MY PARTNER AND I WILL SOON BE RENTING A HOUSE IN RURAL FRANCE FOR TWO YEARS. I'LL BE RECEIVING REGULAR SUPERANNUATION PAYMENTS FROM AUSTRALIA. WHAT'S THE MOST SENSIBLE BANKING SET-UP UNDER THESE CIRCUMSTANCES?
M. PATTERSON, LEICHHARDT
For a long absence such as this there may well be tax implications that I am not aware of and you should seek the services of a financial adviser well versed in French and Australian taxation systems to discuss how you might best structure your affairs. There are many Australian expatriates living in France and competent financial advice should not be too hard to find. There are also plenty of expatriate websites that have information on this topic.
If you decide to open a bank account in France and transfer your superannuation payments this is not too difficult. If you are deemed to be a non-resident you will most likely face a few conditions such as the requirement to maintain a minimum deposit in your account and limits on the amount you may be able to transfer each month.
I use Currency Fair currencyfair.com to transfer funds to foreign bank accounts. Once you've set up an account with Currency Fair you simply deposit funds and then nominate which bank account you want the funds paid into. The fee for a standard transfer is €3, which is much less than any bank would charge, and their exchange rates are close to the interbank rate.
The simplest solution would be to leave your superannuation payments in your Australian account and use a credit card for purchases and make withdrawals via an ATM as required. If you decide on this method two cards worth considering are the 28 Degrees MasterCard 28degreescard.com.au for purchases and the Citibank Visa Debit card citibank.com.aufor cash withdrawals.
