International Pension Transfers

There is no ‘one size fits all’ solution to pension transfers and before making any decisions about transferring, it is essential to seek professional advice and carry out a thorough analysis of your personal circumstances and the pension(s) you are thinking about moving.

We are, however, often asked the following questions when it comes to pension transfers, so below are our answers along with an invitation to download our International Pension Transfers guide in which you will find much more detailed information.

But first, let’s start here:

Why should I transfer my pension?

As we said above, pension transfers are not suitable for everyone. They very much depend on your individual circumstances.

However, if, after an analysis of your personal and financial circumstances, a transfer is deemed right for you, it may provide significant advantages compared to a UK pension.

What are the benefits for expats in transferring their pension?

As a UK expat, you can transfer previous and existing UK personal and employer pension schemes into an Offshore QROPS (a pension scheme established outside the UK) or an International SIPP (Self Invested Personal Pension).

You can also place assets into a QNUPS, a form of overseas Trust that qualifies as a pension for UK tax purposes.

One of the greatest benefits of transferring to these overseas pension schemes is reduced tax liability. However, it’s best to speak with a financial planner who can explain in greater detail and outline the benefits and drawbacks of each option.

What are the risks and costs associated with an international pension transfer?

As with any financial decision, there are risks and costs associated with pension transfers.

One of the key considerations to make when considering transferring your pension offshore is where you plan to retire. This choice can have an impact on your choice of pension scheme and affect things like tax and choice of currency.

While there are potential tax benefits to transferring your pension overseas, there are also tax and financial risks. If you receive the incorrect advice, you risk deriving zero benefits from your international pension transfer.

That is why we strongly encourage you to seek specialist transfer advice before making a decision about your moving your pension(s).

What are the key steps in transferring my pension?

Get in touch with us for an initial consultation. We will discuss your current situation to determine whether a pension transfer is right for you.

If so, we will complete a pension information request form to submit to your current pension fund provider(s) who will inform you and us of your total fund value.

With that information, we can perform an analysis and send you a detailed report of your circumstances and our recommendations.

Keep in mind that if we believe you should not pursue an international pension fund transfer, we will be honest and tell you.

Want to know more?

Download our free International Pension Transfers guide.