4 ms·

I have a European passport so after more than a decade working at FAANGs, I moved to Germany from SV and set up my own business. I've also lived for a few month

I have a European passport so after more than a decade working at FAANGs, I moved to Germany from SV and set up my own business. I've also lived for a few months in a number of different European countries. Based on my own experiences, I'd say it makes little to no financial sense to move to Europe from the US, if you're going to work for somebody else while leaving a top-tier SV compensation package behind. Salaries are a lot lower, and taxation in rich EU countries is generally very high, you're looking at 40%+ effective tax rate. In addition to that, a number of EU countries have painful wealth taxes. The Netherlands doesn't have a wealth tax per se, but it has a preposterous across the board tax based on an "assumed 4% return on the entirety of one's savings+investments". As someone with multi-million dollar investments in the US, this swiftly caused me to abandon Amsterdam as a potential base of operations.

joe-collins 4y ago
As someone with multi-million dollar investments, your concerns about wealth taxes and your standards for evaluating financial sense are wildly different from most people on the planet, and even many here on HN.
- armitron 4y ago
  I expect anyone who has worked for 10 years or more at any of the top SV companies to have at a minimum 1 million invested and much more likely at least 2, given the crazy bull market after 2008.
  - chefkoch 4y ago
    "I spent half my money on gambling, alcohol and wild women. The other half I wasted."
    - armitron 4y ago
      According to personal experience, not exactly a common attitude to be found among the types one usually encounters at FAANGs. I did run into a group of super nerds at Google that, allegedly, regularly paid for sex with high class escorts, but I guess compared to the money they earned, it was a drop in the bucket.
Dracophoenix 4y ago
If were to move to Europe would, you recommend Switzerland or Lichtenstein to avoid egregious taxes?
- armitron 4y ago
  I've never lived in either of them, but visited Switzerland as a tourist. They're not in the European Union and both have wealth taxes (depending on where you live, the wealth tax varies). If I had to pick one or the other, I'd choose Switzerland and pick the lowest tax canton I could find. Keep in mind that the cost of living in Switzerland is very high and you might need to learn German. Countries in (or used to be) the EU I've spent significant time in and my opinion of them: UK: Salaries are higher than the rest of the EU, especially if you work in fintech, but London is outrageously expensive, especially if you maintain a car. The alternative is the Underground (metro system) which I despised. Not as bad as NYC MTA but close. NHS is a disaster. No wealth tax. Germany: High taxes but lots of options/accounting maneuvering can reduce the burden. Cost of living is OK, very nice infrastructure, clockwork-like services and I love Berlin. Should learn German if you plan to live there for years, but can go by with English. National health system is excellent. No wealth tax. France: I've lived in Paris for a few months. Avoid. Housing situation is insanely bad. Has a wealth tax but high threshold before it kicks in, still if you're HNW it will catch you. Netherlands: Amsterdam is getting very expensive but super fun city. The wealth tax equivalent they have is insane. Medium-high cost of living. Super high taxes. National health system is good. Not recommend if you are a high net worth individual (1 million+). Spain: High tax rate if you're resident there, 37% from 35k and 45% on anything above 60k EUR. Bad bureaucracy. Cost of living was good in Barcelona. Bad wealth tax which also includes real estate. Greece: Nice for short vacation, definitely avoid for work. Bureaucracy and state services will drive one nuts. Health system is a disaster. High taxes and cost of living is high in the posh areas of Athens. Need to know/learn Greek if you plan to live there.

joe-collins 4y ago

As someone with multi-million dollar investments, your concerns about wealth taxes and your standards for evaluating financial sense are wildly different from most people on the planet, and even many here on HN.

armitron 4y ago
I expect anyone who has worked for 10 years or more at any of the top SV companies to have at a minimum 1 million invested and much more likely at least 2, given the crazy bull market after 2008.
- chefkoch 4y ago
  "I spent half my money on gambling, alcohol and wild women. The other half I wasted."
  - armitron 4y ago
    According to personal experience, not exactly a common attitude to be found among the types one usually encounters at FAANGs. I did run into a group of super nerds at Google that, allegedly, regularly paid for sex with high class escorts, but I guess compared to the money they earned, it was a drop in the bucket.

Dracophoenix 4y ago

If were to move to Europe would, you recommend Switzerland or Lichtenstein to avoid egregious taxes?

armitron 4y ago
I've never lived in either of them, but visited Switzerland as a tourist. They're not in the European Union and both have wealth taxes (depending on where you live, the wealth tax varies). If I had to pick one or the other, I'd choose Switzerland and pick the lowest tax canton I could find. Keep in mind that the cost of living in Switzerland is very high and you might need to learn German. Countries in (or used to be) the EU I've spent significant time in and my opinion of them: UK: Salaries are higher than the rest of the EU, especially if you work in fintech, but London is outrageously expensive, especially if you maintain a car. The alternative is the Underground (metro system) which I despised. Not as bad as NYC MTA but close. NHS is a disaster. No wealth tax. Germany: High taxes but lots of options/accounting maneuvering can reduce the burden. Cost of living is OK, very nice infrastructure, clockwork-like services and I love Berlin. Should learn German if you plan to live there for years, but can go by with English. National health system is excellent. No wealth tax. France: I've lived in Paris for a few months. Avoid. Housing situation is insanely bad. Has a wealth tax but high threshold before it kicks in, still if you're HNW it will catch you. Netherlands: Amsterdam is getting very expensive but super fun city. The wealth tax equivalent they have is insane. Medium-high cost of living. Super high taxes. National health system is good. Not recommend if you are a high net worth individual (1 million+). Spain: High tax rate if you're resident there, 37% from 35k and 45% on anything above 60k EUR. Bad bureaucracy. Cost of living was good in Barcelona. Bad wealth tax which also includes real estate. Greece: Nice for short vacation, definitely avoid for work. Bureaucracy and state services will drive one nuts. Health system is a disaster. High taxes and cost of living is high in the posh areas of Athens. Need to know/learn Greek if you plan to live there.