UAE expat pension scheme
#1
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
I don't know if many of you are aware that the government is currently in discussion to launch a scheme for foreign expats. It is apparently to be launched by the end of the year, across all emirates.
At the moment there are no real details available so we don't know about compulsion, contribution levels (employer payments?), charges, who will actually manage it or the underlying investment.
I suspect that most 'Western' expats won't be keen on the idea, but I am commenting on the proposed introduction for some regional publications and wondered what the bored (sic) members thought of such a suggestion.
Thanks
At the moment there are no real details available so we don't know about compulsion, contribution levels (employer payments?), charges, who will actually manage it or the underlying investment.
I suspect that most 'Western' expats won't be keen on the idea, but I am commenting on the proposed introduction for some regional publications and wondered what the bored (sic) members thought of such a suggestion.
Thanks
![Smile](https://britishexpats.com/forum/images/smilies/smile.gif)
![Meow is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#2
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
I don't know if many of you are aware that the government is currently in discussion to launch a scheme for foreign expats. It is apparently to be launched by the end of the year, across all emirates.
At the moment there are no real details available so we don't know about compulsion, contribution levels (employer payments?), charges, who will actually manage it or the underlying investment.
I suspect that most 'Western' expats won't be keen on the idea, but I am commenting on the proposed introduction for some regional publications and wondered what the bored (sic) members thought of such a suggestion.
Thanks![Smile](https://britishexpats.com/forum/images/smilies/smile.gif)
At the moment there are no real details available so we don't know about compulsion, contribution levels (employer payments?), charges, who will actually manage it or the underlying investment.
I suspect that most 'Western' expats won't be keen on the idea, but I am commenting on the proposed introduction for some regional publications and wondered what the bored (sic) members thought of such a suggestion.
Thanks
![Smile](https://britishexpats.com/forum/images/smilies/smile.gif)
![ROFL](https://britishexpats.com/forum/images/smilies/rofl.gif)
I wonder if it will be managed by the Abu Dhabi Retirement and Benefits Fund? They manage it for the locals - on a mixture of self, company and government contributions.
No doubt this will become a tax on expats - but if they used it properly they could actually create a proper capital market which would be a good thing for the UAE. The reality is they will 'invest' the money in space travel or something equally crazy.
![Millhouse is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#3
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
How will this affect gratuity Meow? Will it become redundant? Thanks.
![Dumbo is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#5
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
I think it will put all the financial advisors out of business. ![ROFL](https://britishexpats.com/forum/images/smilies/rofl.gif)
I wonder if it will be managed by the Abu Dhabi Retirement and Benefits Fund? They manage it for the locals - on a mixture of self, company and government contributions.
No doubt this will become a tax on expats - but if they used it properly they could actually create a proper capital market which would be a good thing for the UAE. The reality is they will 'invest' the money in space travel or something equally crazy.
![ROFL](https://britishexpats.com/forum/images/smilies/rofl.gif)
I wonder if it will be managed by the Abu Dhabi Retirement and Benefits Fund? They manage it for the locals - on a mixture of self, company and government contributions.
No doubt this will become a tax on expats - but if they used it properly they could actually create a proper capital market which would be a good thing for the UAE. The reality is they will 'invest' the money in space travel or something equally crazy.
![Roll Eyes](https://britishexpats.com/forum/images/smilies/rolleyes.gif)
Would you want to join such a scheme? I suspect that few higher earning expats would trust their money to a government run plan.
![Meow is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#6
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
Don't worry guys... this will never happen.
The whole thing doesn't really make sense... I mean, the average expat is here for a limited amount of time (say 5 years) - western expats probably less. They are generally here between the age of 25-50.
What would be the retirement age? If say, 55, then the average expat has to wait somewhere between 5-25 years to collect their UAE pension. In the meantime they are not funding it - any value will be eroded by charges, non contributions etc.
So, early redemptions, how will these work? Simple answer is just like any other long term plan - They won't.
How would you collect your UAE pension from abroad?
Would you be expected to keep funding it after you have left ?!
The whole point of pensions is tax efficiency. This makes no sense in the UAE.
Will there be a link between the contribution and the retirement payment - or like the UK where there is no link?
The whole thing doesn't really make sense... I mean, the average expat is here for a limited amount of time (say 5 years) - western expats probably less. They are generally here between the age of 25-50.
What would be the retirement age? If say, 55, then the average expat has to wait somewhere between 5-25 years to collect their UAE pension. In the meantime they are not funding it - any value will be eroded by charges, non contributions etc.
So, early redemptions, how will these work? Simple answer is just like any other long term plan - They won't.
How would you collect your UAE pension from abroad?
Would you be expected to keep funding it after you have left ?!
The whole point of pensions is tax efficiency. This makes no sense in the UAE.
Will there be a link between the contribution and the retirement payment - or like the UK where there is no link?
![Millhouse is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#7
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
There are so many open questions regarding exiting such a scheme here that I'd rather buy some of your beans
![Smile](https://britishexpats.com/forum/images/smilies/smile.gif)
![Millhouse is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#8
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
Don't worry guys... this will never happen.
The whole thing doesn't really make sense... I mean, the average expat is here for a limited amount of time (say 5 years) - western expats probably less. They are generally here between the age of 25-50.
What would be the retirement age? If say, 55, then the average expat has to wait somewhere between 5-25 years to collect their UAE pension. In the meantime they are not funding it - any value will be eroded by charges, non contributions etc.
So, early redemptions, how will these work? Simple answer is just like any other long term plan - They won't.
How would you collect your UAE pension from abroad?
Would you be expected to keep funding it after you have left ?!
The whole point of pensions is tax efficiency. This makes no sense in the UAE.
Will there be a link between the contribution and the retirement payment - or like the UK where there is no link?
The whole thing doesn't really make sense... I mean, the average expat is here for a limited amount of time (say 5 years) - western expats probably less. They are generally here between the age of 25-50.
What would be the retirement age? If say, 55, then the average expat has to wait somewhere between 5-25 years to collect their UAE pension. In the meantime they are not funding it - any value will be eroded by charges, non contributions etc.
So, early redemptions, how will these work? Simple answer is just like any other long term plan - They won't.
How would you collect your UAE pension from abroad?
Would you be expected to keep funding it after you have left ?!
The whole point of pensions is tax efficiency. This makes no sense in the UAE.
Will there be a link between the contribution and the retirement payment - or like the UK where there is no link?
The UAE is not set up for people to remain her for most of their working lives and people will want guaranteed (for whatever they are worth) and access before investing (if they have any sense).
Such arrangements are far more complicated that many think they are. I spent some time in The Treasury shortly before the introductions of Stakeholder pension and certain people refused to believe me when I told them that people wouldn't be rushing to sign up. In fact I had several very heated discussions with a certain adviser, now major opposition MP...
Something similar was mooted in 2008 and that didn't happen...
![Wink](https://britishexpats.com/forum/images/smilies/wink.gif)
![Meow is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#9
![flares is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#10
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
Why would anyone pay into a pension scheme in a country where they are not a citizen?
![britexpat76 is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#11
BE Forum Addict
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
Joined: Jan 2008
Posts: 1,869
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
April Fool's Day
remember?
remember?
![seven seas is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)
#13
BE Forum Addict
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
![](https://britishexpats.com/forum/images/ranks/star.gif)
Joined: Jan 2008
Posts: 1,869
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_pos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![seven seas has a reputation beyond repute](https://britishexpats.com/forum/images/reputation/reputation_highpos.gif)
![Default](https://britishexpats.com/forum/images/icons/icon1.gif)
rents going down soon
livable communities
no violent crime
more stuff to do than just brunches
property owners' rights
yeah, maybe 333 days a year.
livable communities
no violent crime
more stuff to do than just brunches
property owners' rights
yeah, maybe 333 days a year.
![seven seas is offline](https://britishexpats.com/forum/images/statusicon/user_offline.gif)