johnemo

The transaction fees I referred to were in relation to a bank making the foreign exchange. But even with Forex you don't get something for nothing. One exchange at a higher value would probably get you a better exchange rate than 5 small ones. (Assuming you can get the value above a certain threshold).

mikemavis

Why not have all the various pensions paid into one internet a/c which can be operated from anywhere (ING or similar) then affect one free transfer at any suitable date though one of the foriegn exchange co,s either on a yearly fixed rate from say HiFX or similar or on a daily rate to suit you.

fiz

Just by chance, a guy from Moneycorp phoned me today and I took the opportunity to discuss just this topic.
Yes, the pensions etc have to be paid into a bank account in your name not direct to Ukforex, Moneycorp etc. What I didn't realise was that you can fix a rate for a few months with these companies, as mikemavis also mentions.

That seems to me to be an option worth considering in that it gives you some certainty. Equally of course you can keep an eye out for a good daily rate and change then...
All in all, I think I will do this rather than getting my pension authority to do the exchange every month-it might only gain me a few dollars but I will feel in control!!

johnemo

Are there any issues about having a UK bank account and being a resident of Australia at the same time?

fiz

Not sure..however in the short term anyway I will still have a small apartment here until the mortgage market improves so will have a legitimate reason to keep a UK account. I think it rather depends on the bank...

My daughter still has a UK bank account and has been there nearly 4 years...and my son kept his going for about 7 years. In both cases they gave the bank a UK address (mine or their father's) as they moved over there.

I have been exploring the option of an offshore sterling account in Guernsey if not..

Les Avalook

Nationwide will allow a UK account with an Oz address, you would then operate it online.

Other banks will allow this but I would double check their terms and conditions, it is very hard to open a new UK account after you have left the UK.

You can ask for your UK account interest to be paid gross and then pay the tax on the interest in Oz.

Julian927

Barclays also will allow an Australian address. Alliance and Leicester do not, if you tell them. ING also do not and therefore you cannot ask for interest to be paid gross.
Julie

Les Avalook

It could be useful to have at least 2 accounts with different banks that would be OK with an Oz address as you never know when they feel like offering a rubbish rate of interest and give you the option to move your savings within the UK.

One other thought is you can have up to £30,000 in Premium Bonds per person, no interest but safe and you could have a lucky number , Oz tax office would take an interest though. Can be operated online (to cash in to a UK account).

Julian927

I was advised to cash in my Premium Bonds for two reasons, one because you have to declare the winnings in Australia and pay full tax on them and secondly if you are trying to prove that you have "broken your domicile" it is one of the steps you need to take. Apparently it takes the year you have left the UK plus 3 more full years to break UK domicile.....this is to avoid IHT.
Julie

JohnDeeHart

Thanks, Mavis.
This seems to be the neatest and best idea. One internet "collection" account and a single monthly transfer to Oz via a chosen foreign exchange Co.
John

johnemo

So far, so good. Now, on to the question of tax .
Can I choose if UK or Oz will tax my income and if yes which one should I choose?

The Oz threshold of $6000 then 15% up to $37000 looks particularly unattractive against my circumstances. Are there any age related threshold changes in Oz?

K and M

As regards to your choice of where to be taxed I am afraid that once you arrive in Oz and inform the ATO of your arrival you will be in the Oz tax regime, also remember you should have completed your P85 and sent it to the HMRC on leaving the UK declaring that you are no longer resident in the UK for tax purposes

JohnDeeHart

What's the marginal rate above $37,000 John?
Thanks.
John

johnemo

Hi John
$0 – $6,000 - Nil
$6,001 – $37,000 - 15c for each $1 over $6,000
$37,001 – $80,000 - $4,650 plus 30c for each $1 over $37,001
$80,001 – $180,000 - $17,550 plus 37c for each $1 over $80,000
$180,001 and over - $54,550 plus 45c for each $1 over $180,000

I hope you are fortunate enough to qualify for the top rate!

Perthflyer

My Mum got her acknowledgement through today

Applied- 12 Jan 2010
Acknoweldgement- 28 Jan 2010

Says that they are currently allocating case officers for applications made Oct 2009 so would imply a 16 month wait to get a case Officer

Any tips on what to do in the interim as it sounds to be a rush once the Case Officer is appointed?