kingacat

Hoping someone will be able to help....

My husband moved to NZ at the age of 68 and officially retired. He has been claiming his UK pension. He is now 71.
He has residency and has just been offered a casual job and is applying for a IRD number.
Does anyone know he can still claim a pension if he gets a job?
Many thanks for any help

jmh

I don't see why not but it might affect his tax position. I'd give the IRD here a call and see what they say.

moonie2011

My husband is retired from the police force and gets his pension from them, he works here aswell. When he gets to 60 he will also get his UK state pension, so the answer to your question is yes he can.
I believe there is something about tax though, for the first 4 yrs here you will be exempt from paying tax on the pension, however after 4yrs it will affect your tax code. (If anyone knows any different please feel free to correct me, we are a bit unsure on this last bit)

MrsFychan

I think the 4yr limit is for transferring the pension over to a NZ one and paying your monthly contributions into it not if you are actually getting the pension paid out and may have tax implications if it is not your only income. Please check with IRD

I will ask another member on here to come have a look as they seem very knowledgeable on these sort of matters

jmh

You don't have to declare overseas income for your first four years as a migrant. This can affect your entitlement to certain benefits - family tax credit I think, but if you are older it's probably not an issue.

chc4me

1. To answer your question, the part time job has no effect on claiming his pension.

2. He should be aware of his tax obligations. As a New Zealand Tax Resident, he is required to pay tax on his world wide income. However, for the first 4 years, he is entitled to a tax free exemption on overseas income (such as the UK Pension payments). I assume this is the first time he has lived in NZ. At the end of the 4 years, he will need to declare the income to the NZ IRD and pay tax on that income.

3. As he is no longer resident in the UK, he should have completed the appropriate forms to declare himself non-UK tax resident. This will then mean no tax is deducted from pension payments, bank interest etc.

4. If the pension that you refer to is a UK State Pension, then the amount paid will be 'frozen' and will not increase with inflation. He has the option to 'swap' his UK State Pension for a NZ Superannuation payment instead (the NZ state pension). This will increase with inflation, will not be impacted by currency and is likely to be more money in the hand each week. It will be taxed at source, reducing the need to complete an annual tax return. The NZ state pension is available to those over the age of 65, employment is not a factor for qualification of the pension.