nero

I am no expert just sharing the information, but if you are in this position definitely worth checking out!

Important notice for all former NHS nurses.

The UK Treasury is currently considering plans to radically overhaul the UK’s pension regime which means you may never be able to transfer your pension fund after April 2015!

New rules concerning taxation and handling of UK public service pensions (including the NHS Pension Scheme) come into force in the UK in April 2015.
And...
New rules concerning NZ taxation of UK pensions were also recently introduced, with significant, retrospective changes to the NZ taxation of overseas pensions.


These changes have potentially far-reaching impacts on any former NHS nurse with a UK pension working in New Zealand, and all nurses in such a position are URGENTLY advised to seek full, expert and independent pension and taxation advice.

https://www.gov.uk/government/consul...ce-in-pensions

chc4me

Good post Nero. It is always wise to obtain all the information and make an informed decision, as there are advantages and disadvantages to any action such as transferring or not transferring.

The problem most will face is a lack of time. The NHS and other public schemes have been overwhelmed with transfer requests and are currently taking between 60 and 120 days to issue a transfer value. Therefore, to complete a transfer (if this is the right decision), ex-pats really need to act now.

LauraNotts

Oh dang. I have 20 months contributions they want to give me back. But I'm still not here permanently yet so don't have anywhere to put it. If any one has had it back do you just get your own contributions or do you get the full value back?

janeyk

Thanks for this I did here once transferred to Nz you will not be able to trnasfer it back to UK or anywhere else I am still 25 yrs off retirement and have at leasrt 20 years in NHS pension I have no idea where we will end up or if the rules will change and change again before I retire

chc4me

Once the fund is transferred to NZ, should you move back to the UK, you would be able to transfer it to a Stakeholder Pension in the UK or similar (but not to the NHS scheme). However, the rules in NZ are quite flexible and you might find that there is a option which would allow greater access to your fund.

chc4me

Some providers will pay you out of the scheme if you have less than 2 years contributions. It is usually the full amount (less tax) paid to you directly.

LauraNotts

Hmm okay...it'd be nice to have but I don't have Kiwisaver yet. Hurry up residency!!

chc4me

Laura, you said you have 20 months of contributions that the NHS want to give back to you. Have you asked if they will pay you out? This means they will send the money to you directly, into your bank account. You do not need a new scheme if the NHS are willing to pay you out.

See this link http://www.nhsbsa.nhs.uk/Documents/Pensions/rf12.pdf

LauraNotts

Well I dont really want it paid out if its more valuable in a scheme. Otherwise its just a handy few grand towards a deposit.

Hazelnut

I'll have a couple of years in a 'public body' pension scheme by the time we move out ( )

I spoke to my pension provider in the UK and they said I can cash it in if we move as long as I've paid in over a set time period which wasn't very long at all. I'll transfer the money to my private pension scheme but it's still OK to cash in if I don't as I am given all the money I've paid in *plus* all the money my employer paid in on top of that. It's not just my contributions back.

You could ask if the NHS one would be similar. I know he's not allowed to advertise on here but MrH and I met with chc4me when over in NZ and said that we'll definitely be going to him for formal pensions transfer advice if/when we end up in NZ. It's not something I'd ever try to do without professional advice.

vicejw

Hi

We're thinking of using Britannia to transfer hubby's NHS pension and my local authority pension from the UK, has anyone any experience of them. Also do you know it they'll transfer straight into our kiwisavers here, I know they our schemes are QROPS approved? I guess I'll have to ring them always good to know what other people have experienced though. We did try to do it ourselves earlier this year but it proved a bit hard.
Thanks

chc4me

Before making a transfer to KiwiSaver, you should discuss the advantages and disadvantages KiwiSaver vs a QROPS fund. Most of the transfers that we do are to a QROPS fund which provides more flexibility for the money, better options, currency choices and earlier access to withdraws if required.

LauraNotts

So I've decided on balance to get the pension back and use it here to help fund a house deposit. My BEST estimate being hopelessly optimistic is that I'll get about £7k back. I think that figure is on the upper end.

BUT - do I have to declare this to the IRD or anyone NZ-side and will I get hit for any tax on it?

jmh

So long as you are in the first four years as a migrant and not receiving tax credits you don't need to declare it - if that doesn't apply you should probably contact the IRD to check.

Temporary tax exemption on foreign income for new migrants and returning New Zealanders (For non-residents & visitors)

Justcol

I claimed half of my ex wife's nhs pension, payable to me on her retirement.
As its not my pension would this have an effect when the coquette has to pay up ??