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Europe, News feed Date: 16 January, 2025

How to Use Your IRA or 401k to Fund a Portugal Golden Visa

How to Use Your IRA or 401k to Fund a Portugal Golden Visa

Expert Guidance from Valerie Blanks

Valerie J. Blanks, JD, LL.M., a former corporate tax attorney and now a Strategic Partner at the Latitude Group, provides invaluable insights into using retirement funds to secure a Portugal Golden Visa.

“Using your IRA or 401k to fund a Portugal Golden Visa is not just a smart financial move,” Valerie explains, “but also a very powerful way to diversify your investment portfolio while unlocking true global mobility.  Many people are not aware that they can leverage their retirement savings for this purpose without incurring penalties or tax liabilities.”

Using Your IRA or 401k for Residence by Investment

Many investors are unaware that retirement funds can be utilized to finance their Portuguese Golden Visa. While it is true that withdrawing funds from your IRA or 401k before retirement age incurs financial penalties and risks tax liabilities, there is a smart alternative: opening a self-directed account. 

By utilizing your retirement funds, you are not taking any of your liquidity out of circulation for 5 years. Instead, you are putting your investment savings to good use. 

Making Your Way to a Portuguese Golden Visa in 2025

How It Works:

There is no stipulation that you have to invest your retirement fund in the US. You can diversify your IRA portfolio with similar investments in a foreign country. As such, why not make that country Portugal? 

  1. Set Up a Self-Directed IRA or 401k: This special account allows you to direct your retirement funds into alternative investments, including foreign opportunities.
  2. Choose Portugal: Diversify your portfolio with a €500,000 investment in a Portuguese venture capital fund. This meets the Golden Visa criteria and positions your savings for potential growth.
  3. Avoid Penalties: Unlike early withdrawals, investing through a self-directed account preserves your retirement savings without incurring penalties or tax liabilities.

The Portugal Advantage

Key Benefits:

  • Path to Citizenship: After just five years, you’ll be eligible to apply for Portuguese citizenship, unlocking settlement rights across the European Union.
  • Minimal Residency Obligation: Maintain your residency status by spending just 7 days a year in Portugal (or 14 days every 2 years).
  • Access to Europe: Enjoy top-tier healthcare and education opportunities in Europe 

Portugal’s appeal extends far beyond its Golden Visa program. The country offers a vibrant lifestyle with stunning beaches, a pleasant climate, and a rich cultural heritage. Whether you’re planning a vacation or considering permanent residence, Portugal’s welcoming atmosphere and modern amenities make it an ideal destination.

Secure Your Future with The Latitude Group

At the Latitude Group, we specialize in guiding investors through the Portuguese Golden Visa process. From setting up self-directed retirement accounts to navigating the application requirements, our experienced team ensures a seamless experience tailored to your financial and residence goals.

Your Next Steps:

  1. Consult directly with Valerie J. Blanks as well as our other experienced Experts: Understand the intricacies of using your IRA or 401k to fund your investment.
  2. Open a Self-Directed Account: We’ll connect you with trusted providers to manage your retirement savings efficiently.
  3. Invest in Portugal: Diversify your portfolio and secure a brighter future with EU residency.

Act Now for a Brighter Tomorrow

Don’t wait until retirement to start building your global lifestyle. By leveraging your IRA or 401k, you can secure European residence and citizenship, all while optimizing your financial future. 

Contact Latitude today to take the first step toward unlocking the benefits of a Portugal Golden Visa.

How to Use Your IRA or 401k to Fund a Portugal Golden Visa

Date: 16 January, 2025

Posted in: Europe, News feed