Trekking abroad gets tougher for Bermuda residents. For hundreds of years, we have travelled openly and often in the pursuit of both trade and leisure.

We have enthusiastically embraced cultures, customs, cuisine, and cousins — all in the experiencing of what we are not accustomed to on our 21-mile airstrip.

And has been the case in many a trip, we've fallen in love with other places, bought properties, started businesses, entertained friends and relatives, opened bank and investment accounts, managed insurance and regrettably, sometimes passed on elsewhere.

We are so comfortable there! Who can resist a new adopted country's welcoming arms to us, we non-residents with our positive attitudes and plenty of hard cash.

The accepting atmosphere of the everyday citizen seeking to sell us part of their country lulls us into a false sense of security. Why it almost feels like our 'real' home. Some Bermudians residents spend so much time abroad, they feel it truly is home.

Except that it is not — home. The reality is that for most non-residents visiting in the United States, for instance, it will never be our first home.

Why? Because if we are not also citizens of the United States, there are rules and regulations regarding what is erroneously perceived as a personal right to abode in another country.

These regulations cover the gambit: border crossings, conducting business, citizenship, immigration, expatriation, pensions, medical care, income tax, gift tax, estate, and trust conveyancing.

The events of 9/11 have given them critical importance. Most recently, the US government has announced collaborative initiatives between US Internal Revenue Service, the Treasury Department and the justice system to ensure that every US citizen and foreign person in, or doing business in, pays their fair share of taxes.

The Six Rules of Travelling while Aspiring for Residency Abroad

So what should a Bermudian resident expect when thinking of extended vacations in the United States, or elsewhere.

1. Know where you are going.

2. Know who you will be dealing with.

3. Know what you will be doing now and in the future.

4. Know how long you are legally allowed to stay.

5. Know who you are.

6. Planning ahead — most important rule of all!

Know where you are going means understanding the unique environment you will be in, what you will need for documents before you go, and arranging your affairs to protect for the differences, accordingly. Never assume that what works in Bermuda, say joint titling a property to avoid estate issues, will work in another jurisdiction.

Over the years, I have dealt with Bermuda residents who mistakenly assumed (often on the advice of friends and relatives) that structuring everything the same way as here will protect their assets there.

Know whom you will be dealing with. The local bank representative, attorney, real estate agent and tax accountant in a small town in East Podunk, Ohio, while well intentioned, sincere and honest will not understand your situation. In most cases, they cannot advise you on the best structures for your assets, retirement, estate and other financial planning issues for the globally mobile citizen.

Internationally experienced qualified professional advice is well worth the cost and preferable to what can be very large expense of sorting out tax and immigration missteps.

Know what you will be doing now and in the future. What are your long-term plans for your visits? What are your intentions for your vacation home? Every time you effect a change in your situation, whether opening an investment account, wiring deposits into an account, buying or selling a property, conveying title to a family member, you may be subject to legal, tax and other financial responsibilities for filing, reporting, and possibly owing an assessed tax.

There may be regulatory consequences, both federally and in many states, for not meeting your US source income filing obligations if you are renting your property, or for working while 'supposedly' on vacation.

US Internal Revenue Service now coordinates the transfers of property with state registries of deeds and other recording agencies to ascertain whether gift tax returns should have been filed.

Effective in 2010, the US Department of the Treasury will require all foreign persons in, or doing business in, the United States to report on their foreign bank accounts. Know what making changes to your finances in one country means based upon your citizenship in other countries as well.

These are all processes that may be completely unknown to a Bermudian resident and have previously been ignored.

Know how long you are legally allowed to stay and know when to leave. Citizens of the British Overseas Territory of Bermuda are eligible to travel in the United States as a visitor for up to 180 days at the discretion of the US Department of Homeland Security (USDHS) without requiring a visa.

However, there are convoluted rules to determine how long you can actually stay, and it may be significantly less than 180 days. This programme does not appear to cover residents with other passports and citizenships. It is also completely unknown if this current programme will remain in place if Bermuda citizens should decide to vote for independence.

Know who you are. If you are a US citizen or green card holder living abroad, your rights and responsibilities to the United States are very different than that of an NRA — a non-resident alien. Today, the message from governments is that citizens (and residents) understand these privileges and pay their fair share, if required.

For those who love living abroad, even though they are not citizens of their guest country, there are different requirements and processes to adhere to that are just as important.

The downside. Overstay your welcome and you may become a resident for US income tax purposes only, or denied visitor privileges to cross borders when you want to. Instead, your trip timing and length may be determined at the convenience of the US government.

Planning Ahead — the most important rule of all. We highly recommend working with qualified experienced practitioners to thoroughly plan for cross border moves. Having a good sense of the complete picture and the procedures you will be expected to meet is the only way to make your stay rewarding and successful. And it can be done. All you have to do is plan ahead.

Martha Harris Myron, CPA, CFP (US) TEP (UK) is a Certified Financial Planner at Patterson Partners Ltd. She provides independent fee-only cross-border tax, estate, investment, and strategic planning services for Bermuda residents with cross-border and multi-national connections, internationally mobile people and US citizens living abroad. For more information, contact mmyron@patterson-partners.com or phone 296-3528.