Andrew from Vista Financial

No problem. You may already have considered this but of course Account Based Pensions are a very tax efficient vehicle and earnings are taxed at 0%. Thus when looking at fees for keeping this vehcle (QROPS Pension) versus against where they will be placed instead, factor in any tax that may be liable on any earnings. Regards Andy

Hi Alec I can't comment on whether you will incur UK taxes as I am not not privy to your personal information (tax residency etc and the like). However I will provide some general details which may assist. Pension payments from a QROPS in (flexi) drawdown (can only occur if the individual is 55 and above) fall under the UK/AUS DTA giving Australia taxing rights and these payments are not classified as unauthorised by HMRC. Once a scheme is in drawdown all payments are classified as pension payments regardless of amount or frequency. Typically putting superannuation monies into an Account Based Pension meets the definition of UK (flexi) drawdown, the provider of the QROPS technically only needs to report the first pension payment under it's reporting obligations to HMRC once in drawdown. From an Australian perspective, entering a fully commutable Account Based Pension can only be done when a person meets their preservation age (currently age 60) and also meets a full condition of release, this being that they have ceased an employment arrangement from age 60 or retired and do not intend to return to the workforce. You may wish to do your own due diligence and contact HMRC directly which you can do here: regulations.qrops@hmrc.gsi.gov.uk Hope this helps, Regards Andy

Hi Bristle Look into these guys..................they have pretty much disrupted the forex space and rapidly become the go to for Pommies looking to transfer. All done through an App, very low fees and very quick and efficient (once your Account is up and running). https://wise.com/au/ Others if you are looking for the personal/human touch: https://www.ofx.com/en-au/personal/ https://www.sendpayments.com/ https://www.torfx.com.au/ Good luck Andy

Hi Your calculation is broadly correct however there can be in some cases more to it, ie any contributions in/transfers in(out)/withdrawals etc to the Pension since arrival. In relation to the amount of tax that would apply, the growth which is known as Applicable Fund Earnings (AFE) is typically front loaded into withdrawals/transfers out. Generally, this cannot be more than the amount received/transferred therefore in the above example it would be contained to the £37,500 received. In terms of doing anything to make the process more tax efficient....perhaps but there is not enough information to go off and without understanding your personal situation and goals and objectives not really possible to know the suitability of any options however the below could/should be considered: Tax Deductible Contributions to Super (subject to contributions caps and taxable income) Instead a transfer to an Australian Superannuation (QROPS). Regards Andy

Have you given consideration perhaps to making tax deductible superannuation contributions? This may or may not be an option for you depending on your individual circumstances, age, total assessable income and cashflow being some of the defining factors. Andy

There may be an option to look at transferring to a pension provider that does allow the flexi-access option, this is where there is the ability to take a 25% UK tax free pension commencement lump sum (PCLS) followed by flexible pension income drawdowns (amount and frequency being fluid). However if the pot is of a reasonable size then really consideration of transferring to an Australian Super Fund (QROPS) should also be given. Regards Andy

This method of access is known as Uncrystallised funds pension lump sum (UFPLS). HMRC Pension rules allow these to be either a single payment or a series of however the pension companies can decide on what they offer and we are finding quite a few pension companies now that are only offering the single UFPLS option to Australian residents.

Hi There is one that I use for my clients/SMSF's and can be operated by individuals directly: https://moneymarket.com.au/ They are pretty good for Term Deposits but a bit limited for their At Call Accounts menu, also not too sure if it can be open whilst living overseas. Good luck.

Hi Yes looks like a recent change to the applicatiopn form however looking through it seems that rather than the individual telling HMRC what Class they are applying for instead after completing the form HMRC will tell you what Class you are elgible for (refer Section 6, page 3).

Hi, thanks for the comments, much appreciated

Thanks Marisa and totally agree definitely want to ensure you are settled in Australia before transferring a Pension. There can sometimes be certain circumstances where some action might be advisable for one reason or another before or shortly after arriving, this is not necessarily about transferring the Pension but more to do with accessing it within tax free windows.

Thank you very much for you comments and recommendation it ismuch appreciated

Hi If the SMSF vehicle the only option that the Adviser has suggested? There is a retail (QROPS) Super scheme in Australia that will accept UK Pension Transfers if you are not aware, we would never recommend a SMSF for a person looking to open and close pretty much straight away, complete waste of money!! Regards Andy

Hi The comparison you are looking to make is actually not an equal comparison. Concessional contributions are a way of investing money and as an added bonus to (potentially) gain a tax benefit. When contributing to Super the money can be invested into an array of assets including Direct Shares, ETF's, Managed Funds, Private Markets etc subject to the investment menu of your Superannuation Fund's Investment Platform. Now if you want to understand what is better when holding an investment (inside or outside of super) for the long term, this will come down to your individual tax rate. For most people when building up retirement monies Superannuuation is a better environment due to the lower tax rate applied to capital gains and income (10%-15%) as opposed to their marginal tax rate which is usually higher. Concessional Contributions (which are made up of employer superannuation guarantee payments, salary sacrifice and tax deductible contributions can be a very good way of building retirement wealth and at the same time significantly reducing one's tax liability. The annual cap for these type of contributions is currently $27,500. If you have unused concessional cap amounts from previous years, you may be able to carry them forward to increase your contribution caps in later years. You're eligible to do this if you: have a total super balance of less than $500,000 at 30 June of the previous financial year have unused concessional contributions cap amounts from up to 5 previous years (but not before 2018–19). The unused cap amounts you can carry forward depends on the amount you have contributed in previous years, starting from 2018–19. You can carry forward unused cap amounts from up to 5 previous financial years, including when you were not a member of a super fund. https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/growing-and-keeping-track-of-your-super/caps-limits-and-tax-on-super-contributions/concessional-contributions-cap Also to note that the Government Co-Contribution is not paid on Concessional Contributions (pre-tax), it is paid on Non-Concessional Contributions (post-tax): https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/growing-and-keeping-track-of-your-super/how-to-save-more-in-your-super/government-super-contributions/super-co-contribution Hope this helps. Andy