In just two days, on January 1, 2026, the U.S. will start charging a 1% tax on certain overseas cash remittances as part of President Donald Trump's Big Beautiful Bill. 💸
Why it matters
- Global support: Millions of South Asian and Southeast Asian workers, students, and professionals in the U.S. send money back home to cover family expenses, education, and more.
- Added cost: The new 1% levy sits on top of existing transfer fees, which can tack on extra dollars, rupees, pesos, baht, or rupiah per transaction.
Key facts
- Effective date: January 1, 2026.
- Applies to: U.S.-based senders wiring cash to overseas recipients.
- Rate: 1% on applicable remittance amounts.
Stay savvy
- Compare digital remittance platforms – small fee differences can save you big in the long run. 🧐
- Consider scheduling regular transfers to lock in rates and split costs with friends or family.
- Share tips in online groups or community chats to keep everyone on track. 💪
As this change rolls out, keep an eye on your money flows, factor in the extra 1%, and adjust your budget accordingly. Every little bit saved counts when you're supporting loved ones back home! 🌏✨
Reference(s):
cgtn.com
