Many expatriates plan both their pension and retirement together. The idea simply being that their pension provide them with enough money to live comfortably until the ends of their lives. However, after a few decades of watching huge amount of money be lost to a varietyof factors with little or nothing which can be done about it, most conclude that the rules governing pensions are somewhat inflexible to say the least.

Now whilst this may be true in the UK, what many do not know is that they can transfer their pensions offshore, if they themselves are no longer resident in the United Kingdom. This gives them far greater control of it and is something that anyone contemplating moving away from the UK should consider carefully and take advice upon..

There are various ways in which pensions can be transferred and a variety of companies licensed and able to do this. Here is an example of one based in the Channel Isles which briefly explains how the system works starting with the transfer itself.

If you would like further information on this subject we'll be pleased to put you in touch with appropriate companies. We take no commissions or referral fees from anything which we may draw to the attention of clients or potential clients. Our primary and only income is that which is derived from construction.

Transfer

You can transfer your UK Pension Plan to an offshore pension. This can be done without the deduction of any tax (including UK), and allows potential for greater financial planning opportunities.

Transfer Value

No restrictions on the amount that can be transferred. This means that you can transfer your whole Pension(s) Plan Offshore without leaving any residual pension assets in the UK.

Consolidations

You can consolidate all your UK pensions into one UK approved QROPS Plan.

Additional Contributions

There is no cap on contributions, so you can fund your pension to any amount to improve your income at retirement.

Lifetime Benefits

• Single lump sum payments
• An annuity for a defined period at a set amount or an annuity without a defined time or amount or multiple combination of the above.
• A combination of the above points.

The Plan allows for several different ways in which to take benefit without restricting the Plan to any one. This gives you the ability to structure benefit around your individual circumstances. Benefit structuring and Plan subdivision can work hand in hand to further enhance this feature.

Benefits After Your Lifetime

Estate & succession planning opportunities: All unused assets are distributed to named beneficiaries, unlike most annuities, where any residual assets are lost. This can be done through a variety of ways:

• To provide an annuity to spouse or dependants;
• To transfer the proceeds of the Plan to a new Plan/s for named beneficiary/ies;
• Retain Plan in trust for distribution at a predefined date or future event (within 2 years of Member’s death);
• To wind up and pass into the Plan holder’s estate
• To wind up the Plan and pass directly to the named beneficiaries.

In order to cater for changing circumstances you can easily amend your succession instructions keeping your Plan relevant. The Plan offers longevity, well past current life expectancy which may be important for financial planning.

Eligibility

Anyone over the age of 18 and under the age of 75 years, excluding Jersey residents, is eligible to join the Plan. To meet QROPS requirements UK residents will normally only be eligible to join a QROPS Plan should they have clear intention to become Non-UK tax resident.

Subdivision

The Plan can be subdivided into a number of mini plans each with its own defined set of benefits. The Plan also allows for subdivision to facilitate phased retirement and assist with tax planning. In addition the subdivision creates excellent opportunities for succession and estate planning.

International Use

No matter where you move to your Plan stays in a neutral offshore jurisdiction, allowing you to maintain the flexible benefits that this Plan can offer.

Tax Benefits

Tax Efficient Growth. Income and capital gains from the assets within the Plan are not subject to Guernsey Tax (Guernsey domiciled Plan). Therefore the assets within the Plan grow in a tax efficient environment.

Income Tax

Any payments from the Plan including lump sums, are paid gross, without the deduction of any tax. EU Savings Tax (For European Residents) This Plan is not subject to EU savings tax and neither is any income arising.

Personal Taxation

The Plan offers tax efficiency and tax planning opportunities depending on how you structure or take benefits. Close recommend you seek independent advice on your individual circumstances to maximise these potential benefits, as how tax will apply is your responsibility.

Lump Sum Tax Free

There is the potential to take a tax free lump sum from the Plan. Limits will be down to individual circumstances, so advice should be taken and this may assist in your overall financial planning.

Investment Choice

You can choose from one of four investment portfolios which are available in three currencies. All our portfolios use a multi-asset, multimanager investment approach to ensure asset allocation and fund selection is active and ongoing. This takes away the risk and administration problems that client and advisors often face with less actively managed products.

• A choice of Cautious, Neutral, Balanced and Growth investment strategies.
• Available in £, US$ and €'s
• Set asset mix guidelines to manage risk profile of each investment strategy
• Free switching between investment strategies at no additional cost should your circumstances change.

Entry Level & Contributions/Transfers

• £3,000* pa minimum regular contributions
• £1,000* minimum ad hoc contributions/transfer
• £25,000* minimum single contribution/transfer
*or currency equivalent. With no penalties to stop, start or amend contribution levels.

Personal Reporting

• Online viewing facilities for members and their advisor;
• Annual hard copy report posted to member and their advisor;
Reporting both via paper and online mediums to keep all parties fully informed.

Plan Charges

QROPS* Transfer and Establishment Fee £300.00
QROPS Annual Fee £300.00
*Note QROPS Transfers & Establishment: This includes the establishment cost and the transfer of assets from one UK Approved scheme. Should transfers be affected from more than one scheme then an additional charge of £150 will apply to affect each QROPS transfer - see Contribution and Fee Schedule for full details.