Pension assiatance from the Uk for pensioners coming to live to Thailand

For UK Expats or anyone considering living on foreign shores, leaving Pensions in the UK has been a problem both for control and how to take benefits in a tax efficient way. This has now changed. Real advantages are now available with a little planning and advice which gives Pensions the flexibility we would all like.The benefits of moving into a QROPS is that our UK finance specialist here in Bangkok has over 50 years experience (company) in providing financial advice and that we are QROPS specialists.
We have access to the most secure QROPS plans with low charging structures.
Seek advice from one of our specialists today. Our consultation is free of
charge.

Pension Transfer: QROPS Guide Thailand

If you are from the UK and you are thinking of moving to Thailand or you are here already, you can take advantage of changes in pension regulations from ‘A-Day’, April 6, 2006. You can now transfer your pension offshore to a tax beneficial jurisdiction such as Guernsey or the Isle of Man with the aid of QROPS specialists. We have listed some of the major benefits of a QROPS pension transfer below:

QROPS (Qualifying Recognised Overseas Pension Scheme) is a scheme in which you can transfer most types of UK pension offshore (e.g. Guernsey) in order to avoid buying an annuity and become tax efficient. It is designed for expats who live abroad and do not intend to return to live in the UK

Our UK pension specialist has been in Bangkok and the owners of the company have 50 years of experience between them. Our UK Manager has been in Thailand for 13 years now and can assist all UK foreigners with pension assistance. Just email us and we will refer your email to our office.

The benefits:

Investment freedom

A wide range of investment opportunities are available within a QROPS (mutual funds, bonds, shares, cash, property, exchange traded funds) which allow more freedom of choice in investment to capitalize on opportunities in the market.

Currency control

The volatility in exchange rates over the last year have highlighted the importance of holding assets in different currencies. QROPS can hold a mix of Pounds Sterling, U.S. Dollars or Euros.

No need to buy an annuity

Most retirees on retirement will take a tax fee lump sum (25%) with the remainder being used to purchase an annuity. To make matters worse, on your death your widow will receive a reduced pension (50%) and on her demise you cannot leave it for your heirs. If you transfer into a QROPS you will not have to buy an annuity (unless you want to) and the balance will be distributed to your heirs appropriately without the need for probate. These benefits apply immediately even if you have been out of the UK for less than five years.

Tax savings for your heirs

Pension rights transferred into a QROPS escape UK inheritance tax. Inheritance tax at the nil rate band is $325,000 for the 2010/2011 tax year. Above that, inheritance is taxed at 40%. There is an extra $55,000 allowance if your wife is not domiciled in the UK.

Summary

In brief some of the advantages of QROPS are:

No requirement to purchase an insurance company annuity
Discretion over distribution of residual fund upon death of member
Greater flexibility on drawing benefits
Income paid gross and not subject to Guernsey income tax (unless a Guernsey resident tax payer)
No limit on contribution or fund size
Assets held within a QROPS grow free of taxation
No hidden penalties or charges
Outside the influence of the EU

SIPP GUIDE for expats who wish to retire in the UK or abroad

For expats who intend to retire or return to the UK, a better option for you would be to move into a SIPP (Self Invested Pension Plan). This gives you some of the tax advantages of a QROPS, but is still held in the UK and is under UK pension jurisdiction. If you are unsure of where you want to retire, this is the option for you.

Benefits of a SIPP include:

Freedom of choice of investment
Zero capital gains tax and income tax
Protected rights can now be transferred (S2P & SERPS)
Tax free lump sum of 25% available
No need to purchase an annuity
Tax free pension, lump sum or reduced pension if ill

To follow QROPS & SIPP news and advice on twitter,

please go to twitter.com/QROPSAdvisor

Who provides QROPS?

There are many providers of QROPS. All QROPS providers must be approved by HMRC in the UK. Theses schemes will have varying charges and structures, so it is important for you to consult an independent financial advisor who can write a suitability report for you to determine whether a QROPS is right for you.