Guest lostcause007 Posted July 26, 2007 Share Posted July 26, 2007 I would love to move to Australia but am concerned about British Military Pensions being frozen. I am currently eligible for a pension of about £10000 pa which will be worthless in 20-30 years. Does anyone know if this is policy might change in the future. Link to comment Share on other sites More sharing options...
Guest breezy Posted July 26, 2007 Share Posted July 26, 2007 Can I suggest that if you are within the last 2 years of Service you get yourself on the Financial Aspects of Resettlement Brf at your Regional Resettlement Centre. I went yesterday and can tell you that the pension freeze has nothing to do with moving abroad, that is also the case in the UK if you leave after 22 years. It remains frozen until 55 and then jumps, with index linking from the previous XX years. All explained on the day. Take a look at this site: Right Management :: Career Transition Partnership :: Main Homepage Regards Breezy Link to comment Share on other sites More sharing options...
Guest lostcause007 Posted July 26, 2007 Share Posted July 26, 2007 thanks for the reply, the frozen pension means regardless of the uplift in pension at age 55 that takes effect in the EU in contries in Australia, Canada and several other commonwealth and ex commonwealth countries there is no increase. So therefore my £10,000 will remain the same if I live in one of these countries forever, unless the rules change. Link to comment Share on other sites More sharing options...
Guest breezy Posted July 26, 2007 Share Posted July 26, 2007 No you are confusing your state pension, which, if in Australia etc is frozen at the initial drawing rate at age 65 and not subject to increase at the relevant RPI. Your military pension will increase at the RPI published each September and invoked the first Monday after 5 Apr, regardless of what country you are in. So you military pension will keep up with UK inflation. If you move to Oz though, you will either have to pay both UK tax and possibly a top up tax in Oz to take to the taxation level for your income in Oz, or pay all tax in Oz. Hope this helps, but you really need to go to the briefing I have mentioned before, where it is all explained. Breezy Link to comment Share on other sites More sharing options...
Guest The Picketts Posted July 26, 2007 Share Posted July 26, 2007 Hi there - my understanding from recent information in the press is that you no longer pay tax on pension income in Australia if you are over 60 (from July 1st). I am keeping my frozen pension pot on hold here until I get out to Perth in September so I can look into it a bit more before making a decision about transferring it or not. To have to put it into a low income annuity here never to see it again sticks in my throat abit! I will be paying UK tax on my state pension and small NHS pension at source but hopefully can take my private pension pot and put it into a superannuation scheme and draw the income tax free in Oz - hope I haven't got it wrong! Cheryl (The Picketts) Link to comment Share on other sites More sharing options...
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