waterfem19

Hi All

I just wanted some advise regarding transfering pensions.

I am currently on contract in Canada and have been paying NI and into a UK pension.

My company are wanting to change the terms of my contract, which will mean I will pay EI in Canada and possibly into a group savings plan. However, I have also been asked if I still want to contribute to NI to protect my pension there but I am not sure I want to.

I guess my question is, if I pay EI and into a group savings plan, can I get it transferred back to the UK (when or if I go back to the UK).

Thanks

JonboyE

You (currently) need 30 years of NI contributions to qualify for a full UK state pension. Whether or not you want to continue to contribute after you leave will depend on how many more years you need, whether or not you want/need the pension, how much you think the pension will be worth in X years time, what the exchange rate will be in X years time, and whether you need to make class 2 or class 3 contributions.

Who knows? But, generally I think it is a reasonable investment if you plan on living to a ripe old age.

EI is employment insurance. Are you thinking of CPP (Canad Pension Plan)? In either case you don't have a choice. CPP will pay out a pension wherever in the world you are if you have made just one contribution (though a very small pension if you have only made one contribution).

As for the group savings plan you will need to check the terms of the plan but in principle it should be OK.

If the plan is an Registered Retirement Savings Plan (RRSP) then you can withdraw funds at any time, but you will pay tax on any withdrawals even if you have become a non-resident. I guess there must be some mechanism to transfer them tax-free back to a pension plan in the UK if you wanted to.