Pension cuts could affect future claimaints

[Condoking]

There is a lot of confusion about qualifying years for a full pension plus the age when you get it and how much you get. The attached link sheds some light on it but, as the Government keep changing the goalposts, this was probably only true at the time it went to press

http://www.bbc.co.uk/news/business-11619379

[richard]

As for paying into an overseas bank the state pension people assured me my payments can be sent to any bank in the world. My private pension schemes the same.

However, I choose to pay them into my bank in the UK

[sand_dancer]

As for paying into an overseas bank the state pension people assured me my payments can be sent to any bank in the world. My private pension schemes the same.

However, I choose to pay them into my bank in the UK

Richard

That is also my understanding..... State pension to any bank in the world.....

For some unknown reason..... My Forces Pension can only be paid to a bank account in a Country that has a tax agreement with the UK....

Most likely..... it is to do with the size of the pension..... As a state pension will probably fall below the tax thresholds......

[sargeant]

Quote SD

That would have been my preferred option..... Working on the assumption that it is better to have a bolt-hole tucked away..... In case things go Pete Tong....

Quote Richard

However, I choose to pay them into my bank in the UK

that is exactly what i do for many reasons
1. I can draw my money when the exchange rate is better (crap now but better than last month)
2. I can also have an overdraft facility which i cannot with a Thai bank (enough to cover an air ticket JUST)
3. The transfer charge for my BA pension would be higher than the 150Bt charge per transaction over a month

What i think you have to understand is you will still pay tax on ANY income derived in the UK even if you moved to PLUTO

[sand_dancer]

Quote SD

That would have been my preferred option..... Working on the assumption that it is better to have a bolt-hole tucked away..... In case things go Pete Tong....

Quote Richard

However, I choose to pay them into my bank in the UK

that is exactly what i do for many reasons
1. I can draw my money when the exchange rate is better (crap now but better than last month)
2. I can also have an overdraft facility which i cannot with a Thai bank (enough to cover an air ticket JUST)
3. The transfer charge for my BA pension would be higher than the 150Bt charge per transaction over a month

What i think you have to understand is you will still pay tax on ANY income derived in the UK even if you moved to PLUTO

Sarge

That is correct..... which is why I believe that if you only have a state pension..... It will always fall below the tax threshold...... And therefore can be paid to any bank in the world....

[sargeant]

That is correct..... which is why I believe that if you only have a state pension..... It will always fall below the tax threshold...... And therefore can be paid to any bank in the world....

Yes but the money will still be taxed based on ALL of your income derived in the UK over and above the 10500 quid allowed
So any private pensions that come from the UK will be added to the state and ALL the tax on the combined total is paid at source from the private pension fund which is what has happened to me since Dec 30 2012

[richard]

That is correct..... which is why I believe that if you only have a state pension..... It will always fall below the tax threshold...... And therefore can be paid to any bank in the world....

Yes but the money will still be taxed based on ALL of your income derived in the UK over and above the 10500 quid allowed
So any private pensions that come from the UK will be added to the state and ALL the tax on the combined total is paid at source from the private pension fund which is what has happened to me since Dec 30 2012

100% correct

[Dannie Boy]

That is correct..... which is why I believe that if you only have a state pension..... It will always fall below the tax threshold...... And therefore can be paid to any bank in the world....

Yes but the money will still be taxed based on ALL of your income derived in the UK over and above the 10500 quid allowed
So any private pensions that come from the UK will be added to the state and ALL the tax on the combined total is paid at source from the private pension fund which is what has happened to me since Dec 30 2012

I understand why people get a bit upset about having to pay tax on pensions when not living in the UK, but you need to remember that your pension contributions attracted tax relief, with your contributions taken from your gross pay before tax was applied, so whilst there have been recent changes to the rules on the amount of pension contributions that still qualify for tax relief, it should come as no surprise as pension payments have always been taxed.

[lindosfan1]

The pension rate of 10500 is being slowly abolished. The individual rate will rise each year till it reaches 10500 then the rate will rise in line with the normal allowance. A backhand way to increase the tax pensioners will pay.

[sargeant]

Dannie Boy

I understand why people get a bit upset about having to pay tax on pensions when not living in the UK,

I am NOT upset about paying tax I am F*****G FURIOUS that i am NOT getting out what i paid in for and am not being treated equally its wrong wrong wrong

but you need to remember that your pension contributions attracted tax relief, with your contributions taken from your gross pay before tax was applied,

Yes agreed BUT and it is a BIG BUT that was because we would pay tax on it when it was paid out

NOT our contributions investment proceeds TAXED and then TAXED again when its paid out thats double taxation and is theft

[margaretcarnes]

There is a lot of confusion about qualifying years for a full pension plus the age when you get it and how much you get. The attached link sheds some light on it but, as the Government keep changing the goalposts, this was probably only true at the time it went to press

http://www.bbc.co.uk/news/business-11619379

That link explains a lot. It also raises far more issues than it explains! I can see broadly what the aim is - the proposal for a flat rate pension fits in with the new Universal Credit coming in this October (don't go there.....)
A couple of worrying things though. Logically a flat rate pension could no longer be based upon NI contributions at all, therefore the government would have total control.
Also the article is damned right some existing pensioners would be worse off. I honestly can't see them getting away with that.

By the way Lomu, you will be 66 when you get yours! As things are this week of course....

[lomuamart]

Oh well, that's something to look forward to, Mags.

[MrPlum]

For some unknown reason..... My Forces Pension can only be paid to a bank account in a Country that has a tax agreement with the UK....

Not sure if you are including Thailand but forces pensions can be paid direct to a Thai bank.

[sargeant]

As i read that Lomu should get the flat rate 144 quid a week

Richard and i (116.15 quid a week in my case ) will still keep getting only that so hang in there Lomu your pension is still going up ours is NOT and will NOT even though I am still paying Tax

[Dannie Boy]

But look on the positive side Sarge, if they increased your pension, they would ask you for even more tax