Have you worked in the UK?
Have you worked in the UK?
If you’ve worked in the UK for any length of time, chances are you’ve accumulated at least one private or company pension. This could be a DB (defined benefit) or DC (defined contribution) scheme.
Have you worked in the UK?
Have you worked in the UK?
If you’ve worked in the UK for any length of time, chances are you’ve accumulated at least one private or company pension. This could be a DB (defined benefit) or DC (defined contribution) scheme.
“What are the differences between DB pensions and DC pensions?”
DBs are the so-called “gold-plated” pensions, where your retirement income is based solely on earnings and the length of time you’ve been a member of the scheme. In most cases, your final salary is the key determinant, but some pension schemes now use a “career average” salary instead. While commonplace in the public sector, such pension schemes are now rare beasts elsewhere.
DCs are also known as money purchase schemes. With these, your retirement benefits are based solely on how much money you’ve accumulated in your pension pot, consisting of contributions from you and your employer, investment returns, plus tax relief. Most work pensions are now DC schemes and come with no guarantees. Currently, when you reach age 55, you can take the money out, although it’s usually more sensible to leave it there until you actually retire.
“What are the differences between DB pensions and DC pensions?”
DBs are the so-called “gold-plated” pensions, where your retirement income is based solely on earnings and the length of time you’ve been a member of the scheme. In most cases, your final salary is the key determinant, but some pension schemes now use a “career average” salary instead. While commonplace in the public sector, such pension schemes are now rare beasts elsewhere.
DCs are also known as money purchase schemes. With these, your retirement benefits are based solely on how much money you’ve accumulated in your pension pot, consisting of contributions from you and your employer, investment returns, plus tax relief. Most work pensions are now DC schemes and come with no guarantees. Currently, when you reach age 55, you can take the money out, although it’s usually more sensible to leave it there until you actually retire.
“How do I know which pension scheme/s I have?”
As a starting point, you could contact your former employers or visit gov.uk/find-pension-contact-details. Alternatively, we can track down the information for you. And don’t worry, by asking us to help collate these details, you’re under no obligation to proceed with GBPensions for any kind of transfer.
“How do I know which pension scheme/s I have?”
As a starting point, you could contact your former employers or visit gov.uk/find-pension-contact-details. Alternatively, we can track down the information for you. And don’t worry, by asking us to help collate these details, you’re under no obligation to proceed with GBPensions for any kind of transfer.
“When should I start investigating my options?”
There’s a “tax-free window” for the first four years you’re a New Zealand tax resident. So, ideally, it’s best to act during these 48 months.
However, if you’ve been in New Zealand for longer than four years, do not despair. There are still potential benefits to be gained.
GBPensions always recommends that you seek personalised, specialist tax advice to establish key dates and facts, and have a couple of trusted partners who can help with this.
“When should I start investigating my options?”
There’s a “tax-free window” for the first four years you’re a New Zealand tax resident. So, ideally, it’s best to act during these 48 months.
However, if you’ve been in New Zealand for longer than four years, do not despair. There are still potential benefits to be gained.
GBPensions always recommends that you seek personalised, specialist tax advice to establish key dates and facts, and have a couple of trusted partners who can help with this.