The Process of Transferring to a QROPS
Transferring a pension overseas will not be in the best interests for all, especially with the effect of legislation changes post 6th April. It is therefore important to clearly identify the key issues that affect you personally.
It is important that a fully informed choice is made, and for this to happen; an individual and their adviser needs to understand the following:
1) Your personal circumstances and objectives, both in relation to your pension and your overall goals. These include:
Your age, the type and fund size of your UK pension, where you are resident, how long you have resided outside of the UK, where you are going to be resident in the future, do you have children, do you require additional flexibility, your health, where you would like to invest your pension funds, how do your overall assets affect what you need from your pension; what needs to you have for your pension and when?
Link to mini questionnaire
2) Can a QROPS provide you with relevant benefits, which are over and above those available with your UK pension?
3) Is there a QROPS location which is compatible with the country within which you reside, which will not put you in a more penal tax position; and that fully complies with both HMRC and local rules and regulations?
4) What is the true financial cost of transferring?
This should not only include the cost of the new pension, but also advice and underlying investments.
5) What protection exists for you, both with regards to any advice provided; and within the QROPS and any investment products used?
6) Who are you going to take advice from?
7) Do you understand the evolution of QROPS, legislation changes that HMRC have made; and statements they have made which could impact upon future legislation?
Transferring a pension overseas will not be in the best interests for all, especially with the effect of legislation changes post 6th April. It is therefore important to clearly identify the key issues that affect you personally.
It is important that a fully informed choice is made, and for this to happen; an individual and their adviser needs to understand the following:
1) Your personal circumstances and objectives, both in relation to your pension and your overall goals. These include:
Your age, the type and fund size of your UK pension, where you are resident, how long you have resided outside of the UK, where you are going to be resident in the future, do you have children, do you require additional flexibility, your health, where you would like to invest your pension funds, how do your overall assets affect what you need from your pension; what needs to you have for your pension and when?
Link to mini questionnaire
2) Can a QROPS provide you with relevant benefits, which are over and above those available with your UK pension?
3) Is there a QROPS location which is compatible with the country within which you reside, which will not put you in a more penal tax position; and that fully complies with both HMRC and local rules and regulations?
4) What is the true financial cost of transferring?
This should not only include the cost of the new pension, but also advice and underlying investments.
5) What protection exists for you, both with regards to any advice provided; and within the QROPS and any investment products used?
6) Who are you going to take advice from?
7) Do you understand the evolution of QROPS, legislation changes that HMRC have made; and statements they have made which could impact upon future legislation?
