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Dreamers have started the new year with high hopes for a solution to the DACA program and their continued stay in the U.S.

Many have already lost their work permits and are forced to look into alternative ways to sustain their lifestyles while the government and politicians debate on their future.

Even for those like myself who have applied for permanent citizenship, there have been delays in processing our paperwork.

[bctt tweet=”Even for those like myself who have applied for permanent citizenship, there have been delays in processing our paperwork.” username=”dreamer_money”]

This situation leads me to believe that we must prepare for the worst case scenario; to find ways to ride the Dreamer rollercoaster until there is a solution.

I understand that many situations are different; I decided to ask myself some questions and place myself in the shoes of many Dreamers who are looking for a clear and positive future.

Even though I applied for citizenship through marriage, we experienced delays in paperwork and the risk of losing my teaching job.

However, we forecasted stumbling blocks like these and prepared financially for these type of scenarios.

Through this post, I hope many other Dreamers have enough time or at least begin thinking about their own plan of action.

Have an emergency fund

Given the current backlog in government paperwork, it won’t be a surprise if your immigration case takes longer than expected.

Our immigration lawyer shared with us that even for easy and clear cases like ours, citizenship through marriage, green cards have been taking up to a year to arrive.

As the U.S. government debates the future of DACA and Dreamers, thousands are finding themselves with expired work permits or at risk of losing DACA and their jobs within the next year.

My DACA expired in January, and even though I filed for citizenship through marriage, my new green card has yet to arrive despite filing in advance.

That goes to show that Dreamers and future Americans should expect longer delays.

With an emergency fund in place, many of us can feel some stability and financial security.

People in our situations should focus all their energy on maintaining good legal standing and emotional stability and not allow money to become an additional hindrance.



Roll over or cash your investments?

Many Dreamers, who have been working for the past years since DACA was implemented, took advantage of their employer’s 401k or other retirement programs.

Since these same hard-working individuals are now at risk of losing status, many wonder how they can keep their investments.

Some see it in their best interest to cash out these funds; be aware that this decision will result in a 10 percent early withdrawal penalty on top of the IRS taxing your money at your regular 2018 tax bracket.

So if your tax bracket is 12% and you decide to withdraw your $10,000 from your retirement account, you can expect a 22% tax on the $10,000, leaving you with only $7,800 after taxes.

For many Dreamers, this might be the only viable option.

After doing some research I have yet to find a brokerage company that allows non-resident aliens to open an investment account, even if you have an ITIN (Individual Tax Identification Number).

However, if I was in this position, I would rather wait for Congress to act.

I would let my investments grow, and cash it all out once it is certain no path towards citizenship or the revival of DACA are possible.

This thread titled “Can foreigners invest in mutual funds?” might be helpful to understand your current situation

Managing your bank account and cash

Back in 2008, the organization Families for Freedom created a financial handbook for families facing deportation.

In the handbook, they outline how to manage your bank account and all other non-invested cash, strategies to maintain your credit and necessary precautions to understand your rights and your money.

Try to communicate with your debtors if you have any outstanding debts.

Many of them might be able to offer you some sort of grace period given your current situation.

If your debt can be quickly paid off, I would recommend you do so, it will avoid additional problems and worries in the future.

How are you preparing for the future?