Current statistics show that embarking on a retirement abroad including Belgium has never been as popular as it is now. Retirees in the UK are especially prone to settling up and finding a life of comparative luxury in a more attractive destination.
Such a move is not always easy and to do so successfully many pensioners must first find a suitable destination, find accommodation, and most importantly, make sure they have enough funds to enjoy their retirement to the fullest.
For this reason pensioners who do decide to move abroad must find a way to manage their finances in a way that will enable them to carve out a comfortable retirement through their savings and pension income.
For expat retirees, an invaluable option is the QROPS.
QROPS, Qualifying Recognised Overseas Pension Scheme, is a special type of pension transfer that is available to all people who have a UK pension. It is fully recognised by HMRC and is a legitimate way to get more out of your pension, and ultimately get more out of your retirement abroad.
Numerous benefits are associated with a QROPS, so it come as no surprise that more and more British pension holders who move abroad are beginning to make use of the pension transfer.
With a QROPS your pension is actually taken out of the UK and put in the offshore jurisdiction where the QROPS is based (note: this does not have to be the country in which you will be living). This enables the holder to legally avoid UK taxes on the pension, giving much more income to enjoy.
A QROPS doesn’t just provide benefits on the pension income, there are many more reason for an expat to go ahead with the transfer. With a QROPS you will have the option of using multiple currencies, which is very handy for people who don’t live in their country of origin, as they may still have the necessity to use funds back home, and so that will be of use.
QROPS also allows for better rates of inheritance tax and the ability to properly asset manage the funds within your pension pot.
All these factors are of great importance to an overseas retiree. Remember, to enjoy a happy retirement you will need to feel completely financially secure, as well as having found a home and spent money on travel etc. For further information on the options available to you when you move abroad you should talk to an Independent Financial Adviser.
For further information on this topic or any other expat financial matters please contact an IFA at Chase Belgrave in Zurich: www.chasebelgrave.com