HOW DO YOU REAP THE BENEFITS OF A UK PENSION WHEN YOU DON’T LIVE IN THE COUNTRY?
HOW CAN YOU ARRANGE FOR YOUR PENSION TO BENEFIT YOUR FAMILY?
The UK pension is something of an institution. Like many institutions it was for many years traditional, reliable and highly inflexible. And then everything changed. In April 2006, HMRC established the Qualifying Recognised Overseas Pension Scheme (QROPS). For the first time expats could settle anywhere in the world and have their UK pension transferred.
Take control of your pensions.
Decide how and where its invested and reduce your taxes
That loosening of the rules gives a lot more control over what to do with your pension. By transferring it to a legally recognised provider overseas, your pension avoids any danger of being frozen. Many of these partner schemes can help your pension become a greater asset to your entire family. If you do opt for a retirement abroad, transferring your pension offers a number of compelling advantages.
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No UK income tax liability
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No UK inheritance tax liability
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A tax-free lump sum of 30% can be withdrawn compared with 25% in the UK
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The ability to consolidate several schemes into a single pension
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The ability to leave money to heirs other than your spouse
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The chance to diversify investments beyond the UK
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Independence from UK pension legislation
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Greater flexibility to combat foreign exchange rate risk
