FBAR (Foreign Bank Account Reporting)
Last updated 17 July 2026
FBAR is the common name for FinCEN Form 114, the Report of Foreign Bank and Financial Accounts. In the United States, certain US persons must file it when their financial interest in, or signature or other authority over, foreign financial accounts exceeds the applicable aggregate threshold during the calendar year. It is an information report, not a calculation of income tax.
Accounts are considered together for the threshold test rather than one by one. Coverage can extend beyond personal bank accounts to securities accounts and certain other foreign financial accounts. Entity ownership, trusts, joint accounts, and signature authority can affect who has a filing obligation, so the analysis is broader than asking where one person keeps cash.
Why it matters for family offices
Globally connected families may have US citizens or residents involved with accounts owned by trusts, companies, foundations, or operating businesses. A person can have a reporting issue even when the account produced no taxable income or when the beneficial assets belong to an entity. Civil and, in serious cases, criminal consequences can apply to failures, with treatment depending on the facts and level of culpability.
The office's role is to maintain a complete, traceable account inventory for qualified US advisers. It records institution, country, account owner, relevant individuals, authority, highest annual value, and source exchange-rate information. FBAR filing is separate from an income tax return and may coexist with other foreign-asset reporting duties.
How it shows up in practice
Suppose a US family member is a signatory on a Swiss account owned by a family holding company and a co-trustee of a foreign trust with an investment account. Neither relationship appears on the person's personal bank summary. The family office's structure map and authority records identify both accounts for review.
The office gathers maximum-value data and provides it to the family's US tax adviser, who determines which interests and authorities are reportable and prepares the filing. It keeps filing confirmation and supporting records under restricted access. Consolidated record-keeping does not make the legal determination, but it prevents an obligation from being missed because information sat with a different entity or custodian.
Related terms
Tax Planning
The legal structuring of a family's affairs, through entity choice, residency, timing, and jurisdiction, to minimise tax liabilities across income, capital gains, wealth, and inheritance taxes. For UHNW families with assets and members in multiple countries, tax planning is a continuous, coordinated exercise rather than an annual event. It sits at the intersection of investment strategy, wealth structuring, and estate planning.
Ultimate Beneficial Owner (UBO)
The natural person who ultimately owns or controls an entity, looking through all intermediate companies, trusts, and nominees. Regulators worldwide require UBO identification and, in many jurisdictions, registration. For families with layered structures, maintaining an accurate, current map of beneficial ownership is both a compliance duty and a governance necessity.
Consolidated Reporting
The aggregation of all of a family's assets, liabilities, and performance, across every custodian, entity, currency, and asset class, into a single coherent set of reports. It answers the deceptively simple questions of what the family owns, what it is worth, and how it is performing. Consolidated reporting is the core deliverable of most family offices and the primary function of family office software.
Custodian
A financial institution, typically a bank, that holds securities and cash on behalf of investors for safekeeping. UHNW families commonly spread assets across several custodians for diversification and access to different capabilities. Aggregating positions and transactions from multiple custodians into a single view is one of the biggest operational challenges family offices face.
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