Ferrets

4 hours ago, Chasing a dream said:

So what is your opinion of each one? Would love to know.

My work will likely limit me to capital cities for the next few years.

Realistically I would not have traded London for Sydney and Melbourne....not worth the move for something that has been described as comparable by recruiters for lesser career opportunities in my field.  90 minutes in traffic in Sydney on Friday underlined that for me, as did the Melbourne weather in December 

Perth / Adelaide / Hobart / Darwin are short on opportunities for me, but of these we have been to Adelaide but wouldn't tick the box for us, and nothing would draw us to the others.  Guess that means Brisbane or bust for us!

12 hours ago, Marisawright said:

So, considering that most people are warning her the Last Remaining Relative and Student Visa options are both expensive and unwise, are you saying we're wrong in that opinion?

The difference between "don't believe all advice" and "most people's advice" can be key at visa time (adlib gap filling)

27 minutes ago, MelT said:

We moved to Australia 13 years ago and initially had simular feelings about the move as yourself..

However i don't think we envisage how we may feel in the long run.

We change over time and the things that are important to us may change over time too....

We are moving back to the uk in August. I know it wont be easy, but we will appreciate things more about the uk that perhaps we used to take for granted.

Hoping you settle well and enjoy the time in your new home.

It feels like a cheat of a caveat; all of our siblings are here, my parents are here, my wife's parents are 6mos/6mos.....

It has made it a "low risk" migration from our perspective, but appreciate it's likely not the norm.

On 26/06/2018 at 17:18, Booma said:

 

Perhaps I’m just odd but my family is my husband. I have other extended family but my husband is the one I have chosen to do life with. Without him my life would be meaningless and empty. He is my home.

I think this is why migrating for us has been like a duck to water - we were a set family unit of 2+2 and have always had a focus on that.  We miss friends etc. but overall has been a good move for us.

It actually wouldn't matter where we were tbh (before Australia we were set on a step via New Jersey), just so happens at the moment there isn't anything that would get me out of Queensland.

It sounds like @Banana707 made the right call - good luck with your life back in the UK!

2 hours ago, Kush99 said:

@SusieRoo @Jellybean T I have one more confusion for the 143 Visa, As I have included my Brother (age 24)  in visa file as a dependent applicant and he is in Australia pursuing his masters. So will he be eligible for the visa? as they have changed the age criteria and if he then does he has to go back to the native country while the decision is made? Thanks

This question pops up from time to time where applications were made years ago but with a subsequent change to the age restrictions.

Given this is non standard and quite specific to personal circumstances suggest you speak to your agent on this.

Good luck!

If you are nearby then would.give it a go, we are doing Moreton for our exploratory trip

4 hours ago, ABG said:

 

When I arrive in Aus in the couple months, there’s a good chance I’ll be doing some consulting for my current employer. What’s the best structure to do this based on anyone else’s prior experience? I was thinking Aus Sole Trader business licence rather than setting up a Pty Ltd. This sound right or would doing it through a UK Ltd be better? My leaning towards Aus business was that having demonstrable local income would be helpful for getting rental properties etc, plus the fees would be AUS$ denominated and so I wouldn’t be exposed to FX fluctuations. If this is the way to go, can I register for an ABN offshore?

Hi there,

I used Randstad as a local company to contract back overseas on arrival.

Worked easier than setting up a formal structure and still showed local income.

Good luck!

57 minutes ago, lothar said:

I think it depends on the occupation you select on the 189 list.

For example for Accountant (General) we had to do Academic, perhaps some other professions you would be ok with general.

Also as verystormy has said, you need to get 8+ in all bands to claims the points. The overall band does not count when claiming points.

With 8 8 7 9, as you mentioned you will get 10 points.

For some professions you need a 7 or greater across the board in the Academic test.

For points you can sit the General to get 8 or greater across the board to get 20 points. 

We did our own first returns, but we had taken advice from Alan.

We established that if you are are an Australian Tax Resident that any winnings from residual UK premium bonds are all taxable like bank interest 

9 hours ago, MaggieMay24 said:

Can I suggest that discussion on Pensions be moved to the Money & Finance section of the forum:  https://www.pomsinoz.com/forum/7-money-finance/

This section of the forum is more specifically for visa topics.

Fair point, only problem is that tracking the progress of an 864 that has moved 6 weeks in 21 months (as @ramot pointed out) I am struggling to keep on topic.  Might be easier to log out and log back in in 36 months time to check progress 

1 hour ago, Fisher1 said:

Not everyone will get the full (new) pension … there's already a scandal brewing about the public being mislead on that score. 

All the UK citizens beginning their pension before 2016 who are receiving a full pension (i.e. the vast majority) get around 6,400  per year. So your points above are inaccurate. Ignoring the facts doesn't make them go away. 

My numbers were a bit simplistic, and were admittedly based only on the new pension.  For those retiring before 2016 the contributions made would typically have been at a different average salary - but will park that one.

Certainly agree that there is trouble brewing though!

11 hours ago, Fisher1 said:

Actually the amount of the "full" UK pension depends on when you were born. Given the current governments reshuffling of the state pesnion, people taking their pension after 2016 get a larger weekly sum than those already drawing state pension. People already drawing their state pension get a smaller amount. The smaller "full" pension varies according to your potential past payments into the graduated pension scheme. If you have paid the right amount to get a full pension (i.e. Anything between 44 years and thirty five years, depending on whether there was an 'R' in the month) you get about £6500 a year. The creation of a two tier system vis the new 'flat rate' pension has apparently simplified everything.

I think that the advent of auto enrolment means that the UK is already on the path for the abolition of the pension in it's current form to move to an Australian system whereby you pay into your own named account and then a state pension is means tested.

Not sure how quickly it will happen but definitely on the way!

11 hours ago, Fisher1 said:

What does "and in fact that highlights it is a benefit as you are wrong" mean please?

Simply if the pension was abolished by parliament then there would be limited recourse which underlines that it is currently a benefit (reality is it wouldn't happen, but is the same when they change age and contributions, etc.).  If it were a named account then this would not be possible.  I was also mulling up that because it may be possible (I didn't do the sums on the sliding scale of NI) to pay more in NI than you claim as a pension, which again emphasises that it is more of a universal benefit, akin to child benefit before the changes is 2010. 

The language of the politicians is particularly unhelpful in this area though - I think Steve Webb when he was pensions minister and still wanting to be re-elected went to pains to emphasise it was not a benefit and a right, yet now he is in the private sector is talking about how the system needs to be adjusted / changed to make it more equitable to the younger generations.  As a result there is never the proper conversation that needs to be had as they are all eyeing the next general election.

3 minutes ago, Catlady2014 said:

I stand corrected on the amount of employer NI contribution!  As I said, I'm not up to speed on payroll.  But I based the number of working years on my own working life (46 years) and I have friends of a similar age to me who are still working and have no intention of retiring (they must be gluttons for punishment but they apparently like working). I even have an older friend still working at age 77 and a brother in law still working at age 82.  I believe they don't have to pay NI over a certain age but my point is that a 35-year working life sounds wrong to me.  I don't know of anyone who has retired at the age of 50 - even allowing for maternity leave, and paternity leave wasn't available to my generation. 

We are getting closer to each other each reply 

That said I would stick with an average working life of 35.  I will do 46+, my wife will do 15-20 (in terms on tax and contributions - her work is unpaid but far harder than mine as the children are....lively). 

20 minutes ago, Catlady2014 said:

I make the total of employee and employer contributions about £6,000 odd per annum.  So, somebody working for 46 years would have 'paid in' £276,000, way higher than £77,000.  

Employer rates are 13.8% over £8,400, so based on average salary of £27,600 it's approx £2,649.  Plus £2,200 employer contributions = £4,849.

I've based my thoughts on an average 35 years contributions but yours is based on a max 46 year working life.  Given various circumstances (maternity, paternity, etc.) I'd argue 35 is more realistic at this point, which gives £170k (so a big whack above my initial ramblings).  But then take off 50% for NHS contributions and that brings you back to £85k.  Can that support an £8,500 pension based on current life expectancy and expectations?

I know it's moot for most here as stamps have been paid against promises made, but it's still a looming issue.

11 minutes ago, LindaH27 said:

@Ferrets the U.K. NI contribution rate is 12%

Employers  also pay in for every employee as well -  I believe that is 13.8%?

So there's a fair bit going in for every person who pays in which will increase the number of years pension is paid for. Given that not all people survive that long some may in fact not receive what they've paid for and their contributions will go towards funding other people's 

It also sounds as though Australians are also not paying  in enough according to your figures and wonder how how much the "average" pension is in Australia given full UK pension is £8546 pa

 

Im sure I read somewhere that Australian means tested pension is claimable if your  income as a single  person is below approx $55000?  That sounds way more generous for your 9.5% contribution than £8546 for UK 12% contribution!! 

I'm not an accountant so obviously my figures are just based on my musings!! 

You are right on the contributions, but there are also thresholds that impact the amount.  Based on that average going in to cover pensions and NHS p.a. is about £4,400 (employer and employee).  I don't believe that adds up to cover the liabilities of the pension element, let alone the NHS part!

I have not looked too much into average Aussie pensions as under the super scheme I go on my own defined contributions, but overall it's still too low (9.5% with no NHS contributions as it is all pension).

Musings are always good, especially in an area where the Pollies are too scared to have meaningful conversations.  Even as an accountant I have paid little attention to the UK state pension as I have always assumed I will get nothing and made my own provision.

10 minutes ago, Catlady2014 said:

I believe the employer would contribute another £4,000 or so per annum on top of the employee's annual contribution, but I'm no longer up to speed on UK payroll, so I might be totally wrong.  

Lol that is me told and schooled!!

You are right, currently it would be about the same employer contribution, i.e. £2,200 month.

Digging a bit it looks like the expenditure on pensions and NHS p.a. s roughly the same (Pensions £165bn for 2019 vs. NHS £150bn) so it figures that on average the current scheme is still only supporting 9-10 years of pension financially, which is certainly not in line with people's expectations.

1 minute ago, LindaH27 said:

Can you do the same calculation for Australian  super funds please. It would be  interesting to see the comparison as perhaps it’s something UK govt can look into. 

With a super it's very specific to your circumstances as it's your account (aka a defined benefit scheme) so any numbers based on averages could be wildly out on the payout. 

A problem with the Australian super is 9.5% is still not enough (on average) to support retirement; it needs to be north of 15% for a sustainable model.

I've also not considered the Australian aged pension as being means tested will be less relevant to most.

1 hour ago, Fisher1 said:

Hallo again Marisawright, Average Brit here again, 

I have to agree with your earlier post, I rather think you have expressed yourself badly. When I read comments like "It's bleeding obvious that they haven't increased the contributions over the years to what they should be" I do tend to recoil a bit.  Well done for admitting it and apologising.

I tend to think you are not understanding my point. It's about the meaning of the words we use, and the impression that gives to others. The UK state pension may be underfunded, successive governments may have mismanaged it over the years, we may all be creditors of a bankrupt system. However - at this point in time, the UK state pension is a legal right and is not a state benefit and I find it rather annoying to have my credit rating rubbished by people who insist that it is. 

Apologies to everyone else on this (normally very friendly and supportive) thread, who no doubt have more pressing issues to discuss. 

 

The politics of the UK state pension are a mess, and the politicians duck and weave to avoid proper discussion on the topic.

But language aside the mechanics are clearly a benefit; contribution is measured in years and not value and therefore you can get much more or indeed much less than is contributed - it's worth bearing in mind that NI is also supposed to fund the NHS; 

1. The UK average salary is £27,600 which means NI of approximately £2,200 p.a. to fund pension & NHS,
2. 35 years of contributions (under new state pension rules) = £77,000. 
3. At a full payment of £164.35 per week that means an annual pension of £8,546.20
4. Assuming no contribution to the NHS this means that on average the NI contributions over a working life will pay for 9 years pension.

The maths of this show clearly this is a benefit as on average the payments in are being topped up in a manner that significantly outperforms the market.

You make the point that it is a legal right - and in fact that highlights it is a benefit as you are wrong - whilst it is a right at the moment it could be withdrawn by the government or slashed / ages moved by act of Parliament and has no permanent guarantee.  You can see the move for auto enrolment is the first step to the abolition of the state pension, which will be gone before I retire.  They can't do that to a defined contribution pension (at least not anything that has been paid in up to any point of change).

It's been deceitful of governments of all colour for the way that they have approached this, and I think the issue of unfunded liabilities for the UK is a trainwreck that is still unfolding (Pensions, PFI, etc.) and will be a true blight on future generations in the UK.

1 hour ago, Fisher1 said:

I disagree. I can't believe they have a pot of money labelled 'state pension' that they put money into every month - far from it. But even if it's only on paper, it's important to acknowledge that the UK state pension is paid for - throughout our working lives and is NOT a handout given from the government.  There is a big difference and it needs to be acknowledged.

But it isn't paid for; most people pay less into NI than they draw out through the pension.

It doesn't help because there is no "pot" and no individual account that tracks the value that an individual pays in (vs. the Aus Super system which is a personal account).

As a result, with the pension being paid out on the basis of number of years contribution rather than value contribution it can only be viewed as a benefit.

6 hours ago, s713 said:

Just my opinion, and I have no idea about what deposit you would have but, personally, I wouldn't borrow 750k on a 150k salary, too expensive. I know rates are low but they won't be for ever.

We have just got a mortgage and they were stress testing our monthly spend with a massive hike in interest rates.  I think on 150k it would be closer to 700k max (our theoretical borrowing limit came down by having credit cards, etc).

I do not see any long term downturn in Brisbane house prices coming - overseas migration to Sydney and Melbourne is driving interstate movement to Brisbane and that is not going to change, so if you find an area you like I think it makes sense to stretch a bit at the moment.  I could of course be wrong though 

5 hours ago, Dorsetbrit said:

We went to two Mara agents and one told us about several different option but not to worry until she’s had her skills assessed, and best to go for 189 and the points will drop in time.
The second didn’t want to know until her skills were assessed.
I know having a daughter from another relationship is tricky but we have her mother’s permission and she’s very keen to go so just have to take it one step at a time. The wife said she needs to get together a while load of paper work for the assessment so not a five minute job. I’m not even sure what you get at the end of it?

After assessment you get an approved or not status, but can also include a review of skilled work to establish points.  Note you will also need to have finished the IELTS exam as well prior to assessment.

You are right about the amount of paperwork, but it can be used multiple times.  Around work mine took 5 months to pull together, but that included a detailed work description  (even then I got 5 less points for experience than I assumed) and I needed to chase my Uni for copies of an old transcript and syllabi.

All in the cost was around £1500 but that did include CPA Australia membership (I used the same paperwork to get reciprocal membership).

A lot to do but very worth it.

Good luck.

On 02/06/2018 at 17:38, Dorsetbrit said:

We would earn $150,000 between us, wish it was the higher amount!

 

On that you could assume a maximum borrowing capacity of approx AUD $700k - $750k, in addition to what you have as a deposit from the UK.

Individual circumstances would affect that, and you also need to factor in stamp duty, etc. but should allow you to start having a look at what that could buy in certain areas.

Good luck!

On 31/05/2018 at 19:54, Dorsetbrit said:

We would like a nice place with a pool and I know it will depend on the area you live, we’re really only at the start as we were told the wife needed superior in the language test which she now has so she will now get assessed. She’s an accountant so not easy but hoping for a 189 on 75 points in the mean time I’ve Skyped an employer in oz and I might get a job offer through in a few weeks if all went well, I’m landscaper self employed for 17 years so we’re not sure where it will leave us after that. Visas are a mine field. We want the quickest rout but I need at least 3 year visa to start or I don’t think I’d settle so permanent is really for us. Just wish there was an easier way but I know it will be a long process. We’ll get a Mara agent once we have been skill accessed. We’ve contacted two but say not much we can do until assessed.
See how we go just nice to budget for the future.

Thank you for responding.

I definitely recommend renting, if only to work out what area you like - although parents have always thought buying quickly was the right idea the cost of buying and selling in a short time-frame is a bit prohibitive if you buy in the wrong place!

Going a little off thread topic suggest that it might be worth consulting a MARA agent now due to a couple of points; 1) At the moment 75 points won't cut it for an accountant, but there is a backlog of 80+ at the moment (accountants not currently being invited) and 2) you have mentioned in another post that you have a 16 year old from a different relationship which can have it's own complications.

Given the low cost of an initial consultation would recommend that as a priority to make sure you have the optimum strategy for your circumstances in place.  If your wife is chartered then assessment should be straightforward, and shouldn't delay speaking with a MARA agent - in fact some of the agents that post here are accountants!

Best of luck sorry for going off topic 

49 minutes ago, Kathss56 said:

I believe so!

I thought there was no route to PR on those, i.e. no further stay?  If possible then a good option