Pommie

I agree with the risk to the fund Andrew... hence I am going for the UK SIPP route for now. i was also concerned about the ATO - less so before the 25% tax as my driver wasn't tax avoidance, but more to move it away from changing U.K. Legislation.... however, the risk of being taxed on the way out of the UK and then again when you bring it into Australia is eye watering...

Hi Sarah I have been looking at various options regarding my UK pension ahead of migrating to Perth in the coming weeks. In March 2017, the UK government tightened the rules further which have further reduced some of the options (well, they actually reduced the attractiveness of some of the options). Firstly, you don't mention the approx size of the pension pot, perhaps for good reason, but note, it it is above GBP 1 million or AUD $1.6 million, then you are above the Lifetime allowance cap and hence additional taxes will apply. Option 1 - Move it to Australia As Alan mentions above, you can't do this until you are 55 as Australian QROPS (qualifying overseas pension schemes) will not accept anyone below this age. This is actually driven by HMRC, and long story short, unless something changes, you have 10 years to wait. There are limits on how much you can transfer across tax efficiently (reduces to $300k in July 2017 - could have changed again in the next 10 years). You can add more after this, but much smaller numbers. If your pension pot is below $300k, then you could transfer it tax efficiently to Australia as part of your Australian Super (with no tax to pay in the UK). If the amount you have to move is above the annual transfer limits, you begin getting taxed in Australia at your marginal tax rate - hence you would be tempted to wait until you have actually retired to take advantage of the tax free and lower tax bands from your personal allowances. Note, observe inheritance tax rules between UK and Australia. I would advise making sure all of your funds are transferred before you turn 74 (sounds easy, but not if you don't start transferring until your 65)... Also, you pay 15% tax to Australia (ATO) on ANY growth in the fund from the time you became resident in Australia. other taxes may apply as I indicate above, depending upon the size of your fund. Option 2 - Move it to New Zealand The HMRC change in March has really made this less attractive (buggers).. In short, Brits emigrating to Australia (NOT NEW ZEALAND) can do the following:- 1. Move your UK pension to an New Zealand QROPS (essentially, New Zealand government allow non resident pension funds to offer zero rate tax schemes as a way of boosting the cash brought into their economy). The impact of this is:- 2. Pay ZERO % tax on any growth in the fund. You can choose either GBP or AUD investments, which means you can keep it in sterling for now and then flip them to AUD when the exchange rate improves in the years ahead. 3. You can move it NOW - you don't have to wait until your 55. Naturally, you can't move it to Australia until you are 55. 4. At age 55 (or older) you simply draw it down and it is paid into your Australian bank account. Again, tax free. Technically it is deemed a return of capital (and growth) and it is tax free because of the trans tasman double taxation agreement between Australia and New Zealand. Sounds to good to be true. Well, thats why HMRC stepped in as lots of people were doing it and have levied a 25% exit tax on UK pensions if you move it to a place you are NOT resident in. It is still a tax efficient way for large pension transfers, but it clearly lowers the benefits. The other risk is whether the Australian government change the rules in the next 10 years and you get hit with tax coming into Australia - thats what I am frightened of. If we had done it pre-march.... it would have been a great option.... Option 3 - Leave it in the UK for now This is what I am doing. I am moving a fairly significant Defined benefit into a UK SIPP (personal pension plan) with BDH Sterling. I am initially holding it in sterling, but again I have the ability to convert the fund to AUD when the exchange rate is more attractive - hence whilst I can't move it to Australia until I'm 55, I can still jump on any exchange rate benefits in the next 10 years or so.... At age 55 I will move as much as possible into Australia tax efficiently. If New Zealand is still an option at this time, I may look to do this for some or all of my pension. I am not recommending BDH Sterling (or earning commission or anything) but what I like about them is they have UK and Australian offices as well as offering the NZ option. They can also help with the tax advice side of things as well as with the physical transfer to an Australian QROPS. Sorry for the long message.... feel free to PM me if I can help further...

Hi Slawka Some companies in Australia will recognise the No Claims allowance and some won't. Shop around and you will be fine. I think we went with Budget Direct and we simply emailed them our proof of no claims (which was by a UK insurer) and they accepted this fine. Cheers

Hi Harry Good luck in your upcoming move. My family have moved to Perth a couple of months ago and I will be joining them shortly as I work my notice in the UK. We too are renting a house out, so I can offer some advice:- 1. In principle, income tax is due in both the UK and Australia, albeit any UK tax paid is then deductible from your tax liability in Australia. 2. Yes, you absolutely do retain your UK tax free allowance and if the house is in joint names (yourself and your wife), then you get two lots of taxable allowances. 3. Yes, the tax liability in the UK may (and likely will) be different to the liability under Australia. In Australia you will get the benefit of interest payments for the buy to let mortgage. The down side in Australia is typically you won't benefit from a taxable allowance on foreign earnings (from memory). It is worth looking at tax deductions available in Australia. For example, if you had to make a visit to the UK for the purposes of attending the property, then this trip is tax deductible. Clearly, if you then have a family holiday, you will ned to pro-rata the deduction accordingly. Good luck with the move.

Glad all has gone well with the move - we fly out next Wednesday !!! exciting times

Hi All im after an answer to a quick question, ideally by any former UK plumbers on the site... We're due to fly out in a couple of weeks and have already bought a house (we've lived in Perth before)... the wife would like a new kitchen tap (exciting I know) and in the UK there a good range of fancy LED kitchen taps that are a fraction of the price of the ones in Perth (not to mention I can't find LED's lights on the ones in Perth).. anyway - obvious question.... Does anyone know if I buy a kitchen tap in the UK, will it fit the plumbing in Perth ??? Appreciate any help thanks

its electronically attached to your passports. If you re-new or change your passports then you would need to migrate your visa across, but otherwise, there is nothing to do.... enjoy - where about's are you hoping to live ??

Hi All We have had a number of removal companies come round to quote. For anyone else making the move, the price range was between GBP3,800 - GBP 4,800 for a 20ft container allowing for two pieces of furniture to be crated (for protection).... Thats moving from the East Midlands to Perth.

Hi all We are 13 weeks out - flights all booked and hoping to sort removals this week..!! we are a family of 6 moving North of the River (Burns Beach).... sun glasses at the ready ;-)

Hi We would be interested. We are in East Midlands, but could probably get to B'ham.... We plan on moving out in January (18 weeks and 6 days, not that were counting) ;-)

Hi KTG - who did you get quotes from ?

Hi - Insurance claim !!! I assume you wouldn't use PSS again then ?? Did you get many quotes ??thanks

Hi Helen I'm a few months behind you and likewise are coming across similar questions. Would you be able to tell us how you got on with quotes and the eventual move ? Many thanks

Hi All Finally hit the 20 week countdown yesterday (OMG)!!! Could anyone let me know how much it cost them to ship a 20ft or a 40ft container from UK to Perth please ?? I am hoping a 20ft will be big enough, however we are a large family and if it was cost effective we could always buy more furniture in the UK and ship it across.... Many thanks

We built and lived in Burns Beach before taking a wrong turn and moving back to the UK !! Will be moving back out soon and already looking for a house back in Burns Beach.... lovely suburb....