Income of intending immigrant

[Mern V 14]

Happy New Year everyone.

I am the intending immigrant and will be using my income source and assets when my husband files the I-864.

I am currently transitioning jobs from my full time work based here in Ontario (I work at a public library) to be an independent contractor for a few special libraries in the States. (I know I can't use income from my current full-time work as it won't continue). I have been doing the independent contract work for the past year on a part time basis but plan to make it full time after I cross. 

My question is, what do I need to prove my current contracting work and income on the I-864? I have a W-8 (Foreign contractor) from the company I started with in the past year. I also have invoices and receipts of monies earned. Additionally, it will show up on my 2022 tax return as "additional income".

I'm just trying to get my ducks in a row and gathering documentation/proof.

Thank you!

[Boiler 45,445]

Self employed use annual tax returns

[pushbrk 12,869]

3 hours ago, Boiler said:

Self employed use annual tax returns

Yes, annual US Federal tax returns, so you will not have "income" in this context until you file a tax return in the USA.  If your liquid assets are well over 3 times the income requirement, you can qualify based on your assets alone.  Otherwise, you'll need a qualified joint sponsor.

[Mern V 14]

8 hours ago, pushbrk said:

Yes, annual US Federal tax returns, so you will not have "income" in this context until you file a tax return in the USA.  If your liquid assets are well over 3 times the income requirement, you can qualify based on your assets alone.  Otherwise, you'll need a qualified joint sponsor.

So that won't apply really, since I won't file a US return, as I'm not living in the US. 

Liquid assets would be our best bet, then.

My husband has been a stay at home dad for the last 16 years and has only secured a job since moving to the US in May. Probably not going to meet the income threshold.

[pushbrk 12,869]

14 hours ago, Mern V said:

So that won't apply really, since I won't file a US return, as I'm not living in the US. 

Liquid assets would be our best bet, then.

My husband has been a stay at home dad for the last 16 years and has only secured a job since moving to the US in May. Probably not going to meet the income threshold.

If he is a contractor, then he is not an "employee".  Only "employees" have "jobs".  Contractors are self employed, meaning not employees of the companies they work for.  Take the the income requirement and multiply it by three.  That's how much liquid assets it will take to qualify.  It is not exactly required but very helpful if those assets are in the USA.  Equity in your primary residence is NOT considered liquid.  Time for your husband to become an A-Student of the I-864 instructions.

[Mern V 14]

4 hours ago, pushbrk said:

If he is a contractor, then he is not an "employee".  Only "employees" have "jobs".  Contractors are self employed, meaning not employees of the companies they work for.  Take the the income requirement and multiply it by three.  That's how much liquid assets it will take to qualify.  It is not exactly required but very helpful if those assets are in the USA.  Equity in your primary residence is NOT considered liquid.  Time for your husband to become an A-Student of the I-864 instructions.

I am quite clear on the difference between a contractor and an employee. Please re-read my post.

 

*I* am the self-employed contractor. Not my husband. He has a "job" and is an "employee" of a company in the States.

 

My question pertains to INTENDING IMMIGRANT income. That's me. I'm carrying over my work as a contractor for various libraries in the States, which I have been doing for the past year -- on THIS side of the border -- as a foreign contractor. 

 

You're not clear when you talk about primary residence. I'm currently renting in Canada, so that's a moot point. My husband's primary residence will be the house he is purchasing in the States. According to the I-864 instructions he can absolutely use the value of this house towards his assets. 

[Boiler 45,445]

2 minutes ago, Mern V said:

I am quite clear on the difference between a contractor and an employee. Please re-read my post.

 

*I* am the self-employed contractor. Not my husband. He has a "job" and is an "employee" of a company in the States.

 

My question pertains to INTENDING IMMIGRANT income. That's me. I'm carrying over my work as a contractor for various libraries in the States, which I have been doing for the past year -- on THIS side of the border -- as a foreign contractor. 

 

You're not clear when you talk about primary residence. I'm currently renting in Canada, so that's a moot point. My husband's primary residence will be the house he is purchasing in the States. According to the I-864 instructions he can absolutely use the value of this house towards his assets. 

Unusual for a Priary Residence to be eligible, an investment property maybe, but income keeps it simple.

[Mern V 14]

1 minute ago, Boiler said:

Unusual for a Priary Residence to be eligible, an investment property maybe, but income keeps it simple.

His income alone right now would probably not meet the threshold. 

 

[Mern V 14]

I'll add that I find it incredibly strange that we talk about "his" and "my" assets - since we've been married 20 years and everything we have is joint. I get that for "immigration" purposes this is how it's supposed to be, but our banking and everything else we own has been in both our names. Even "my" current Canadian bank accounts still have his name jointly on them.

[pushbrk 12,869]

43 minutes ago, Mern V said:

I am quite clear on the difference between a contractor and an employee. Please re-read my post.

 

*I* am the self-employed contractor. Not my husband. He has a "job" and is an "employee" of a company in the States.

 

My question pertains to INTENDING IMMIGRANT income. That's me. I'm carrying over my work as a contractor for various libraries in the States, which I have been doing for the past year -- on THIS side of the border -- as a foreign contractor. 

 

You're not clear when you talk about primary residence. I'm currently renting in Canada, so that's a moot point. My husband's primary residence will be the house he is purchasing in the States. According to the I-864 instructions he can absolutely use the value of this house towards his assets. 

Sorry for the confusion.  As to the primary residence, he certainly CAN show the equity on the form, but it will not be considered "liquid" per the definition o of liquid in the I-864 instructions.  If you need to use liquid assets, it would be better to keep them liquid until after submitting the I-864.

 

The good news is that his income may qualify on it's own, and yours may very well be able to be counted too.  You just have to show your business will continue in the USA after you immigrate.  Since your clients are in the USA, this should not be difficult.  Your employed husband would calculate HIS current income by taking the gross income for a full pay period multiplied by the number of pay periods in a full year.  Every two weeks is 26 pay periods etc.  He does not have to show he's made that income for a full year already, like the self employed must.

 

Edited January 3, 2023 by pushbrk

[Mern V 14]

11 minutes ago, pushbrk said:

Sorry for the confusion.  As to the primary residence, he certainly CAN show the equity on the form, but it will not be considered "liquid" per the definition o of liquid in the I-864 instructions.  If you need to use liquid assets, it would be better to keep them liquid until after submitting the I-864.

 

The good news is that his income may qualify on it's own, and yours may very well be able to be counted too.  You just have to show your business will continue in the USA after you immigrate.  Since your clients are in the USA, this should not be difficult.

Thank you, I appreciate your response.

 

We were chomping at the bit to buy a house, sooo. Too late on keeping it all "liquid" lol. We *do* still have substantial savings on both sides of the border, my assumption is that we can tally up our savings here in Canada along with what's in his bank accounts south of the border?

 

I did refer to the I-864 instructions, which read: "You may include the net value of your home as an asset. The net value of the home is the appraised value of the home, minus the sum of any and all loans secured by a mortgage, trust deed, or other lien on the home." Since there will be no mortgage, (cash purchase) I think it's only in our favour to use it as an asset. (?)

 

His work income is pretty low right now, that's why I'm really trying to get ducks in a row with this! 

 

Thanks again!

 

 

Edited January 3, 2023 by Mern V

[pushbrk 12,869]

1 minute ago, Mern V said:

Thank you, I appreciate your response.

 

We were chomping at the bit to buy a house, sooo. Too late on keeping it "liquid" lol. We *do* have substantial savings on both sides of the border, my assumption is that we can tally up our savings here in Canada along with what's in his bank accounts south of the border?

 

I did refer to the I-864 instructions, which read: "You may include the net value of your home as an asset. The net value of the home is the appraised value of the home, minus the sum of any and all loans secured by a mortgage, trust deed, or other lien on the home." Since there will be no mortgage, (cash purchase) I think it's only in our favour to use it as an asset. (?)

 

His work income is pretty low right now, that's why I'm really trying to get ducks in a row with this! 

 

Thanks again!

 

 

Yes, it DOES say that about your home equity, but how it is actually considered, is far different than with "liquid assets".  Those are also defined in the instructions.  Maybe you didn't get to that part yet.  Either way, the free and clear house is a positive thing.  "liquid" means assets that can be EASILY converted to cash WITHOUT CONSIDERABLE HARDSHIP TO THE SPONSOR.  Liquidating the primary residence, is considered a considerable hardship if you actually NEEDED to liquidate it.  If you have plenty of other liquid assets, it's really no problem.

 

 

[Mern V 14]

4 minutes ago, pushbrk said:

Yes, it DOES say that about your home equity, but how it is actually considered, is far different than with "liquid assets".  Those are also defined in the instructions.  Maybe you didn't get to that part yet.  Either way, the free and clear house is a positive thing.  "liquid" means assets that can be EASILY converted to cash WITHOUT CONSIDERABLE HARDSHIP TO THE SPONSOR.  Liquidating the primary residence, is considered a considerable hardship if you actually NEEDED to liquidate it.  If you have plenty of other liquid assets, it's really no problem.

 

 

Ahh yes, I absolutely read that part, I guess my interpretation of "considerable hardship" was lacking, but the definition you provided makes it clear. Gotcha.

 

 

Edited January 3, 2023 by Mern V