If you want to transfer a pension overseas, you will need to find a Qualifying Recognised Overseas Pension Scheme (QROPS) with the help of a financial adviser who specialises in expat pensions. Therefore, the larger your pension, the more you’ll pay. This website uses cookies so that we can provide you with the best user experience possible. There is always the option of leaving your money in a UK-based pension scheme. Please select all the ways you would like to hear from When They Get Older: You can unsubscribe at any time by clicking the link in the footer of our emails. This website uses Google Analytics to collect anonymous information such as the number of visitors to the site, and the most popular pages. Nick has been writing professionally on money and business topics for over 15 years, and has previously written for leading accountancy firms PKF and BDO. If you’re not yet at retirement age and are contributing to a UK-based private pension scheme when you move abroad, you can continue to do this for five years. Fortunately the experts we work with can help you with all aspects of transferring your pension overseas. Also, things like capital gains tax vary from country to country. Retiring abroad and the state pension Retiring abroad and private pensions. Transfer your pension to an overseas pension scheme It is possible to transfer your pension to a pension scheme in another country. Here are some of the questions you’ll need to discuss with your adviser. If you are unsure about how to transfer your pension abroad or want to understand more about the tax implications, call us on 0808 189 0463.Alternatively, you can arrange a free, no obligation consultation with one of the pensions experts we work with. The below apply to defined contribution pensions only…. Expat finances are a highly specialised area, so not every financial adviser will be experienced in this area or qualified to help. Exit fees. However, the receiving pension scheme must meet a certain set of criteria, as per HMRC regulations, in order to avoid paying a large tax charge of up to 55%. To keep your money safe, you should consider all options and explore every detail of your new pension scheme overseas before you transfer your pension into the hands of a new organisation. In this blog you will find advice on how to manage your pension if you move abroad. Please enable Strictly Necessary Cookies first so that we can save your preferences! If you’d like to talk to someone today about how to transfer your UK pension abroad, call on 0808 189 0463. To get this under the old system, you need to have made a minimum of 30 years' National Insurance contributions during your working life. Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. Regulated as a pension scheme in the country where it is established; and. This is important to consider because your income may go up and down. There may however be additional charges and administration involved in doing this, which is why some expats choose to transfer their UK pensions to a provider based in the country where they now live. As well as this, the language barrier can put some people off from moving forward with transferring their pension overseas. Every country has different rules regarding retirement and pensions pots. Tony is also a highly qualified Independent Financial Adviser in his own right. They will offer any advice specific to you and your needs. Nick Green is a financial journalist writing for Unbiased.co.uk, the site that has helped over 10 million people find financial, business and legal advice. Do you dream of retiring abroad? By clicking below to subscribe, you acknowledge that your information will be transferred to Mailchimp for processing. The process of transferring your UK pension to a scheme abroad can be fairly simple if you have knowledge of the market. Unlike those who stay in the UK and receive the latest State Pension amount, yours might stay the same as when you emigrated. Once you understand the financial implications of transferring your pension pot abroad, you can begin to proceed with the transfer. Where can I get advice about transferring a pension overseas? If you are considering transferring a UK pension overseas, get in touch for a free, no-obligation chat with one of the pension experts we work with. If you disable this cookie, we will not be able to save your preferences. Moving abroad is so exciting; discussing your pension is less so. If you move abroad before you start taking your pension, overseas tax laws may prevent you from taking anything tax free. Collaborative Post. Many UK pensioners choose to seek out the sun once they quit the nine-to-five. Your pensions advisor can look at each option and calculate which one is more financially viable for you and provides the most benefits. If you have your own workplace pension(s) or personal pension(s), you can still access these from another country once you reach a certain age. It’s your financial future and your retirement, so don’t feel pressured to switch before you understand the implications or feel ready. A QROPS will provide insurance and legitimate, legal transfer when paying into or taking money from your pension. Transferring your pension abroad and then later realising you could have made more money can sting. Moving abroad is an exciting step, particularly if you are moving for a happy, sunny, peaceful retirement. This can be good or bad for you, depending on the relative strength or weakness of the pound. Get to know the term QROPS before you move to your new location. You can find a UK-based expert in this area using our tool below – even if you have already moved abroad. What happens to my State Pension if I move abroad? Transferring your UK pension abroad is a huge decision and one that shouldn’t be taken lightly or without bespoke advice. Yes, this is now possible. Nevertheless, make sure to follow this guide before moving your pension abroad. The main difference is that if the State Pension increases, you may not benefit from the extra amount if you’re living in certain countries. Make sure that you Let us match you to your perfect financial adviser. It’s important to know that a UK pension provider may charge you for withdrawing your pension and transferring it to another country, so always seek advice from one of the pensions experts we work with, who can identify the best option for you. If you have your own workplace pension(s) or personal pension(s), you can still access these from another country once you reach a certain age. Where can I transfer my pension to if I move? However, one of the more stressful aspects of making a big move abroad is sorting out your financials. Are there any fees for transferring my pension and if so, how much? Alternatively, make an enquiry online and one of the pensions specialists we work with will be in touch shortly. The same could be said for keeping your funds in your current UK pot and you will need to check that your scheme has full Pension Freedoms. Transferring a UK pension abroad can be daunting, especially if you are unsure about the pension processes in the country you are moving too. To get around this and to ensure you understand the conditions and consequences of transferring your pension overseas, always seek professional advice. For information about our privacy practices, please visit our website. Of course, you may be able to accumulate more interest or funds in your pot by transferring it to another provider, but this would only be the case if you have a defined contribution scheme. Online Money Advisor is a trading name of FIND A MORTGAGE ONLINE LTD. Find a Mortgage Online Ltd is registered in England under number 8662127. There’s even a chance that you might not get any at all. The good news is that even when you move abroad – or work for an employer that is based overseas – you are not limited in the amount of money that either of you can pay into a UK pension scheme. Would love your thoughts, please comment. If you are unsure about any fees or charges associated with transferring your UK pension abroad, speak to your pension provider and ask them for a list of all charges. The information on the site is not tailored advice to each individual reader, and as such does not constitute financial advice. Despite living or moving abroad, you do have the option to leave your pension in a UK scheme. You may need to organise an interpreter, which many overseas banks offer. Qualifying Recognised Overseas Pension Scheme is the term which defines whether a pension scheme offered outside the UK qualifies under the regulations and conditions necessary to keep your pension safe. Pensions will be paid in pound sterling and then converted to the local currency. You can find out more about which cookies we are using or switch them off in settings. If you’re considering emigrating specifically for your retirement, you need to be clear about what happens to your pension and entitlement when you move as well as how exchange rates and tax rules could impact the amount of money you receive. Recognised for tax purposes (so benefits that are paid to you from the scheme must be subject to taxation). An exit fee can be charged as a flat fee or as a percentage of your savings. More information about our Privacy Policy. 70% of customers who have a pension review find a better deal. More than 70% of people who have their pension reviewed find a better deal. Depending on whether you are still paying into your pension or if you are already retired, your tax relief options will change; if you are still paying into your pension and do so from abroad into a UK scheme, this could negate any tax relief you received. It would be best if you asked your bank for advice, too, about a pension transfer. The difference might not be huge, but it’s one to factor in. What happens to my pension if I move abroad. Of course, there is also the subject of your pension. Whether transferring your pension plan is a good idea, is largely based on your own circumstances as well as the terms of your current and future pension scheme. This means that every time you visit this website you will need to enable or disable cookies again.