Thread: UK state pensions paid abroad

Hi, I'm completely new to this so apologies if I'm not following the conventions. I need help! I have lived and worked in New Zealand for the past 7 years. I now qualify for a UK state pension and have been given the choice of having it paid into an NZ account or a UK one. Has anyone experience of UK pensions being paid into an overseas account? Do they use a decent exchange rate? Reading a few threads has opened up more questions - I've been paying tax on my occupational pension in UK and assumed I'd do the same with a state pension but it seems I may need to pay NZ tax on that?

Welcome to Britsabroad, Kaycee.

Seems like you're following the conventions pretty well ;)
Hopefully someone will be able to answer that question for you.

Hi, I am no expert but based on a friend also in NZ.
Will your pension will be pro-rata ie full pension less the time in nz or did you continue contributing to uk pension?
Does your occupational pension take a dip in its payments so that both taken together add up to the pension figure you were getting prior to the OAP?
Check your occ pension notes about differences if there are and you dont get the full uk state pension.

Interest rates, my friend doesn't touch either his occ pension or his state pension and has not done so for some considerable time. He lets it all accrue in the UK and when it reaches a substantial amount he takes it out.
Do a check on the income tax rates, you don't have to pay UK tax and if NZ tax is less......

I too hope someone with more knowledge comes along soon to help, in the mean time this might give you something to research.

Bump.
No one with any advice on pension payments please?

Bump is right T, good point, thought there would be some by now too.
I need to find time to look through some of the threads.. life seems to be on overload at the moment