Money and tax

The steps in this domain (8)

• 1
  Hapoalim, Leumi, Discount, Mizrahi-Tefahot, or a digital bankIn person

  Open an Israeli bank account

  Every account holder must attend in person. Budget about two hours in the branch once you have an appointment.

• 2
  Bituach Leumi

  Register with Bituach Leumi (National Insurance)

  Registration is fast once you have a Teudat Zehut, and it starts the accrual clock for maternity, disability and unemployment cover.

• 3
  Isracard, CAL or Max

  Get an Israeli credit card

  Most non-bank credit cards require about 6 months of Israeli banking history, so budget for a slow first year on a debit-linked card.

• 4
  Bank Hapoalim (Bit) and the Cal Paybox ecosystem

  Set up Bit and Paybox

  Day to day Israeli payments, splitting a bill and paying a babysitter, run through Bit and Paybox, and both need a working Israeli bank account or card to activate.

• 5
  Plan a large FX transfer with source-of-funds documents ready

  A one-time transfer such as a house down payment can trigger an anti-money-laundering document request from the receiving Israeli bank that most olim do not see coming.

• 6
  Israel Tax Authority

  Understand what you must report, even while exempt

  The 10-year exemption on foreign income still stands. The exemption from having to report it does not, for anyone becoming resident from 1 January 2026.

• 7
  US Treasury (FinCEN) and IRS

  File FBAR, FATCA and PFIC forms every year as an American oleh

  Israeli tax exemption does not cancel your US filing duty. FBAR, FATCA and PFIC obligations run every year for as long as you hold US citizenship, regardless of what you owe.

• 8
  Bituach Leumi

  Check your 5-year Bituach Leumi exemption as an American oleh

  Americans who demonstrate active US Social Security obligations can get a 5-year exemption from National Insurance contributions from the date of aliyah. Health tax is still owed regardless.

Work out your numbers

• Sal Klita estimator

  Estimates your absorption basket from the 2026 rate table, itemised, with the source and check date on every line. Tells you plainly where a figure is missing rather than guessing it.

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• Child allowance, 2026 rates

  Paid to the mother, into an Israeli account in her name, and enrolled automatically once the aliyah process completes. A further ₪113 per child applies for the third and fourth where a parent receives income support, maintenance, or an old-age or survivors’ pension.

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• Purchase tax simulator (mas rechisha)

  The Israel Tax Authority’s official calculator. Anonymous, no ID required. Every blog figure for the olim brackets drifts; this returns the current one.

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Resources (48)