There are many reasons why people get second passports. Some seek refuge in tax havens, others want opportunities to travel. Whatever your reason, there’s no doubt that a second passport can provide you with profound freedom.
To be a citizen means that a sovereign state gives you rights, privileges and responsibilities. Most of the time, citizenship is obtained through marriage, birth and naturalization. But, there is another, more enterprising way to gain citizenship in exchange for investment.
What you need to consider
Citizenship by investment can be described as a “you scratch my back; I scratch yours” type of arrangement. You invest in the economy of another country and in turn, you’re granted citizenship. The requirements differ from state to state but it’s one of the quickest ways to become a citizen. Are you hoping to head in this direction? Then read on for more!
Weighing it Out
Consider it like shopping. You need a rough idea of what you’re looking for, a shopping list if you will. Every master shopper knows not to jump at the first price you see. You have to compare the various programs offered to investors. Some require visas, some don’t. Some are lenient with taxes and some require big investments.
Check yourself before you Wreck yourself
Everyone can benefit from a second passport. It’s an excellent form of insurance just in case you feel like leaving your home country one day, and you’ll have another country to call your second home. Plus, you decide your identity at any given time.
But, there are a few questions you need to ask yourself before you start shopping around for the ultimate second passport. For instance, do you earn more than the average person? You’ll have to be mindful of how you’ll be taxed in your second country.
For instance, in the USA, tax is taken from all your income, both local and international. This means you’ll be taxed twice. The way to get around this is to jettison your American citizenship in favor of your second citizenship. These are some of the considerations that you have to make when looking for a second passport.
Value for Money
You must evaluate the potential benefits of the passport that you’re considering. Some passports are stronger than others and you don’t want to get a second passport that’s worse than your first. Find out the number of countries a passport can take you visa-free and this will determine its strength. American and European passports are held in high esteem because they offer visa-free access to most countries around the world.
Another characteristic to consider is the effect of combining both your passports. Is there something your second passport can offer you that your first can’t? Taking a second European passport when you’re already in an EU country wouldn’t do you much good, for example, because there aren’t any extra places you’d have access to.
Getting Down to it
There are several ways to obtain citizenship by investment. One of these is by engaging in philanthropy. Making a generous donation to a government agency can ensure citizenship although it will remain just that; a donation. It might prove cheaper than investing and it will spare you all the complications of business.
Investing in a reputable business is another great way to secure citizenship. This might come at a major price and you have to do your due diligence before you make the investment
Buying government-recognized property could be the way to go for most people. This ensures that you have a tangible asset in your hands, which you can sell at any time depending on the market.
Now, the real estate market is always at an ebb and flow, so make sure to consider these changes to ensure that you’re making a good investment. Once the property is yours, you could save money by living there, or you can make extra money by renting it out.
Decisions, Decisions
So, now that you know what you need to consider before deciding on a second passport, here are some of the best countries to gain one and the requirements thereof.
- Malta:
The Maltese passport offers the best value for money in the EU. At a price of €880,000 you get access to 158 countries visa-free. This fee includes a non-refundable donation to the country’s National Development and Social Fund, a real estate transaction and an investment into government stocks and bonds.
Plus, you can add your family members such as your spouse and children under the age of 18 for an extra €25, 000 each, and your parents for a mere €50, 000 extra each.
- Australia
For AUS$1.5 million, you can gain Australian citizenship through the country’s residency program. This includes a AUS$1.5 million investment into an Australian enterprise or project, and the applicant must have a minimum net worth of AUS$2.25 million.
- Grenada:
In Grenada, a $350,000 property investment can get you visa-free access to China, something unheard of in other Caribbean countries.
- Latvia:
One of the Jewels of the Baltic, the fast-growing Latvia offers residency for a minimum investment of €286,000 into a credit institution.
- Saint Lucia
The island of Saint Lucia offers citizenship in exchange for a $100, 000 donation into the Saint Lucia National Economic Fund. Alternatively, you can invest in a real estate development for a minimum of $300, 000, or put $3.5 million into a government approved enterprise development. The choice is yours!
- Grenada
Yet another beautiful island, Grenada offers citizenship in exchange for a $150, 000 donation into the Grenada National Transformation Fund. Another option is to invest in real estate to the tune of $350, 000.
- Greece
To become an official Greek resident, you must invest €250, 000 minimum in Greek real estate.
- Canada
Canada’s Immigrant Investors Program was designed to attract affluent business people to the country. This program offers citizenship in exchange for a $800, 000 investment. In addition, the applicant and their spouse must have a net worth of at least $1. 6 million each, and provide proof of proper business experience.
Make it Happen!
You’re spoilt for choice. Whether you’re a doomsday prepper or a backpacker, pick a passport, grab your suitcase and get yourself some options. It could mean the difference between misery and freedom.
