What is an FBAR and who needs to file?

An FBAR (FinCEN Form 114) is required for any US person — citizens, green card holders, and residents — who has foreign financial accounts that together exceeded $10,000 at any point during the calendar year. This includes Americans living abroad, immigrants maintaining accounts in their home country, and dual citizens. If the total across all your foreign accounts hit $10,000 for even one day, you're required to file.

What's the penalty for not filing?

Non-willful failure to file carries a penalty of up to $16,536 per account, per year. Willful failure can result in penalties up to $165,353 or 50% of the account balance, whichever is greater. Criminal penalties can include up to 5 years imprisonment. The good news: the IRS rarely penalizes taxpayers who come forward voluntarily with non-willful violations.

When is the FBAR deadline?

The FBAR is due April 15 each year, with an automatic extension to October 15. No extension request is needed — it applies automatically. For the 2025 tax year, the October 15, 2026 extension deadline is the current active deadline. We recommend filing as early as possible to stay ahead of the deadline.

How does the FinCEN submission work?

We generate your completed FinCEN Form 114 — both a FinCEN-compliant XML for submission and a PDF copy for your records. We walk you through uploading to the BSA E-Filing system, the same portal CPAs and tax professionals use. The upload takes about 2 minutes. Once submitted, you get a BSA tracking ID as proof of filing, saved in your dashboard alongside your PDF receipt.

How is my data protected?

Your SSN and account numbers are encrypted with AES-256-GCM before they're stored. The encryption architecture means we cannot access your sensitive data in plain text. All traffic uses TLS. Bank statement uploads are encrypted at rest and deleted after data extraction is complete.

What if I have accounts in multiple countries?

You can add as many accounts as you need — there's no per-account charge. We handle currency conversion automatically using Treasury Department exchange rates for the reporting year. Five accounts across three countries is the same $29.

Can I file for previous years?

Yes. You can file for any year going back 6 years. Each year is a separate filing. If you have multiple years of unfiled FBARs, we recommend consulting a tax professional about the Streamlined Filing Compliance Procedures before filing — it can protect you from penalties.

How is this different from using a CPA?

A CPA typically charges $200–500 for FBAR preparation. For straightforward filings, the work involved is primarily data entry — your name, bank details, and account balances. We handle that same process for $29 in about 12 minutes, with bank-grade encryption. For complex situations like delinquent filings, FATCA Form 8938, or tax treaty issues, a CPA is the right choice.

Can I file myself for free on the BSA site?

Yes, the BSA E-Filing system at FinCEN is free and open to the public. It's a functional but dated system — no save-and-resume, no currency conversion, and no error checking before submission. Most filers report it takes 45–90 minutes. FBAR File provides a modern interface with automatic currency conversion, error detection, and the ability to save your progress for $29.

Is my data really safe?

We use AES-256-GCM encryption — the same standard used by the US government for classified information. Your SSN and account numbers are encrypted before they're written to our database, using a key derived from your account. We cannot read them in plain text. Bank statement uploads are encrypted at rest and automatically deleted after data extraction.

FBAR Record Keeping: What to Save and for How Long

The 5-Year Retention Rule

Under 31 CFR 1010.420, you must keep records related to your FBAR filing for 5 years from the due date of the FBAR. For a 2025 FBAR due April 15, 2026, keep records until at least April 15, 2031.

This is separate from (and longer than) the IRS's general 3-year statute of limitations for tax returns.

What Records to Keep

Account Records - Bank statements showing the maximum balance during the year (all 12 months if possible, or at least the month with the highest balance) - Account opening/closing documents — useful if an account was opened or closed during the year - Account numbers — keep a record of account numbers reported (especially for closed accounts)

Filing Records - BSA tracking ID — your proof of filing, issued after submission - PDF copy of your filed FBAR — FBAR File provides this automatically - XML file submitted to BSA E-Filing (if you used one)

Currency Conversion Records - Treasury exchange rates used for conversion - Documentation of how you determined maximum values — especially for securities accounts where the value fluctuates

Supporting Documents - Form 114a (if filing for a spouse) — Record of Authorization to Electronically File FBARs - Any correspondence with FinCEN or IRS about your FBAR - Power of attorney documentation if someone filed on your behalf

What You Don't Need to Keep

Transaction histories for every transaction in the account
Tax returns (these are governed by separate IRS retention rules)
Account statements from years not covered by the 5-year window

How to Organize

A simple folder structure works:

``` FBAR Records/ ├── 2025/ │ ├── BSA-Tracking-ID.txt │ ├── FBAR-2025-filed.pdf │ ├── FBAR-2025-filed.xml │ ├── Bank-Statements/ │ │ ├── HSBC-UK-Jan-Dec-2025.pdf │ │ └── Deutsche-Bank-Jan-Dec-2025.pdf │ └── Treasury-Rates-2025.pdf ├── 2024/ │ └── ... ```

Store digitally (cloud storage with encryption is fine) and keep a backup.

Why 5 Years Matters

If FinCEN or the IRS questions your filing, you need to produce these records. Without them, you can't demonstrate the accuracy of your reported values. The burden of proof is on you.

What FBAR File Provides

After filing through FBAR File, you receive: - PDF receipt of your completed FinCEN Form 114 - BSA tracking ID as proof of submission - Filing stored in your dashboard for future reference and auto-fill

We recommend downloading and keeping your own copies as well — don't rely solely on any service for long-term record retention.