I have a bit of a unique situation so I hope someone can give me some advice/feedback. I have 4 main questions.
#1 I live and work abroad, so I am unable to use an IRA in the US. They say that an IRA has to be funded with income earned in the US, which I dont have any of. (is this correct?)
#2 So I have a taxable account. I am a little unsure of the tax strategy I should use. Since I have no income in the US except for my investments, will me dividends and such be taxed at a low rate or will there likely be no tax at all due? (i know you probably cant tell me for certain).
#3 I am currently invested in SCHX and VWO. Do you think these are a good idea with regard to taxes? or should I switch to a much lower dividend yielding ETF that focuses more on growth?
#4 The dividends I get in my taxable account are treated as income, so can I use those dividends to fund an IRA?
Let me know what you think or if you need any extra info.