UK Pensions

Anyone who owns one or more UK pension fund products, whether you are considering migrating to Australia, have already migrated or are a returning expat, you need to consider your options carefully. With the recent changes to rules regarding the transfer of UK pensions to Australia, commonly referred to as the 'A Day' changes, it is more important than ever to receive professional advice on your options. 

Why consider a transfer?

There are many reasons to consider transferring you UK pensions to Australia. These are;

•             Tax benefits - complying income streams sourced from Australian superannuation funds are generally subject to concessional tax treatment often as low as "NIL" aftger age 60. However retirement income streams sourced from the UK are taxed at marginal rates in Australia.

•             Flexibility - once your funds arrive in Australia, you have the choice in  retirement to take lump sums or a variety of complying income streams such as allocated pensions or annuities.  Prior to retirement you can look at Transition strategies that enhance your balance through solid tax planning.

•             Disclosure - disclosure rules for superannuation in Australia are some of the most stringent in the western world. Superior investment reporting and direct internet access to superannuation balances (often with daily unit price adjustments) mean that you know exactly where your funds are invested, what your returns are as well as the underlying costs you are incurring.
•             Control - having a local professional assist you in managing your wealth is important. You can identify your financial objectives set stratiegies inplace to achieve them. It's not just about transferring you pension funds to Australia. It's about investing your pension funds in Australia and using the benefits of the local system to assist you in meeting your retirement goals.
   
•            Exchange rate risk - have you been following the exchange rate between the GBP and the AUD? If so you would have seen the huge volatility in the last 12 months. By moving your pension funds to Australia, you are removing any exchange rate volatility associated with any current and future pension income streams.