Moving abroad for making the most of your retirement seems like a great idea. Being able to experience the climate and coastline of the popular ex-pat resorts often seems like a better alternative than expending retirement years in the UK, notably if you can gain advantages for tax purposes. However, if you are intending to make this step you will need to comprehend the pension options that are offered to you and seek some advice on QROPS prior to your move.
The Qualifying Recognised Overseas Pension Scheme is accepted by HM Revenue and Customs and can provide taxation and investment benefits to the people who have UK pension rights but have decided on to relocate overseas for tax purposes and so can transfer their pensions offshore.
A QROPS pension is a personal pension that is established outside of the UK, perhaps in offshore centres such as Isle of Man or Guernsey. Once an individual moves abroad they might then move this pension together with them and they then become controlled by the investment and tax laws of the particular country. This means the individual often gets greater flexibility and greater benefits than having a pension plan in the UK.
Since 2006 and the introduction of recent regulations, UK expatriates who've accumulated their pensions in Britain can now transfer these overseas, with the knowledge that this should be moved to an overseas pension scheme that is on the HMRC approved listing of QROPS. This gives people additional control and versatile options to their pension scheme that may in turn mean greater flexibility within their retirement as a whole.
The 3 main benefits of using a QROPS pension are that there's no requirement to buy an annuity, you can pass your pension fund on to your chosen beneficiaries and you get a greater choice of investments. Your wealth advisor can provide advice and recommendations on QROPS should you have any queries or doubts.
The Qualifying Recognised Overseas Pension Scheme is accepted by HM Revenue and Customs and can provide taxation and investment benefits to the people who have UK pension rights but have decided on to relocate overseas for tax purposes and so can transfer their pensions offshore.
A QROPS pension is a personal pension that is established outside of the UK, perhaps in offshore centres such as Isle of Man or Guernsey. Once an individual moves abroad they might then move this pension together with them and they then become controlled by the investment and tax laws of the particular country. This means the individual often gets greater flexibility and greater benefits than having a pension plan in the UK.
Since 2006 and the introduction of recent regulations, UK expatriates who've accumulated their pensions in Britain can now transfer these overseas, with the knowledge that this should be moved to an overseas pension scheme that is on the HMRC approved listing of QROPS. This gives people additional control and versatile options to their pension scheme that may in turn mean greater flexibility within their retirement as a whole.
The 3 main benefits of using a QROPS pension are that there's no requirement to buy an annuity, you can pass your pension fund on to your chosen beneficiaries and you get a greater choice of investments. Your wealth advisor can provide advice and recommendations on QROPS should you have any queries or doubts.
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To learn more about QROPS it is advisable to visit the Finsbury Financial site where you can find out more about a QROPS pension.
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