Frequently asked questions about transferring a UK Pension to New Zealand
Why should I transfer my UK Pension to NZ?
The benefits include:
- tax advantages
- early access to savings
- restrictions in the UK if you should die
- currency exchange advantages
- reduced bank charges
How do I know if I’m eligible to transfer my UK Pension to New Zealand?
You can either contact your provider in the UK and they’ll ascertain your eligibility or ask us to do a Free Pension Transfer Report, no obligation, so you know where you stand.
Is this going to be a difficult process?
If you attempt the transfer yourself you may find it confusing and frustrating at times.
We streamlined the UK Pension transfer process to make it easy for our clients as we transfer pensions all the time.
How long will it take to transfer my UK pension to New Zealand?
It depends on how long your UK pension provider takes to complete paper work and confirm pension values. Often between 3 and 9 months.
Can I choose where I reinvest my pension?
Yes you can. We suggest you fill out our Risk Profile so we can recommend solid options based on your capacity and tolerance to risk.
We are experienced Financial Planners and can offer you various mixtures of asset classes and funds and any other financial advice you may require.
Can you hold my pension in Sterling until I am happy with the exchange rate?
Yes we are able to transfer your pension in pounds and then wait until you are happy with the international exchange rate. We will then transfer your money into New Zealand dollars.
Under what circumstances can I not transfer my pension?
Your pension provider in the UK may create obstacles. Some UK providers require that you live and work in NZ and are a tax resident of New Zealand.
You may not transfer your pension to NZ if your pension has started paying money in the United Kingdom.
Can I leave my pension in the UK for a while before transferring it to New Zealand?
Leaving your pension in the UK could potentially create a tax liability depending on circumstance however there is no legal requirement to immediately transfer your pension to New Zealand.
Foreign investment fund rules could apply to your pension compelling you to pay tax on the growth of your UK pension fund even though you have left the UK.
It’s important to seek specialist tax advice pertaining to your individual circumstances.
Who controls my pension during the transfer?
Your funds are always kept under your name either by the provider in the UK or NZ or by the trustees of these funds. At no time are your funds not in your name.
We only control the transfer process not your funds.
How do I track down lost UK pensions?
If you have lost track of your former employer's fund details, you can ask the Pensions Service to trace it online.
Can I transfer my pension to KiwiSaver?
Yes, you can transfer your UK Pension through to KiwiSaver.
Contact Marcus Cranfield today if you have further questions regarding your UK pension transfer.
