Move now or later in career when JPY is better? Japanese-American considering FAANG opportunity

@gingermarie You should always, always take a job with外資系companies if you can, the money will be much better, and you’ll basically have the best of both worlds. Remember that as an American you’ll probably be paying taxes in both countries. Also, don’t forget that.
 
By which I mean declaring taxes in both countries, but of course only paying taxes in America if you’re over a certain amount in Japan. Something like $90,000.
 
@nemoigloo That’s the exemption for not paying taxes. Even if she is paying more tax in Japan on the excess than in the US, that amount is deductible to bring the tax burden to the same amount.
 
@faithfound Deductible is only useful if you also have a tax obligation in the USA, correct? Japan's income taxes are higher for sure, but she won't be in excess of FEIE. Or does that deduction extend to capital gains and other taxes on e.g. US stocks?
 
@nemoigloo
  1. U.S. citizens have a tax obligation if they earn money, certainly at that level. 2. Not necessarily. 3. Who knows where the Yen will be next year. 4. A CPA consultation is highly advisable as this is Reddit.
 
@nemoigloo
that deduction extend to capital gains and other taxes on e.g. US stocks?

FEIE doesn't apply to capital gains or other investment income. But foreign tax credits are available in both countries (which country you must claim the credit in for each type of income is determined by the treaty), so double taxation tends to be minimal.
 
@gingermarie Just do it now while you're young. The advantage of being young is you can smooth out any career missteps with more time. You talk about stress/burnout -- depending on which FAANG, you may be worked like a dog or it may be chill, but maybe the change of scenery will help? Treat this as a good experience in the worst case, but ultimately you don't have to stay forever. If you do stay, and you want to raise kids, then there's int'l school considerations (for most kids, it's not realistic to be able to prepare for both top Japanese and top US/western universities).

15 mil. may or may not go far depending on where you want to live, how much you travel/eat-out, etc. But in any event 15 mil. will be enough to be very comfortable, at least; you won't feel like it's limiting unless you travel overseas a lot right now. Like others said, in Japan most people consider that bonkers income, but that's measured against the arc of a typical career in Japanese companies. Since you can also work in the US for US salaries, I think the opportunity cost has to factor in US-side salary and living as you note. On that, it's always a judgment call on what you prefer -- there are huge reasons why life in Japan can be worth the trade-off (safety, healthcare, quality of life).

You seem to care a lot about long-term financial future -- protection or growth of wealth in Japan is diff from the US (IMO more difficult), along with tax considerations of being a US citizen. Look into whether you can still contribute to Roth/401k/HSA (likely not). Japanese equivalents of these tax sheltered accts are not that good by comparison, and Japanese stock market in the last 30 years hasn't really grown (might be changing now). Japanese real estate outside of certain areas doesn't really appreciate compared to US. Look into the tax consequences of PFIC. My impression is most Japanese people just rely on their generous company pension plans (incentive to stay in the same company for life, I suppose, secure they can't get fired).
 
@gingermarie As others have mentioned, plenty of salary, especially for your age. You should be aware that Japan does not recognise dual citizenship, so study up on how to manage that without getting yourself into trouble.
 
@billybob55 People who were born into dual citizenship have no worries. Yes, there's the bit about 'you have to choose' at X-age, but it's a nothing-burger.

Our two kids are in their 30s, have renewed their j-passports a couple times after the age that a person is supposed to choose, and it has not been an issue--the oldest renewed about two years ago, at 32.
 
@___shadow___ Yes. However, I recall hearing of cases where person made a mistake and exposed their dual and were punished by Japan.

The point being study/understand the situation and workarounds so she doesn’t accidentally make a mistake and cause herself civil damage.
 
@gingermarie If I were in your shoes I would:

Identify the causes of my burnout, and if it's the job itself make the move.

Keep it first and foremost that knowledge of Japanese culture/family/internship life is different from Japanese corporate work culture and its translation into the gaishikei work culture of the company you'll be entering, and is also different from knowing how to live long-term in Tokyo.
You'll continue to be expected to be fully culturally Japanese and to have uncanny valley moments when any of your behavior deviates from the norm without people either understanding your American side (regardless of whether you have chosen to divulge it) or deviating from the norm themselves, and the huge influences this can have extends even to simple things like how you dress or physically move about the office.

Be prepared to leverage my existing networks and social safety nets, and also learn how to find the haafu and international school kid communities if I'm ever in need of more support and quicker friendships.
Not sure if you've experienced the horrors of making new friends and building social circles as an adult yet so dropping this here. Tokyo can be a lonely place!

Try and figure out what subcultures fit my lifestyle and how to find them.
You mentioned frugality but not much else; there's very wide and deep range of chasms dividing parts of Japanese society with the psychological and economic facets having deep-rooted geographical echoes. Sharehouses (small and massive) and roommate seekers are becoming more and more common though if you want to replicate that part of your current lifestyle.

Figure out if I'm cool with Japanese food all the time or will want to replicate American food/beer/social experiences more often than not cause that'll run up the bill.

Figure out how important romantic relationships are to me and if it's important then realize it could be magnitudes more difficult to form them without some massive compromises on expectations or the pool size of potential partners or adaptations to Japanese (Tokyo) courtship practices.
(On that note, if you're straight I'd also take advantage of the massive gender-based pay gaps/career trajectories and societal recognition of those gaps to get some rich experiences paid for by random dudes while remaining frugal just to see what it's like if you haven't before, cause Tokyo men at the upper end of the income pool (trading companies, consulting, faang included) seem to have zero problems shelling out for expensive dates especially early on in a relationship.
Also I would be careful to keep up my American caution at all times when drinking/walking back home/on all day dates because there's way too many stories about SA and stalkers and what is often a complete lack of legal and institutional support.

If you use them currently, say goodbye to drugs if their use will have any impact on the visa status you utilize to enter, or be extremely comfortable with the risks of accessing those subcultures here or talking openly about your experiences with them in mainstream settings.

Consider continuing to fund my IRA etc since I'm over the income exemption, also plan for account access and address usage after my parents move to Japan.
Make sure you also know the rules and workarounds for Americans looking to invest in foreign markets and if there's any potential for investments you make as a Japanese citizen to run afoul of the US tax laws that cover you.

Have an additional emergency fund with at minimum an amount of cash sufficient for a last minute round trip flight at all times, for use for important friends and family.

Open an American credit card or two with amazing bonuses for credit card churning right before moving, since Japanese cards offer nowhere near the benefits of American cards and you can essentially swap out a portion of your USD emergency fund while building a Japanese one, plus hedging some bets if the yen recovers suddenly.

Make a game plan for keeping in touch with the people most important to you in the US, friend- and also career-wise. The latter is important because you're already impressing people in the US and it'll help maintain other opportunities whether you decide to go back or become the go-to person for X in Japan/APAC regional manager etc.

Prepare to maintain my English-language information flows, since so much of what happens in tech is communicated in English and the time lags can be massive, while also quickly identifying key sources of information about tech developments and adoption in Japan/general developments in society. (Includes getting a library card and setting up online access for borrowing free English ebooks.)

Read up on and understand the rights you will have as a worker in Japan, including how hard it actually is to fire someone and the $$$ the government will give you in between jobs if you ever get fired, take a mental health break or decide to retrain.

Understand the Japanese medical system (including dentistry and optometry), both how/when to use it and (hope I'm remembering this right) how to apply for government coverage of medical expenses over the yearly threshold, which I think is like $2000/year.
 
@gingermarie I am thinking of the same company too. I know too many people working at this company in Japan and they all want to move back to the States. Too many consultants taking up roles at this company now and the culture is completely different than what it used to be. I also agree that if OP has momentum in the States, she should take advantage of that. But she did mention her mental health is taking a hit. If she thinks she’ll have a better work-life balance in Japan, then it may be worth it (though as you said, FAANG + Japan work culture means long hours).
 
@gingermarie The only issue to worry about with FAANGs is over selling your dual citizenship. I know first hand that some FAANGs will not hire dual citizens in Japan.

You will have to live your own life, but if you have momentum now in the US, I'd keep that pace and engineer a future paid expat role in which you can keep ALL of your US benefits and get fully paid to live in Japan. Being fluent and in the tech field makes this a much more realistic path for you than your peers.

I know everyone dogs the high US real-estate cost compared to Japan, but buying a US house -- even if it appears expensive -- is a far better use of money than paying cheap rent in Japan. You aren't going to recover the delayed investment in home ownership by being in Japan (the exception is if you can afford kanto real estate).

Each new generation looks at home ownership as being an impossible task. But as long as you don't live in Canada right now (which is seeing a massive correction), it is a good move. Just something to think about versus the instant gratification of moving now and exploiting the double edged sword of cheap rent.
 
@alesiahamlin Multinational companies do not want to take on the risk of hiring (and investing in) someone who many not be legally allowed to work in the country. I've been in those meetings with HR and Legal and they if it is presented to them (although it usually isn't), they will always take the high road.
 
@nemoigloo
FAANG should know better than to take the risk I would think.

FAANG should know that the risk is virtually nil considering how much of a social upheaval it would be to start strictly enforcing not allowing dual-citizens from birth, and that enforcement would not happen overnight.
 

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