ozzieeagle

Just received an Email saying they won't touch it.

I phoned my Trusty Tax accountant whom I've known for 12 years now. He's an expert on Centrelink, which is by the by in this matter I realise. However, he said, he knows he can do it and will see me later next year. First State also upped their fee in the response from 3K which I was almost going to pay, seeing as they said they would handle the UK pension and all the other gumph....To 4.5K without the UK Pension.

We are consequently changing funds on my Wifes super from First State to Host Plus.


All of this Pension stuff is proving to be more difficult than purchasing a House.

Just a word of advice to anyone dealing with the Aus Super and Pension system, definitely definitely get expert advice. If you just fill in and sign forms you are potentially ripping yourself off for 10,000's of dollars. It's a lot like going to one of those High Street tax people V your own accountant at Tax time. You'll get a totally different outcome for seeing the right people.

ozzieeagle

Finally finally finally, some positive news for me on this convoluted drawn-out red tape ridden over the top bleeding saga.

All I've had from the Willis group in Norwich is negativity about getting a lump sum, every contact I had with them personally told me that I wasn't getting a lump sum payout due to my Australian Super and Pension. That as far as they were concerned I was only entitled to a piddling 700 quid or there abouts a year pension. Which would have caused me ongoing contact with Centrelink here forever and day. Hence I started the process with Alan Collet's successor over in Perth.... I'll fully recommend them when the Money actually lands.

Willis has given me deadlines, knockbacks, reams of A4 forms to fill in... probably 80 pages worth in total..., all in legalise jargon for what is a trivial amount that I earned during an 8-year stint back in the old square mile in the 70's UK. I've made dozens of phone calls to them, been ignored for months, been past their own imposed deadlines from those delays and honestly it's been the worst form filling exercise and makes house buying and car insurance claims look like a walk in the bloody park.

They have moved the goal posts one last time and have stated that as it seems they have finally run out of excuses to pay me a lump sum, thanks to the people in Perth who wouldn't accept their excuses and told Willis in no uncertain terms that Aus money is Aus benefits and nothing to do with the UK private pension schemes.... Which the Willis group were trying to claim.

Anyway to cut an even longer story short. instead of a 3month deadline, they've gone completely the other way and will be paying me on my official retirement date. Supposedly... so it's still ongoing.... but it's the first time they have indicated they will be paying me a lump sum.

Grabbing a UK lumpsum Pension is not for the faint hearted.

......

freebo

Not sure you've seen this...

https://www.gov.uk/personal-pensions...n-take-pension

I may just to cash in my UK pension when I reach 55, its a reasonable sum (6 figures), I'll put it into some form of investment in Aus, not super as I'm already maxing that.

The key is tax, and I'm no expert but my understanding so far...

If you have it paid into a UK bank account its counted as income and taxed in the UK, due to double-tax its not then taxed in Aus, however some of mine would be taxed by the UK at a higher rate so it does make a dent.

https://www.which.co.uk/money/pensio...r-af1sc5u1y9mc

You can also have it paid into an Aus bank account but that means it gets taxed as income here, not an attractive option at this point, way more than paying it into mu UK bank account.

An option may be to leave it where it is until I retire & will be paying less tax then bring it over.

I also looked at the Aus Expat QROPS scheme but have not reached a conclusion yet.

ozzieeagle Can you provide a contact at the Perth firm you've used, I used Allan Colette when we migrated and he was great.

Alan Collett

If you are resident in Australia the Tax Treaty is likely to disapply certain of the UK's provisions in the context of income.

The account into which monies are paid does not affect how you are taxed - your liability is driven by your residency status.

Please feel able to ping a private message to me if you would like to explore the tax position more fully.

Best regards.

freebo

Thanks Alan Collett sent you a PM.

Alan Collett

Many thanks - I have sent an email to you in reply.

Best regards.