The latest statistics show that retiring abroad is at its most popular. As Britain becomes less of an attractive place to live, retirees in the UK are now much more open to finding a better quality of life overseas. p>
However, to successfully become expatriate pensioners, people must first find a suitable location, and make sure they have enough money saved up to enjoy a comfortable retirement.
Pensioners who move abroad need to manage their finances in a manner that will enable them to achieve retirement bliss through their savings and pension income.
Another statistic, albeit a more worrying one, is that a large amount of retirees are not seeking out financial advice. Financial advice is incredibly important, especially for expats. There are a number of financial products and pensions schemes that are available to expat retirees, and in some cases you may not be aware of these if you do not speak to an adviser.
For expat retirees, a great option is the QROPS. QROPS, Qualifying Recognised Overseas Pension Scheme, is a pension transfer available to all people who have a UK pension. It is completely recognised by HMRC and is a legitimate way to maximise your existing pension, and thus get more out of your foreign retirement.
With a QROPS your pension is transferred out of the UK and placed into 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 legitimately 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 reasons 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.
If you are planning a retirement abroad and wish to learn more about QROPS, and other options available, get in touch with a recommended financial adviser.