Offshore Income Calculator — Calculate Tax Savings & Net Income

Offshore Income Calculator

Calculate potential tax savings and net income using offshore structures. Compare different jurisdictions, currencies, and tax scenarios for optimal financial planning.

Step 1: Income Details

$150,000
35%
5%

Tax Savings Formula

Tax Savings = Income × (Home Tax Rate – Offshore Tax Rate)
Net Income = Income – (Income × Offshore Tax Rate)

Step 2: Offshore Setup

$5,000
$2,000

Common Offshore Structures

• Offshore Companies (0% tax in many jurisdictions)
• Trusts & Foundations
• Free Zone Companies
• International Business Companies (IBCs)
• Limited Liability Companies (LLCs)

Offshore Income Results

Summary
Jurisdiction Comparison
Formula & Examples

Annual Tax Savings

$45,000
Net Income: $142,500 • ROI: 900%
Home Country Tax
$52,500
Offshore Tax
$7,500
Annual Savings
$45,000
5-Year Total Savings
$225,000

Jurisdiction Comparison

Jurisdiction Tax Rate Annual Savings Setup Cost Net Gain (5yr)

Tax Savings Formula

Tax Savings = Income × (Home Tax Rate – Offshore Tax Rate)

Where:
• Income = Annual gross income
• Home Tax Rate = Tax rate in your country of residence
• Offshore Tax Rate = Tax rate in offshore jurisdiction

Net Income Calculations:
• Home Country Net = Income × (1 – Home Tax Rate)
• Offshore Net = Income × (1 – Offshore Tax Rate) – Annual Fees
• Annual Savings = Home Country Tax – Offshore Tax

ROI Calculation:
• ROI = (Annual Savings – Annual Fees) / Setup Cost × 100%

Example Calculation

Example: $200,000 income, 40% home tax vs 5% offshore tax

Income: $200,000
Home Tax (40%): $80,000
Offshore Tax (5%): $10,000

Annual Tax Savings:
$80,000 – $10,000 = $70,000

Net Income Comparison:
Home Country: $120,000
Offshore: $190,000

5-Year Savings (with $5k setup + $2k annual):
($70,000 × 5) – $5,000 – ($2,000 × 5) = $335,000

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