Moving from the USA to Spain
By Matthew Green
This article is published on: 2nd August 2025
A New Life, Unexpected Challenges
Meet the Johnsons—David, Sarah, and their two children. Five years ago, they moved from the United States to Valencia, seeking a slower pace of life and the Mediterranean lifestyle. They assumed managing their finances abroad would be straightforward. With healthy savings and US-based pensions, what could go wrong?
Quite a bit, as it turned out.
They quickly discovered that managing finances abroad wasn’t just about currency exchange or opening a local bank account. As US citizens, they still had to comply with complex IRS reporting rules—rules they didn’t fully understand. After several failed attempts to find the right financial adviser, they realised they needed expert help.

Chapter 1: Overwhelmed by Complexity
When they first arrived in Spain, David and Sarah were confident.
David had worked as an engineer, Sarah in finance.
They’d spent years building their nest egg. But early optimism gave way to confusion as the financial realities of expat life set in.
1. US Investments and Pensions
They held retirement accounts in the US—401(k)s, IRAs, and a share portfolio in a brokerage account. These accounts were in good shape, but they couldn’t find anyone in Spain who understood how to manage them in light of their new residency.
2. Currency Exchange Issues
Their income and savings were in dollars, but their daily expenses were in euros. Each transfer to their Spanish account brought unpredictable exchange rates, affecting their monthly budget.
3. IRS Reporting Headaches
They knew they still had to report their global income to the IRS, but the process was far from clear. Forms like the FBAR (Foreign Bank Account Report) and Form 8938 (for foreign financial assets) came with serious consequences for mistakes—but no one could give them reliable guidance.

Chapter 2: Finding the Right Adviser – Matt Green
After a year of frustration, the Johnsons were introduced to Matt Green, a financial adviser with The Spectrum IFA Group, who specialises in helping expats in Spain.
A Comprehensive Understanding of US-Based Assets
With access to SEC authorised investment experts, Matt arranged a review all of their US accounts—401(k)s, IRAs, and investments—and explained how they could be managed efficiently from Spain. He helped them:
- Optimise withdrawals for tax efficiency in both the US and Spain
- Minimise currency risk through strategic planning
- Understand how to maintain and grow their investments without violating cross-border regulations
Clarity on US Tax Reporting
One of the Johnsons’ biggest challenges was compliance with US tax laws. Matt walked them through:
- FATCA requirements, including Form 8938 for reporting foreign assets
- The FBAR filing, which is required for foreign bank accounts that exceed $10,000 at any point in the year
- The potential penalties—up to $10,000 per violation—and how to avoid them
Matt’s guidance replaced confusion with confidence. The Johnsons finally understood their obligations and had a plan to stay fully compliant.
Creating a Reliable Income Stream
The Johnsons wanted a stable monthly income. Matt advised them on converting their retirement assets into a predictable, tax-efficient income stream. He structured a drawdown strategy that:
- Provided monthly income in euros
- Minimised exposure to exchange rate fluctuations
- Kept taxation low under both US and Spanish systems
Estate Planning Made Simple
The Johnsons also wanted to protect their children’s inheritance. With their sons still living in the US, they worried about how cross-border laws might affect their estate. Matt provided guidance on:
- Spanish and US inheritance laws
- Strategies to ensure smooth wealth transfer
- Minimising tax burdens for their heirs in both countries

Chapter 3: Peace of Mind in Their New Life
Thanks to Matt’s help, the Johnsons no longer feel overwhelmed.
Instead, they have a clear, tailored financial plan… and a trusted adviser by their side.
1. Clarity and Confidence
They now understand exactly how their investments work in both countries. Their monthly income is reliable, their savings are structured efficiently, and currency worries are gone.
2. IRS Compliance Without the Stress
Tax return season used to bring anxiety. Now, with Matt’s support, they’re on top of all IRS requirements. FBAR, Form 8938, and FATCA are no longer mysteries—they’re just part of an organised financial routine.
3. A Future They Can Enjoy
With their finances in order, the Johnsons are enjoying the life they envisioned—traveling, spending time with family, and making the most of their time in Spain without the cloud of financial uncertainty.
Conclusion: Why Expert Financial Advice Matters for US Expats
The Johnsons’ story is one of many. Managing US-based assets, navigating foreign tax laws, and ensuring compliance with IRS rules can be overwhelming for American expats.
That’s where Matt Green and The Spectrum IFA Group come in. Their expertise and network of professional contacts bridge the gap between US and Spanish financial systems, giving expats the confidence to manage their wealth effectively, stay compliant, and plan for the future.
From investment strategy to tax reporting and estate planning, Matt’s holistic approach ensures that you can enjoy your life abroad—without worrying about what’s happening back home.

Take the First Step Toward Financial Clarity
Are you a US citizen living in Spain and unsure how to manage your finances across borders?
Contact Matt Green at The Spectrum IFA Group for a free consultation. Whether you’re struggling with IRS reporting, retirement planning, or protecting your family’s legacy, Matt can help you turn financial confusion into clarity—just like he did for the Johnsons.