American Taxes for Auxiliares de Conversacion

February 25, 2018March 21, 2018Melissa

This is not legal advice. Any information found here is a result of research and experience.

American Taxes: to File, or Not to File

American taxes for people living abroad can be complicated. Do I have to file? If I don’t, what are the benefits of filing my American taxes when it’s so much extra work? The United States requires that your report worldwide income for tax purposes. But the auxiliar income is a scholarship! Yes, in Spain your stipend is classified as a scholarship. The US, however, classifies it as income. According the the IRS, the penalties of not declaring foreign income can be steep:

Consequences for Evading Taxes on Foreign Source Income
You will face serious consequences if the IRS finds you have unreported income or undisclosed foreign financial accounts. These consequences can include not only the additional taxes, but also substantial penalties, interest, fines and even imprisonment.

There are exceptions, however. Just like citizens living in the US, US citizens and resident aliens living abroad have a minimum filing threshold. For the tax year of 2017, that minimum is $10,400. Below, we’re going to look closer at American taxes in different possible situations, and also where to put the income on your tax return (with photos).

3 Ways to Earn Extra Income in Spain

January 20, 2018January 22, 2018Melissa

This post contains affiliate links, which support this blog at no additional cost to the reader.

Finding ways to earn extra income is not a new concept to most people, from the Millennial “side hustle” to Dave Ramsey inspired “Dave Jobs,” every generation has its own methods for creating new sources of income. This isn’t any different for the auxiliar de conversacion. Here are 3 tried and true methods for earning a bit of extra money while teaching abroad, and one bonus way to start earning extra income before you even move abroad.

THE SIDE HUSTLE

According to CNN Money, 44 million Americans have a side job. Many people need these jobs just to keep up with their regular bills. One benefit of teaching English in Spain, is that you can avoid such inflated bills, since the cost of living is so much lower than many of our cities back home. As an auxiliar, you shouldn’t NEED extra income just to get by, but it can really help improve your travel opportunities. Extra income can also be used to pay down debt back home.

What to do when you're too bored to bother

Surviving the Summer Slump

July 19, 2017September 5, 2017Melissa

Diagnosing the Summer Slump

Ever since I was old enough to be in school, I’ve looked forward to that glorious time of year when the last bell rings and I’m finally free. Now, as a teacher, I feel the same yearly excitement. The freedom to kick back and do absolutely nothing has arrived.

But then something inevitably happens partway through the summer. That something is called the Summer Slump. According to Urban Dictionary, the Summer Slump is “A period during summer in which a person performs inefficiently due to the excessive amount of free time on there hands.”

The truth is, an abundance of free time can become overwhelming. Maybe there’s nothing you specifically have to do, so you don’t feel bad bingeing on your favorite television programs. That’s fine. I feed my addiction through ORORO TV (Note: if you subscribe through my link, you and I will both receive a discount). But when you come up for air, you often find yourself feeling disoriented, and maybe even a little unmotivated to do anything about it.

When you find yourself slipping into the Slump, and you’re so bored that you can’t even bother to do anything about it, it’s good to have a plan in place to pull you back out. Here’s my plan:

Moving Abroad Starter Budget

June 16, 2017June 22, 2018Melissa

BUDGETING FOR MOVING ABROAD

Are you thinking about moving abroad to teach English? Or, if you’re already teaching English abroad, are you looking for a new destination?

Budgeting is the most crucial step for being able to teach English abroad. When should you start your budget? Immediately. If you are still living at home, you will need to begin thinking about things like the cost of moving (including visas, transportation, and possible packing essentials), and a starter fund to get you through your expenses abroad before you get paid (rent, security deposit, groceries). It will likely be one month or more before you see your first paycheck.

PROGRAM BENEFITS

Some programs will offer to pay for your flight (Asia, the Middle East). Typically, this is offered as a flight reimbursement, so you will have to pay the money upfront.

Other programs, like mine, the North American Language and Culture Assistants in Spain, also known as Auxiliares de Conversacion, definitely do not offer such benefits, but there are still lots of ways to find a cheap flight. The point is, you need to be prepared to budget for it.

So, what do I recommend? Where you’re going and what incentives your program offer will greatly affect this amount. Spain will be more expensive than China. Saudi Arabia will offer lots of benefits that you won’t see elsewhere.

What Is Your Time Worth?

June 14, 2017June 9, 2018Melissa

Time is Money. This is a well-known concept that many of us have heard throughout our lives. But what does it mean?

For me, it draws up the image of someone tapping their foot, looking at their watch, and sighing impatiently. It implies the need to hurry up. Or maybe someone gives it to you as an excuse as to why they don’t have time to spend with you, thus enforcing that they can’t slow down. Time is MONEY, after all.

But wait. Slow down. I promise, you’ve got time for this. What if we’ve been misinterpreting this age-old proverb all along? What if instead of thinking that time is MONEY, we start to realize that TIME is money. This changes everything.