Moving Abroad from the UK – Why Transferring a UK Pension is a Good Option for Expats
When you are moving away from the UK to settle abroad, you have a hundred and one things to think about, and the pension funds are one of them. The UK pension for expats and the various schemes that the policymakers introduce becomes a case of debate and fear amongst the investors. Should we or should we not move the UK pension abroad – this one question seems to take serious concern since it involves several problems such as double taxes, tax liabilities and many more.
So, according to the financial experts, there are two options available for the expats today. One is to leave the UK pension plan as such in the UK and paying the taxes as applicable when you receive the funds, or transferring them to a QROPS pension scheme.
The QROPS scheme works well for many expats, in that it can save taxes and offers many further benefits in turn too.
However, one needs to remember that the QROPS scheme will often work well if you and your QROPS pension are in the jurisdiction (or EEA, if an EU tax resident). For those travelling to other places, you need to check with international pension transfer specialists to ascertain the advantages of transferring the UK pension for expats to reduce any loss of funds or excess taxation at a later period.