Frozen UK Pension?
Her Majesty’s Revenue and Customs (HMRC) permit the transfer of UK pensions into what are called Qualifying Recognised Overseas Pension Schemes (QROPS). A QROPS is a non-UK pension scheme that has been certified by HMRC specifically for UK pension transfers. By transferring your UK pension to a QROPS located in a well-regulated secure jurisdiction whose pension rules are more flexible than those of the UK.
We Moved! So did our Pension!
The Jones family (All 28 of them!) decided to pack up and make the long haul over to sunny Florida and assumed like most people that their pensions had to remain Frozen in the UK. Not so, all their pensions were easily and quickly transferred to a QROPS, where they now have access to the pension funds.
 David Jones"I have to admit I was a bit skeptical at first, as we were discussing large sums of money I had accumulated w... Read more... |
 Debra Smith“I′ve been living in Australia since 1987 and had an Occupational scheme left in the UK. I was able to tra... Read more... |
 B. Singh"I have been working for 10 years in UK and decided to go back to India with my family. I heard from friends t... Read more... |
9°C
London
Haze
Humidity: 87%
Wind: N at 13 mph
-
Mon
17°C 12°C
-
Tue
22°C 13°C
-
Wed
22°C 15°C
-
Thu
21°C 15°C
Loading
Barclays
Company ID [LON:BARC] Last trade:GBX178.16 Trade time:8:55AM GMT+01:00 Value change:▲2.06 (1.17%)JPMorgan Chase
Company ID [NYSE:JPM] Last trade:33.49 Trade time:4:00PM EDT Value change:▼0.44 (-1.30%)
Why Transfer Your Pension?
When you leave the UK you are no longer eligible to make pension contributions to your UK pension schemes. Your existing occupational or personal pension funds become 'frozen' and usually grow at a slower rate than when they were active.
Some QROPS have more 'flexible' rules and after the transfer it may be possible to withdraw all of your fund as cash lump sum. You can then use your previously 'frozen' fund to purchase property, for day to day expenses or any other purpose you choose.
Some QROPS have more 'flexible' rules and after the transfer it may be possible to withdraw all of your fund as cash lump sum. You can then use your previously 'frozen' fund to purchase property, for day to day expenses or any other purpose you choose.
What is a QROPS?
A Qualifying Overseas Pension Scheme or QROPS is a an overseas pension scheme which has been approved by Her Majesty's Revenue and Customs (HMRC) to receive the transfer of UK Pension Benefits.
Typically this occurs when a UK resident leaves the UK to permanently emigrate (or to retire abroad) having built up a Pension Fund within a scheme approved by HMRC or when a person born abroad who has built up benefits in a HMRC approved UK Pension Scheme decides to return to their home country with an expectation of retiring there.
Typically this occurs when a UK resident leaves the UK to permanently emigrate (or to retire abroad) having built up a Pension Fund within a scheme approved by HMRC or when a person born abroad who has built up benefits in a HMRC approved UK Pension Scheme decides to return to their home country with an expectation of retiring there.
STEP ONE
1. The client completes and signs the Letter of Authority that gives the Recieving QROPS permission to request the transfer value and transfer forms on their behalf.
1. The client completes and signs the Letter of Authority that gives the Recieving QROPS permission to request the transfer value and transfer forms on their behalf.
STEP TWO
2. We then contact the UK pension provider and request the current transfer value & transfer forms. The UK pension provider will send the current transfer value and transfer forms; this usually takes 2-3 weeks.
The transfer forms have three parts:
(a) Policyholder request and authority to transfer.
(b) Policyholder lifetime allowance declaration.
(c) QROPS information and declaration.
2. We then contact the UK pension provider and request the current transfer value & transfer forms. The UK pension provider will send the current transfer value and transfer forms; this usually takes 2-3 weeks.
The transfer forms have three parts:
(a) Policyholder request and authority to transfer.
(b) Policyholder lifetime allowance declaration.
(c) QROPS information and declaration.
STEP THREE
3. When the current transfer value has been confirmed by the UK pension provider, Pension Agent and the client sign a Letter of Engagement/Fee Agreement.
This details the services that we will provide and the fee that the client agrees to pay for the transfer.
3. When the current transfer value has been confirmed by the UK pension provider, Pension Agent and the client sign a Letter of Engagement/Fee Agreement.
This details the services that we will provide and the fee that the client agrees to pay for the transfer.
STEP FOUR
4. We sends parts (a) & (b) of the transfer forms to the client, with completed examples for them to follow. The QROPS administrator completes and signs part (c).
The client mails the completed parts (a) & (b) back to Us. We then send all of the forms to the UK pension provider.
4. We sends parts (a) & (b) of the transfer forms to the client, with completed examples for them to follow. The QROPS administrator completes and signs part (c).
The client mails the completed parts (a) & (b) back to Us. We then send all of the forms to the UK pension provider.
