So you’ve got a job and landed across the border, congrats on this next chapter! Since most moves south for Canadians are financially motivated, getting your finances in order is top of mind. In this post we walk through the key items you should take care of after you arrive in the United States and before you leave Canada.
Related: TN Visa Taxes Guide for Canadians Working in the US
Disclosure: Some recommended products and services in this post contain referral links which help support the cost of running this blog.
Arrival Checklist for Canadians Moving to the US
- Get a Social Security Number. The SSN is the quintessential identity number for everything personal finance related in the US. It’s the gateway to opening a bank account, getting credit cards, and more. If you’ve just arrived on a visa like the TN visa and you want to get paid, you’ll want to get an SSN right away. Although the Social Security Administration suggests you wait 10 days after landing to get an SSN so that their systems can get your latest immigration records, you can often still get your SSN earlier. Anecdotally, a couple business days or so should be enough to get your record in the system.
- Get a phone plan. This may sound like an odd second step but an American phone number is key for opening financial accounts. Luckily for Canadians living in the US, the telecom landscape is far more competitive than the tired triopoly of Bell, Rogers, and Telus. I’d highly recommend Mint Mobile which uses the T-Mobile network so you’ll get high speed data starting at $15/mo for 4GB or $30/mo for unlimited. Mint Mobile can offer these prices because it’s prepaid which works great for someone who may not have the US credit history for a month-to-month plan. Best of all, Mint Mobile is majority owned by fellow Canadian Ryan Reynolds! Get $15 back when you sign up using this link.
- Open a bank account. There are plenty of banks to choose from. I’d recommend picking a major national bank like Chase, Bank of America, or Wells Fargo because they’ll have ATMs and physical branches all over the country. I can’t tell you how many times this has come in handy for those moments when you just need to withdraw some cash for something like a farmer’s market. To help narrow down your choice, I’d recommend looking at app store reviews for mobile banking apps since an app is likely the primary way you’ll be dealing with banks in 2024.
- Get a credit card. One of the joys of US living are the credit cards which give you meaningful rewards and cash back. I’ve earned anywhere from $200 up to $1,000 in rewards for each credit card I’ve signed up for. Canadian credit cards just don’t cut it. Again this is likely because of the more competitive financial industry in the US. Americans have real choice with 4,374 banks in the US compared to 83 banks in Canada. But if you are like me and find yourself with no credit history in the US despite a solid credit history in Canada, you might want to use NovaCredit to transfer your Canadian credit history over to the US. Best of all, sign up with this link for NovaCredit and you will receive an Amazon gift card when you use your Canadian credit history to apply for a credit card.
- Download finance apps. There are many great financial apps in the US. They can help you do everything from investments, wealth management, and splitting utilities with roommates. One quick note is that you’ll want to change your app store or play store region to access US apps. Here’s a list of some our favourites, some with links that will get you a sign-on bonus.
- For sending and receiving money. Goodbye clunky e-transfer and hello to great user experience.
- For investing in crypto. All links get you $10 in bitcoin when you fund $100 into your account.
- Coinbase (wide variety of coins for trading)
- For investing in stocks. Robinhood is the classic stock brokerage in your pocket with no fees and fractional shares.
- For tracking all your accounts. You may quickly find yourself with a ton of accounts to keep track of. Having an app that gives you a unified view can help you plan your finances.
- Personal Capital (Get $20 when you link accounts like a brokerage account worth more than $1,000)
- For splitting rent, groceries, utilities, and everything else. Use an app and stop stressing over who paid for what.
Departure Checklist for Canadians Moving to the US
- Update your residency status. Notify your financial and government institutions about your move. Your bank, insurance, and government tax agencies will want to know the latest details on your residency status. If you don’t have a set address in the US just yet, feel free to hold off on making any official changes until you have taken up residence in your new American address.
- Cancel subscription services and memberships. Don’t forget to cancel any subscriptions or memberships to local organizations. One thing that gets many people is the fact that Amazon Prime Canada is separate from Amazon Prime US. You will have to resubscribe for that two day shipping. The good news is that you can grab another free trial for your self in the US.
- Consider closing your TFSA. If you have a TFSA, consider closing it before you leave the country. If you own any TFSA accounts, you will have Passive Foreign Investment Corporation (PFIC) tax reporting to take care of in the US. The income could be subject to higher taxes and failure to report can result in penalties. For many, it is not worth the headache but speak to a professional before making a decision for yourself.
- Deal with RRSPs. RRSPs can continue to grow tax-deferred in the US in the eyes of the IRS but you may be subject to State taxes depending on where you land. Be mindful of this as it’s an extra item you may have to report come tax time.
- Report on Canadian exit tax. When you leave Canada you may owe exit taxes. These filings should be completed by end of April in the year following the exit. You should speak to an accountant to determine what you need to report.