Finances AbroadMaking the complicated simple!

In the UK, there will be changes to Teachers’ Pensions from 1 April 2015. Active members who have been building up benefits since joining, may now be wondering what will happen to them. The idea is that they will continue to be protected, and will remain in the final salary arrangements.

However, it should be noted that all public sector pensions, including NHS, TPS, Armed Forces and Civil Service pensions rely on an un-funded defined benefit scheme. Over the last few years as a result of mis-investment and Government borrowing, there is a gulf that has been created between what people expect to receive at pension age and what they actually will receive, a gulf that shows no signs of closing.

If you are worried about the impact these changes may have on you, or whether you need to take any action, there is more detailed information available on the Teacher Pensions website. Click here.

As an expatriate, you currently have the alternative option of transferring your TPS offshore using QROPS (Qualified Recognised Overseas Pension Scheme). This process enables you to make the most of a number of benefits, including freedom of investment and currency choices, and no inheritance tax liability for your beneficiaries.

Unfortunately, the QROPS option will be unavailable to expatriates who hold a civil service, public sector or defined benefit scheme from 1st April this year.

So if you do want to explore your options you need to seek the advice of an independent financial adviser immediately!

Related Videos:

British Pensions, Government Changes, Overseas Pension Schemes, QROPS, UK Pensions

By admin

---

---