TRANSFER UK PERSONAL PENSION TO US

STEVE11461 · Newbie Joined: Nov 12, 2005 Posts: 6 Location: FLORIDA

Hi

Does anyone have any experience of transferring a personal pension from the UK to a 401K or IRA in the US? I am a legal permanent resident (moved to the US in 1999) and would like to transfer my frozen UK pensions. I contacted the UK Pension Companies a few years back but they told me it couldn't be done (maybe that's just their story).

Also, with A-Day coming in the UK, does anyone know if that makes transfers easier?

Thanks

Steve

Jamie · Expat Focus Administrator Joined: Aug 06, 2000 Posts: 2037

Steve,

You might want to try our own IFA partner in the US. He can probably give you an idea if it's possible (without charge/obligation):

www.expatfocus.com/expat-finance

Kind regards,

Jamie

markas101 · Newbie Joined: Jul 13, 2006 Posts: 3 Location: New Zealand

Hi Just wondering if you ever found out more info about this? I will be moving to the US very soon and would like to transfer my pension as well.

Cheers.

guya · Newbie Joined: Dec 22, 2005 Posts: 10 Location: uk

It is still not possible as a UK plan is not a US qualified plan.

El_Moro

Steve,
Did you ever have any success in transferring your UK pension assets to the US? I am in a similar situation. Any information about your experiences would be appreciated.

There must be thousands of US citizens who have worked in the UK and built up funds in a pension there. Despite this, I can't find any help on the topic.

Thanks,
David

Jamie · Expat Focus Administrator Joined: Aug 06, 2000 Posts: 2037

David,

I believe Tom - our US IFA partner - should be able to at least point you in the right direction (there's no fee/obligation for initial enquiries). The relevant enquiry form is here.

Regards,

Jamie

markas101 · Newbie Joined: Jul 13, 2006 Posts: 3 Location: New Zealand

Hi
After some digging I was able to find this

www.hmrc.gov.uk/PENSIO...s-list.htm

This is what HMRC in the UK recognizes as qualifying for a tax free transfer. I've contacted some of the US based schemes listed and have had no success, they all say they cannot initiate a transfer (which makes me wonder why they wanted to be on this list in the first place). Perhaps my account was not large enough.

I was able to initiate a transfer through RBC (Canada) as they were willing to send the letter. It's actually a relatively simple process that just takes a long time, but really it's a letter of request and then a few more back and fourth between the bank and the UK based scheme.

kestrelbms

Hi

I've looked at the various answers and just want to warn that you have to be careful regarding transferring a UK pension to the USA. Various US organisations (banks, IFAs) believe it can be done and they do succeed in getting appointed through the QROP system and HMRC have no trouble appointing US entities. BUT it fails because of the IRS. Anyone who succeeds in getting their pension accepted into an IRA will be heavily penalised as it is not a recognised qualifying scheme in the IRS's eyes.

Pension transfer is my job - I started the USA (Texas) in 1996; please let me know if you need any upfront advice (we don't charge unless someone goes ahead and only if the transfer goes ahead).

Cheers,

Brian - kestrelbms - email: bms @ kestrelint.com

STEVE11461 · Newbie Joined: Nov 12, 2005 Posts: 6 Location: FLORIDA

18 months after I first started on this I was able to successfully do 3 QROPS transfers to an offshore fund. Transfers were completed in June 2007 and I was then able to access the funds. The offshore fund has an office in London and I highly recommend them. E-mail me if you want details: steve11461 @ yahoo.com

kestrelbms

Yes, its the US that causes a problem, because the IRS won't accept a UK pension as an authorised pension. How do you treat the tax issue when bringing the funds into the USA?