5. Failure to Report a Foreign Bank Account

Traveling while being retired is a marvelous thing. But be cautious when sending money abroad. The IRS is quite interested in individuals who stashed away their money outside the US, while US authorities have had many favorable outcomes in obtaining account information from foreign banks.

Neglecting to report such an account may result in serious consequences and I’m sure you’d want to truly enjoy your golden years. That said, if you own foreign bank accounts, ensure you properly report each of them. Those who have more financial assets abroad may additionally be required to file IRS Form 8938 when they regularly file their income tax return.