How to transfer UK pension abroad?
Here are some of the ways of how to transfer your UK pension funds and you can avoid losing up most of your retirement savings. There are options for UK pension transfer abroad to another pension scheme. If you are working overseas and having one or more UK pension schemes and you want to transfer these to a pension scheme that could be based abroad and it includes the scheme of the current employer. UK pension benefits can be transferred to an overseas pension scheme only when it is recognized and approved as a Qualifying Recognized Overseas Pension Scheme (QROPS) by HM Revenue and Customs.
The scheme must be regulated as a pension scheme in the country where it is established and recognized for tax purposes are recognized as a QROPS. The benefits that are made from this scheme paid to you are subject to taxation. It is important to choose a qualifying scheme for the expats to transfer their pension abroad. It is important to consult with the financial advisor for expats to transfer their pension scheme abroad.
If the employee wants to transfer the pension plan to the US then your UK pension scheme may not top the priorities list. You should consider managing the SIPP US in a way that meets pension and tax requirements for both UK and the US.