mjwalker007

As mentioned this is something that i did for my own pensions and for the benefit of my family, and after 15 years of experience in the industry i feel that i have the knowledge and experience to have made this informed decision. I advise my clients no different ....provide the facts and the client can make an informed decision.

I would be interested to know what experience you have with transferring pension funds to canada ????

Meow

My comments, as have been made quite clear, are regarding QROPS. Trandferring to a QROPS is not a transfer to Canada per se, but to an oversea scheme that in truth benefits few people. Far too many 'advisers' recommend them simply to earn commission, hence my warnings.

My warnings are based on over 20 years as as IFA, most of that in the UK, so I am well qualified to comment on the issue.

mjwalker007

If your comments are directed towards qrops transfers to canada, unfortunately for all your experience, you are not qualified to comment on this specific area.no more than i would be qualified to discuss qrops transfers to any other jurisdiction in the world other than canada.

Unless you have the knowledge of the canadian pension system and rrsp how can you possibly know the benefits for a british ex pat, who resides in canada, and intends to retire, of transferring their pension funds to a canadian.

To blanketly say it is the wrong thing to do because of high qrops charges etc etc shows that you have no knowledge of transferring uk pensions via qrops into a canadian rrsp.

If your comments were directly in general at qrops and various jusrisdictions around the world that provide qrops, i will agree some providers can charge heavy fees for qrops tranfers into their particular jurisdiction.

Ultimately by transferring your pension to canada, qrops is just the mechanism that allows the transfer to take place by following rules laid out by thr hmrc.......it is not the product that your pension is transferred in to.

St Helena Police

I would like to now more about QROPS. Do you have any financial examples of someone transferring a UK police pension to Canada?

I have a deferred UK old type police pension that will start to pay out at age 60 (numerous yeas from now) unless I become medically unfit to complete the role as a PC and then I could apply for the pension to pay out immediately.

I have no intentions of returning to the UK and will likely build up a pension in Canada, so surely it makes sense at bringing over a UK deferred pension as a lump sum under QROPS.

mjwalker007

You are able to transfer the value of your deferred police pension scheme via QROPS into an RRSP within Canada.

There are numerous RRSP providers within Canada that have QROPS qualification and are therefore able to accept your pension fund from the UK and place it into an RRSP.

There are various options on how you would like your pension fund to be invested within the RRSP. It can either go into a mutual fund where your pension fund will grow or fall dependent on the fund options you have chosen ( this is common with most clients RRSP funds )

Alternatively their are guaranteed income for life options, which are very similar to final salary schemes in as much that when you retire, your pension income is guaranteed for the rest of your life. The main benefit compared to a final salary scheme is that you have full control over your invested funds, and on death in retirement, the full fund value would pass over to your spouses RRSP tax free, whereas in a final salary scheme in the UK, your dependants would generally lose up to 50% of the pension fund on death into retirement.

St Helena Police

Thanks for reply, I am looking into the possibilities and what are the pro's and con's, especially the con that if I was to transfer to QROPS I would lose the early pay out for death benefit and also if I become medically unable to complete the role of a PC then again early payout.

Many thanks

OttawaCFP

There's no need to worry about either of those things. With a Canadian QROPS, if you are unable to work for medical reasons, you can access the money early. In addition, the payout to your family in case of your death is much better than if you had left it in the police pension scheme. Instead of your spouse only receiving a portion of your pension (often it is 50%), they would receive the full amount of the QROPS.

Hass12345

Dear forum,

I am new and just come across this thread during a boring night duty (I'm now at home!).

It's sad that with 5 years service I'm looking at the eventuality of jumping ship. This is because of the proposed changes with will come into effect in 2015, and because I will not achieve full pensionable service and will only be able to draw my pension from the state pension age instead of aged 65 as it stands currently.

Can anyone offer more advice on how to move my police pension pot into a SIPP? Then invest it how I please. The prospect of pulling a deferred - revised - police pension at aged 90, with a smaller lump sum is concerning.


Many thanks!

mjwalker007

Hi Hass12345,

Reading youre comments, am I right in thinking that you are still in the UK and looking at the possibility of transferring this pension to another UK scheme.........as you mentioned a SIPP ??

Hass12345

H there,

Yes that's correct. It is something I never thought I'd have to deal with

mjwalker007

I would suggest speaking with an Independent Financial Advisor in the UK to discuss the merits of transferring out of the Police final salary scheme into a UK money purchase scheme ( SIPP ).

Unfortunately as an advisor based in Canada, I can only help people that are looking to transfer their UK pensions into a Canadian RRSP.

Good Luck

Hass12345

Thanks for your reply.

The current government seeks to put all officers onto a new police pension which will remove the final salary payouts and decrease the lump sum, yet increase contributions and retirement age.

powersmurf

Hi all,

Sorry to 'but' into the conversation, just wanted to get some advice on my situation.

I have moved to the United States as I got married to a yank. I have just over 6 years service as a PC and recently got a letter from my local council saying that when I am 65 I can claim a 10k (pounds) lump sum.

Is there anyway at all of cashing this in as that would help with a deposit to a house over here? From reading online I do not seem to be able to do this, but reading this thread it appears some can transfer their pension?

Cheers

dreadsoc

Hi Powersmurf

My advice is to make contact with the Federation office from the UK force you worked in...there is always someone in the Fed office who is the pensions kind of 'expert' and of they don;t have the answer, they can ask on your behalf, or give you contacts details for the local pensions office.
If you cannot do this, pm me and I will find out for you.

For those who are already abroad and still have UK Police pensions, these are now handled by the local county council..... relatively recent change.

Dread - x

dreadsoc

Hi Hass

Just noticed you're new here and wanted to say welcome to BE and the Police forum AKA Police Escapers Forum

Dread - x