Transferring UK occupational Pensions
 

I know I Know an immensly boring subject and cutting off my nads with a rusty knife is preferable to me sorting this out but its on my to do list to get through before our planned move at the end of the year. Has anyone any advice/ reccommendations of companies who they have used to help them through the no doubt endless form filling that this will entail. As you can see not filled with enthusiasm on this subject but do have a modest sum in a couple of personal pension plans that I will need to access when 60 + any help appreciated. :confused: :confused: :zzz:

Re: Transferring UK occupational Pensions
 

Try this company:- http://www.transatlantictransfers.com/

Re: Transferring UK occupational Pensions
 

Thanks for reply had a look and info doesnt look to be up to date also there is a charge to download a guide was hoping to call someone anyone else got any info on this subject
Mark

Re: Transferring UK occupational Pensions
 

Mark the web site states that it is seeking clarification following the pensions reform legislation in April and it looks like good old Gorden has closed a few more loop holes - not good news for transferring pensions to Canada.

Re: Transferring UK occupational Pensions
 

Mark,

I work for a financial services company in Canada, and can tell you that since April 6 2006 and the new UK pension legislation it is very hard to get your money from the UK to hear. I have been in contact with several UK companies about this, and they will now only transfer money over to a Qualified Oversea's Pension Scheme. To be a qualified pension scheme the financial company in Canada needs to go through HMRC. A lot of Canadian Financial companies are unwilling to do this, due to various clauses. However, you could yourself set-up your own Pension Scheme here, this is called an Indvidual Pension Plan and register with CCRA. But, the main drag with this would be that CCRA would ,in my mind, not allow foreign money into this tax sheltered plan.

UK pensions do though allow you to withdraw your money to a non QOPS, but the charges and tax would be around 55% of your current market value, seems high, but depending on your circumstances you would at least be free to spend the money as and when, and this money would be what your company paid in the UK, any money you have put into the UK scheme from your own pocket is yours to withdraw at anytime.

Also, remember that if you were to withdraw and pay the above charges 45% of this is tax, but what you can do is report this on your Canadian Tax Return and you would receive a refund or credit on this, as overseas paid tax.

In Canada there are very few, if any, Pension Schemes which run the same way as English ones. A lot of the new legislation in regards to these schemes has been drawn up throught the bad press that the Pension Schemes managers, and Government have received. They will make it as hard as possible to keep that money in that particular scheme. Up until April 2006 it was pretty easy and a great benefit to get UK pension money to Canada, especially because once in Canada you were good to do what the hell you liked withit.

I hope the above makes sense, and like you say it is a rather boring subject, but it get's me through the 9 to 5.

I am not a licensed Investment advisor, so please do not take the above too literally, but I do deal with a lot of this through my work, and cause I'm English I do have to handle a few of these cases.

Let me know if you have anymore questions.

Regards,

Electric Fence.

Re: Transferring UK occupational Pensions
 

Thanks for taking the time to explain the changes I guess this is going to effect many people on this forum.Tax implications are fairly horrendous it may be worth leaving it in the UK until retirement (25 years away) and paying tax on the income in Canada as legislation may well change.
There was a guy based in london who I met at Sandown emigration show last year who gave advice on uk tax legislature as it applies to pension transfer but i have lost his details. Looks like whichever way i look at it its not going to be as simple as first thought i.e transfer from one pension scheme to another. Once again thanks for your advice much appreciated.

Mark