UK State Pension to OZ
#1
Just Joined
Thread Starter
Joined: Apr 2010
Location: essex
Posts: 9
UK State Pension to OZ
RELOCATION: PHIL DOWN UNDER. have just watched this program and he said : You can receive your UK state pension in OZ, be careful, when you first draw it, as this rate exchange will be fixed for as long as you receive your UK pension. So if the rate does get better, we're stuffed as usual. Has anyone heard of this., Would it be better to make the exchange in UK and sent to OZ in AUD.
I'm trying to find some information on the OZ immigation web site, but no luck yet, will have to be a phone call. Can anyone help on this matter.
Bob
I'm trying to find some information on the OZ immigation web site, but no luck yet, will have to be a phone call. Can anyone help on this matter.
Bob
#2
221b Baker Street
Joined: Jun 2010
Location: Miles from anywhere, Victoria, Australia.
Posts: 14,125
Re: UK State Pension to OZ
That doesn't sound right to me unless you are having it sent here directly. I wouldn't do that.
What is true is that your pension won't increase as it would if you remained in the UK.
I'd suggest getting your UK pension paid into a UK bank and then transferring as and when you want. You can do this easily and speedily on the the internet using one of the many internet transfer companies.
I do this, and have done now for five years with my occupational pension.
I use www.tranzfers.com
I don't think that the immigration department will be able to help you with a pension/tax matter and even if they do/will, you cannot trust the info that you will get on their helpline.
Also, your pension will be taxed in Australia but NOT in the UK. You need to inform UK (if you haven't already) that you have left or will be leaving the UK.
A.
What is true is that your pension won't increase as it would if you remained in the UK.
I'd suggest getting your UK pension paid into a UK bank and then transferring as and when you want. You can do this easily and speedily on the the internet using one of the many internet transfer companies.
I do this, and have done now for five years with my occupational pension.
I use www.tranzfers.com
I don't think that the immigration department will be able to help you with a pension/tax matter and even if they do/will, you cannot trust the info that you will get on their helpline.
Also, your pension will be taxed in Australia but NOT in the UK. You need to inform UK (if you haven't already) that you have left or will be leaving the UK.
A.
Last edited by Sherlock Holmes; Feb 13th 2011 at 12:08 pm.
#3
BE Enthusiast
Joined: Apr 2007
Posts: 623
Re: UK State Pension to OZ
Unfortunately Phil got it wrong. It is correct that when you leave the UK, if you are already drawing your pension, then it is frozen and you will not get the annual cost of living increases. If you are in Australia when you start drawing your state pension then you will get that amount fixed for life.
The exchange rate is another matter, which goes up or down and can affect the amount you receive in Aus $ on a monthly basis.
The exchange rate is another matter, which goes up or down and can affect the amount you receive in Aus $ on a monthly basis.
#4
Re: UK State Pension to OZ
That doesn't sound right to me unless you are having it sent here directly. I wouldn't do that.
What is true is that your pension won't increase as it would if you remained in the UK.
I'd suggest getting your UK pension paid into a UK bank and then transferring as and when you want. You can do this easily and speedily on the the internet using one of the many internet transfer companies.
I do this, and have done now for five years with my occupational pension.
I use www.tranzfers.com
I don't think that the immigration department will be able to help you with a pension/tax matter and even if they do/will, you cannot trust the info that you will get on their helpline.
Also, your pension will be taxed in Australia but NOT in the UK. You need to inform UK (if you haven't already) that you have left or will be leaving the UK.
A.
What is true is that your pension won't increase as it would if you remained in the UK.
I'd suggest getting your UK pension paid into a UK bank and then transferring as and when you want. You can do this easily and speedily on the the internet using one of the many internet transfer companies.
I do this, and have done now for five years with my occupational pension.
I use www.tranzfers.com
I don't think that the immigration department will be able to help you with a pension/tax matter and even if they do/will, you cannot trust the info that you will get on their helpline.
Also, your pension will be taxed in Australia but NOT in the UK. You need to inform UK (if you haven't already) that you have left or will be leaving the UK.
A.
#5
221b Baker Street
Joined: Jun 2010
Location: Miles from anywhere, Victoria, Australia.
Posts: 14,125
Re: UK State Pension to OZ
I really don't know about UK state pension but there are offsets on UK occupational pensions in Australian tax rules.
#6
Re: UK State Pension to OZ
No, even if you don't move the money across to Australia (say perhaps left it in the UK and then used it when you went back to visit) it is still world wide income and you will be taxed on it. However, there is some entitlement to an Australian aged pension if you are a citizen and I think that in general I would rather pay Australian tax rates than UK ones - especially on a lowish income. Aus pension is awarded based on your other assets and income.
I really don't know about UK state pension but there are offsets on UK occupational pensions in Australian tax rules.
I really don't know about UK state pension but there are offsets on UK occupational pensions in Australian tax rules.
#7
221b Baker Street
Joined: Jun 2010
Location: Miles from anywhere, Victoria, Australia.
Posts: 14,125
#9
Re: UK State Pension to OZ
The 8% is a convenient way to claim the UPP allowance. The "correct" way is to have a certified list of all the pension payments you have made during your working life, which *may* give a higher offset.
I did that with my company pension, but the state pension's so meagre that I just went with the 8% for it.
I did that with my company pension, but the state pension's so meagre that I just went with the 8% for it.
#10
Just Joined
Thread Starter
Joined: Apr 2010
Location: essex
Posts: 9
Re: UK State Pension to OZ
Hi everyone, many thanks for all your reply's. Disappointed with 'Phil' not being more specific. Anyway, been on the web and found some information about TAX (ugh!) as OZ has a Double Taxation treaty with the UK, it could be favourable to us, http://www.hmrc.gov.uk/incometax/tax-leave-uk.htm have a look.
Best of luck Bob
Best of luck Bob
#11
Re: UK State Pension to OZ
Hi everyone, many thanks for all your reply's. Disappointed with 'Phil' not being more specific. Anyway, been on the web and found some information about TAX (ugh!) as OZ has a Double Taxation treaty with the UK, it could be favourable to us, http://www.hmrc.gov.uk/incometax/tax-leave-uk.htm have a look.
Best of luck Bob
Best of luck Bob
The "death" option begins to appear more reasonable....