Pensions can be complex, and you must obtain the right advice from a qualified Financial Adviser. If you’ve emigrated from the United Kingdom or are returning to New Zealand after working in the UK, it is important to consider the options for the pension you've saved carefully and, if suitable, transfer it to a Qualifying Recognised Overseas Pension Scheme (QROPS) in NZ. It's wise to be fully informed and know your options for Final Salary schemes, Stakeholder pensions, and defined contribution schemes from the UK.
First Capital can offer a comprehensive UK Pension Transfer service that clearly outlines both the advantages and disadvantages of any potential transfer. Our service, together with one of the most flexible NZ QROPS schemes available, including a wide range of NZ, Australian, US and UK investments, plus the flexibility to hold or invest in different currencies (including GBP), results in an unbeatable combination.
First Capital Financial Services offer an initial no-cost consultation to help you answer your UK Pension questions and make informed decisions.
Four Year Tax-Free Window
Since 1 April 2014, new migrants to New Zealand or returning New Zealanders may qualify for a temporary tax exemption on the UK pension transfer for four years. Any transfer must be declared in an annual income tax return in New Zealand when the tax exemption ends. The tax is based on the number of years exceeding the four-year tax-free window and increases with each passing year. As transfers can take up to 6 months from start to finish, it’s essential to start the process early to ensure the transfer arrives before the end of the exemption period.