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Living off my UK savings

Discussion forum for expats moving to or living in Spain.

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Living off my UK savings

Post Posted: Thu Mar 01, 2018 9:10 pm

Hello.... this is my first post as only just joined the site

Myself and my wife are starting to plan our early retirement (couple of years from now) and would love to move to Spain and retire in the sun.

It appears from everything I have read that the tax laws are very complex and quite expensive and I am hoping some of you can offer some sound advice.

We will sell our house for about £340,000 and hope to buy a property for about £120,000 plus any fees, removal costs etc so reckon we would have about £200,000 to live on, plus my pension of about £800 per month. My calculations see us living an ok life but now I’m worried that we will have to pay huge tax on the money we have in our UK bank which is our survival money and would cut our time in Spain severely....

Any advice would be great fm others who have done the same or those in the know

Thanks very much in advance

 

Tucker69
Newbie
Newbie
 
 
  
Re: Living off my UK savings

Post Posted: Fri Mar 02, 2018 8:28 am

- Tucker69

Hello.... this is my first post as only just joined the site

Myself and my wife are starting to plan our early retirement (couple of years from now) and would love to move to Spain and retire in the sun.

It appears from everything I have read that the tax laws are very complex and quite expensive and I am hoping some of you can offer some sound advice.

We will sell our house for about £340,000 and hope to buy a property for about £120,000 plus any fees, removal costs etc so reckon we would have about £200,000 to live on, plus my pension of about £800 per month. My calculations see us living an ok life but now I’m worried that we will have to pay huge tax on the money we have in our UK bank which is our survival money and would cut our time in Spain severely....

Any advice would be great fm others who have done the same or those in the know

Thanks very much in advance



Hi,

My wife and myself did much the same as you about 4 years ago. We retired 2 years early and up to this year I've not paid a single cent in taxes here although now i get uk state pension i think i might pay something this year. It's hearsay and scaremongering about taxes here as the rates are similar to the UK.

Do your research about the double taxation treaty between the UK and Spain.

Look into the 90 and 183 day rules on signing the foreigners register and becoming a tax resident.

You will need to have private healthcare and enough income to prove to the authorities you will not become a burden on the state.

Check out Modelo 720 that you will be required to fill in which will require you to divulge your entire worldy wealth.

Do your research about the tax here and the best time to move so you don't pay capital gains tax on your house sale. We engage a solicitor and their accountants to sort out all our tax affairs at reasonable rates.

That's a bit of a taste of the democracy here.

Steve


_________________

Adventure before Dementia

 

tebo53
Regular Poster
Regular Poster
 
 
  
Re: Living off my UK savings

Post Posted: Fri Mar 02, 2018 9:31 am

Thanks Tebo

I will look into everything in detail and pay for proper advice but it’s nice to hear directly fm those who have or are experiencing the whole process

 

Tucker69
Newbie
Newbie
 
 
  
Re: Living off my UK savings

Post Posted: Fri Mar 02, 2018 4:28 pm

- Tucker69

Thanks Tebo

I will look into everything in detail and pay for proper advice




What was the point of asking for advise on here then and wasting our and your time!!


_________________

Adventure before Dementia

 

tebo53
Regular Poster
Regular Poster
 
 
  
Re: Living off my UK savings

Post Posted: Fri Mar 02, 2018 7:18 pm

Tebo

That’s not what I meant.... you said to get advice on tax which I will follow

Yr advice was excellent and very much appreciate, I think you mis.understood what I meant about getting proper advice

 

Tucker69
Newbie
Newbie
 
 
  
Re: Living off my UK savings

Post Posted: Mon Mar 19, 2018 10:25 pm

Tucker,

You are not a foreigner as Steve said. You are British so you have every right to live in Europe and therefore in Spain.

Even after Brexit the President of Spain has committed to the British that they can vote.

I would suggest you find a professional to advise you on your specific situation.

You don't NEED to have private healthcare as Steve says. I am not sure where he gets his information from. If you are retired you can use your S1.

But look, best is to hire a lawyer/accountant here in Spain to assist you and discuss your specific situation perhaps before you sell up to ensure that you will be able to adjust to the situation here.

Don't listen to anyone on a forum as they are not experts on these topics and in Spain it can be complicated when you don't speak Spanish.

If you own your home you don't have to prove anything to anyone. I don't know why Steve keeps saying this to people. Please contact a professional and discuss your specific situation.

Spain is an interesting Country and much different than England. It does rain a lot in the Winter though. Especially the last one so don't throw out those wellies just yet if you plan to move here.

Best of luck.

 

kdpunshon
Newbie
Newbie
 
 
  
Re: Living off my UK savings

Post Posted: Mon Mar 19, 2018 10:40 pm

- kdpunshon

Tucker,

You are not a foreigner as Steve said. You are British so you have every right to live in Europe and therefore in Spain.

Even after Brexit the President of Spain has committed to the British that they can vote.

I would suggest you find a professional to advise you on your specific situation.

You don't NEED to have private healthcare as Steve says. I am not sure where he gets his information from. If you are retired you can use your S1.

But look, best is to hire a lawyer/accountant here in Spain to assist you and discuss your specific situation perhaps before you sell up to ensure that you will be able to adjust to the situation here.

Don't listen to anyone on a forum as they are not experts on these topics and in Spain it can be complicated when you don't speak Spanish.

If you own your home you don't have to prove anything to anyone. I don't know why Steve keeps saying this to people. Please contact a professional and discuss your specific situation.

Spain is an interesting Country and much different than England. It does rain a lot in the Winter though. Especially the last one so don't throw out those wellies just yet if you plan to move here.

Best of luck.



IF you read the original posting properly you will see that the poster plans to "retire early" . If you retire early you are not entitled to the S1 healthcare cover. You have to be IN RECEIPT of a UK state pensionto be able to apply for the S1 healthcare. Please get your facts right before you make accusations toward me and give posters incorrect information.

It doesn't matter if you own your own home or not you still have to prove to the authorities that you will have enough income so not to become a burden on the state.

I and a group of very informative people give advice on several expat forums and we ourselves are given correct and up to date information from various authorities.

I see you are a newbie on this forum.....where do you acquire your information?

The only post you have had on this forum is to ask about how to bring your cat to Spain????

Steve


_________________

Adventure before Dementia

 

tebo53
Regular Poster
Regular Poster
 
 
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