QORPS And Its SignificanceIf you are moving out of the UK and having no plan to come soon or going for short timeperiod then you can transfer your UK pension to QROPS. Now the question is that whatare QROPS? QROPS are basically the Qualifying Recognized Overseas Pension Schemeswhich have been approved by Her Majesty’ Customs and Revenues to accept the transferof pension from the UK pension schemes. QROPS pension plan, as a part of newlegislation was firstly launched on 6 April 2006 with the objective of simplifying pensions.The pensioners can move towards other countries like Panama, France, Cyprus, and UK’sfavorite Spain.If you are living in Spain then QROPS Spain can potentially save you thousands of euro,and can make your UK pension go considerably further. Due to this, QROPS in Spainhave become most popular. A UK national moving to Dubai is also eligible for QORPSDubai and it is a popular destination for British expats. So we can say that QORPS is theoffshore pension plan to transfer the UK pension. This process is done under some termsand conditions by the financial service authority and everyone should have to followthem. Similarly offshore sipp is the self-invested personal pension by the holder.There are different types of pensions and any type of UK registered pension can betransferred to the QROPS, such as protected rights and guaranteed minimum paymentsGMP and at a time more than one pension can be transferred. QORPS transfer pensionfrom UK to pension transfer overseas to provide the financial benefit to the pensioners.To find the best pension advice abroad you should speak with an Independent financialadviser and this adviser must be regulated by the financial service authority. They willconduct your interview and ask all the relevant financial information on your objectives,preferences and financial position. Then the Independent financial advisor compares thisdata with all the jurisdictions and various schemes running QORPS pension schemes andthen discovers the best possible solution for you. Pension transfer specialists areinvolved to transfer the pension into QORPS offshore pension transfer. So it becomesclear that what are QORPS and pension transfer.To transfer a UK held pension to QROPS provides many financial benefits to thethousands of people who have been leaved or having planning to leave UK in future.Some of these benefits are as follows.
According to UK pension rules if UK held pension is transferred then it provides an annuity income with the rate of 5-6% of capital at or before the age of 75. You can take money in any currency and can invest in any market On death of the owner, the entire remaining UK pension is transferred to the next of the kin. QROPS schemes can provide the much better tax efficiency on the UK pension income. They have to pay the lower tax on the income of the pension. Having the benefit of 0% inheritance tax. 25% to 30% of the UK pension pot is exempt from the tax. Asset protection nlimited fund sizeQROPS is an abbreviation of ‘Qualifying Recognised Overseas Pension Scheme’ and as anexpatriate you will no doubt have heard or seen this abbreviation fairly often, but whatdoes it really mean? For more information please visit: http://www.whatisqrops.net/