Compare · Bali vs United States
Bali vs United States for Australians leaving home
Bali:Worldwide taxAU tax treatyUnited States:Worldwide taxAU tax treaty
Bali and United States run the same headline regime, worldwide tax, so the decision turns on the details underneath: what each one does to capital gains, dividends and the Australian income you keep.
Both have a tax treaty with Australia, so either way you get a tie-breaker if the ATO contests your departure, and capped withholding (15%/10% vs 15%/10% on unfranked dividends/interest).
Bali is the cheaper place to live day to day, roughly 45% of Sydney's basket against United States's 115% (indicative, ex-rent), which can outweigh a thinner tax saving over a full household budget.
Personalise this, enter your numbers once and every figure below becomes yours: “your estimated income tax: $14,200”, not “0, 22%”. Open the Country Comparison tool →
| 2 destinations | BaliIndonesia | United StatesUnited States |
|---|---|---|
| Tax | ||
| Regime | worldwide, taxes worldwide income | worldwide, taxes worldwide income |
| Income tax on salary | Progressive 5, 35%. An A$120k income maps to roughly 27% effective, Indonesia is not a low-tax residence on paper. | Federal 10, 37% plus state tax (0, 13.3%) plus FICA (7.65% employee side). A US$150k salary in California pays roughly 30%+ combined; in Texas closer to 24%. |
| Capital gains | No concessional CGT: foreign gains are ordinary income up to 35%. Indonesian-listed share sales instead pay a 0.1% final tax on proceeds. (30% typical) | Long-term (12+ months) federal rate 0/15/20% plus 3.8% NIIT above ~US$200k income; short-term gains at full ordinary rates. States tax gains as ordinary income, California adds up to 13.3%. (15% typical) |
| Dividends | Domestic dividends: 10% final (0% if reinvested in Indonesia under conditions). Foreign dividends: progressive rates unless the reinvestment exemption applies. | Qualified dividends at 15% (20% top). Australian franking credits are invisible to the IRS, franked dividends are just taxable income with a credit for the AU WHT. |
| Interest | Taxed locally around 20% | Taxed locally around 24% |
| Crypto | Crypto traded on Indonesian platforms carries small final transaction taxes (income tax of ~0.1% of value plus VAT). Gains realised offshore by a resident are, strictly, worldwide income at progressive rates. | Crypto is property: every disposal (including spending and swaps) is a capital gains event, short-term gains at ordinary rates, long-term at 0/15/20%. Broker reporting to the IRS is now systematic. |
| Australia tax treaty | Yes, AU withholding capped at 15% dividends / 10% interest, tie-breaker available | Yes, AU withholding capped at 15% dividends / 10% interest, tie-breaker available |
| Social security | BPJS health and employment schemes apply to formal employees; foreign remote workers typically fall outside them. | FICA (6.2% social security capped + 1.45% Medicare uncapped) applies to US employment; a totalisation agreement with Australia prevents double super/social security in most postings. |
| Visa | ||
| Best pathways |
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| Visa ease | 7/10 | 6/10 |
| Family on visas | Dependants covered on main pathways | Dependants covered on main pathways |
| Fastest timeline | ~0 months on the quickest pathway | ~2 months on the quickest pathway |
| Money | ||
| Rent (family home, monthly) | $2,500/mo | $7,500/mo |
| Rent (couple, monthly) | $1,500/mo | $4,500/mo |
| International school (per child/yr) | $15,000 | Free / local system viable |
| Health cover (family/yr) | $5,000 | $20,000 |
| Cost of living vs Sydney | 45% of Sydney (ex-rent) | 115% of Sydney (ex-rent) |
| Relocation one-off | ~$12,000 | ~$30,000 |
| Flights home (return, pp) | $1,100 | $2,000 |
| Life | ||
| Timezone vs AEST | 2h behind | 18h behind |
| Flight from Sydney | ~6.5 hours | ~13.5 hours |
| English | 6/10 | 10/10 |
| Safety | 7/10 | 6/10 |
| Healthcare | 5/10 | 8/10 |
| Schooling | 6/10 | 8/10 |
| Climate | Tropical, 30°C year-round; wet season roughly November to March. | Continental spread, LA is 20, 28°C and sunny most of the year; pick your city, pick your climate. |
Costs, rates and visa figures are country-module data marked indicative until individually verified; FX and rental markets move constantly.
Honest downsides, side by side
Every destination hub on this site carries its downsides in the open. Here are both lists together, because the right question is rarely “which is better?” and usually “which set of problems would you rather live with?”
Bali
- Healthcare on the island is adequate for small things and inadequate for big ones, serious cases get evacuated to Singapore or Australia, so insure accordingly.
- Indonesia taxes worldwide income at up to 35%: done legally, Bali is often a worse tax outcome than staying in Australia at middle incomes.
- Infrastructure strain is real: traffic between Canggu and anywhere can be brutal, and rainy-season flooding, power cuts and construction noise are routine.
- Foreigners cannot own land freehold, leaseholds and nominee structures carry genuine legal risk.
- Enforcement culture is unpredictable: long tolerance, then sudden crackdowns (on visas, on unlicensed business, on tax).
United States
- This is a move for career and earnings, not tax, combined federal + state + FICA in a coastal city will roughly match or exceed your Australian rate.
- Healthcare is tied to employment and ruinously expensive without it; a family plan's premiums and deductibles can exceed A$25k/year of exposure.
- The IRS relationship is sticky: green card holders are taxed on worldwide income for life until formal surrender, and FBAR/FATCA reporting on Australian accounts carries brutal penalties for innocent omissions.
- Your superannuation is a US tax problem: no treaty article clearly protects it, and treatment (foreign grantor trust? employee trust?) is unsettled, specialist advice is non-optional.
- Gun violence, litigation culture and the cost of failure (no safety net) are real quality-of-life deductions Americans price in and Australians don't.
Make this comparison yours
The table above shows the general figures. Enter your income and family once and the tax rows become your numbers, “your estimated income tax in Canggu: $14,200”, not a range.