Not sure what your pension options are..
At ASA we have access to multiple lenders that can assist with your Pension transfers, when considering transferring your pension you have to follow some simple guidelines to make sure the transfer is cost effective.
Your situation and objectives are unique and, while unlikely, there is the possibility that transferring your UK pension to Australia wont be of benefit to you. We therefore urge you to seek our professional advice before proceeding.
Transferring pensions from the UK - brief outline:
1. Most UK company and personal pension plans can be transferred to Australia.
2. The UK State Pension cannot be transferred, but you can transfer the weekly/monthly payment.
3. The monthly pension must be drawn from the UK.
4. That Her Majesty\'s Revenue and Customs (HMRC) new Pension Simplification Rules require that any lump sum pension benefit transferred to Australia must be transferred to an Australian superannuation fund that has been approved by HMRC as a Qualified Recognised Overseas Pension Scheme (QROPS).
5. Failure to do so will result in HMRC imposing severe tax penalties up to 55% tax levied on the benefit transferred. The reporting obligations of the QROPS in Australia to HMRC.
6. When you are considered by HMRC to be tax resident in the UK and how your tax resident status may affect pension benefits transferred to Australia.
7. That in electing to transfer your pension the UK pension fund will capitalises your annual pension and it is this capitalised value or lump sum that is transferred to an Australian QROPS.
8. The tax issues under Australia\'s Foreign Investment Fund (FIF) that may affect you.
9. That a portion of any lump sum transferred may be subject to tax in Australia. In terms of Section 27CAA of the Australian Income Tax Assessment Act, tax may be payable on the growth portion of the lump sum transferred.
The exchange rate applied to your transfer is not negotiable and is set by your receiving schemes banker in line with the prevailing market rate at the time of transfer.
UK pension rules allow you to retire from age 50, rising to 55 after April 2010. Preservation ages are different in Australia and if you transfer you may not be able to access your funds before age 60.
Transferring your UK pension fund is likely to give rise to a tax liability if made after you have been resident in Australia for longer than 6 months.
Please fill out the CONTACT FORM to discuss the most cost efficient way of transferring your pension to Australia
