Credits. Members are encouraged to keep their contact information updated to ensure they receive all pertinent information.

In what ways are the contribution rates structured under The Newspaper Guild International Pension Plan, and how do these rates impact the monthly benefits that members receive upon retirement?

Contribution Rates Structure: The pension contributions by employers are structured based on collective bargaining agreements. These contributions are pivotal in determining the monthly benefits members receive upon retirement. The rate of contributions, along with the number of years of service and accumulated Pension Credits, directly influences the calculation of retirement benefits.

Can you elaborate on the different types of pensions offered by The Newspaper Guild International Pension Plan, including the eligibility criteria and the benefits associated with each type?

Types of Pensions Offered: The plan offers several types of pensions: Regular Pension, Early Pension, Disability Pension, and Deferred Pension. Each type has specific eligibility criteria: Regular Pension is available upon reaching Normal Retirement Age, generally age 65. Early Pension can be taken from age 55, provided certain service and Pension Credit conditions are met. Disability Pension is awarded if a member becomes disabled as per the plan's criteria and Social Security Administration’s confirmation. Deferred Pension applies if a member leaves employment after vesting but before qualifying for early or regular pension.

How does The Newspaper Guild International Pension Plan address the calculation of pensions for members who have participated in more than one pension contribution plan, and what specific guidelines govern these calculations?

Multiple Pension Plans Participation: If a member has participated in more than one pension contribution plan, their pensions are calculated by taking into account all the Pension Credits accumulated across different plans. Specific guidelines ensure that the benefits from all plans are integrated correctly to reflect total earnings and contributions.

What implications does the merger of the NewsGuild-CWA Adjustable Pension Plan into The Newspaper Guild International Pension Plan have for current and future pension benefits for employees covered under both plans?

Implications of Plan Mergers: The merger of the NewsGuild-CWA Adjustable Pension Plan into The Newspaper Guild International Pension Plan ensured that no accrued benefits were reduced. All benefits from the merged plan are honored, with provisions made to integrate the benefits and maintain the financial integrity of the merged plan.

How should an employee of The Newspaper Guild International Pension Plan respond if they experience a change in employment status that may affect their pension eligibility and what steps do they need to take to maintain their benefits?

Change in Employment Status: Members experiencing a change in employment status that might affect their pension eligibility should immediately notify the plan administrators. Steps include reviewing the impact on their Pension Credits and adjusting their retirement planning accordingly.

In the event of an employeeâ€™s death, what provisions are made under The Newspaper Guild International Pension Plan for survivor benefits, and how can family members navigate the process of claiming these benefits?

Provisions for Survivor Benefits: In case of a member’s death, the plan provides survivor benefits to the spouse or domestic partner. These benefits are structured based on the type of pension the member was receiving or entitled to receive, ensuring ongoing support for the beneficiaries.

How does The Newspaper Guild International Pension Plan define what constitutes "disqualifying employment," and what are the consequences for a member if they engage in such employment before reaching normal retirement age?

Disqualifying Employment Definition: Disqualifying employment under The Newspaper Guild International Pension Plan refers to any job that might affect a member's pension benefits if engaged in before reaching the normal retirement age. Engaging in such employment could potentially suspend or reduce pension benefits.

What resources does The Newspaper Guild International Pension Plan provide for employees seeking assistance with their pension plans, and who specifically should they contact for detailed inquiries regarding their benefits?

Resources for Assistance: Members seeking assistance with their pension plans are encouraged to contact the Board of Trustees directly. The plan’s office provides detailed inquiries and support regarding benefit calculations, eligibility, and other pension-related questions.

How can an employee contact The Newspaper Guild International Pension Plan for further information about their pension benefits, and what specific inquiries should they be prepared to discuss during their interaction with the Office?

Contacting for Further Information: Members can contact The Newspaper Guild International Pension Plan office via provided contact details for further information about their pension benefits. When interacting with the office, members should be prepared to discuss their employment history, Pension Credit details, and any specific questions about their retirement benefits.