Returning to the UK, Do we need Vested Benefits

justinallsop · #1 27.10.2020, 15:29

Hi all
So we’re returning to the UK after 8 and a bit years, and my employer here doesn’t seem sure if i will need a vested benefits account, or if i can take my pension with me, since the UK has left the EU.
When i arrive in the UK, i will be unemployed for the first few weeks/months i expect, if this has any bearing. My wife will be employed pretty much from the point of her return.
If we have to have one, is there any one better than others. It’s not much cash, about 30,000 in mine and maybe 25,000 in hers.
Thanks in advance

fatmanfilms · #2 27.10.2020, 16:55

	Quote:	justinallsop
	Hi all So we’re returning to the UK after 8 and a bit years, and my employer here doesn’t seem sure if i will need a vested benefits account, or if i can take my pension with me, since the UK has left the EU. When i arrive in the UK, i will be unemployed for the first few weeks/months i expect, if this has any bearing. My wife will be employed pretty much from the point of her return. If we have to have one, is there any one better than others. It’s not much cash, about 30,000 in mine and maybe 25,000 in hers. Thanks in advance

It's to do with insurance requirement in your new state, CH is not n the EU either. CH has social agreements with various countries outside the EU too.

You need to wait 6 months before applying, they will contact HMRC to ask if you are compulsory insured or not. Based on that answer they will either say yes or no.

Do a search, I did a thread on this about 5 years ago when I got my pension in full whilst leaving for an EU country.

justinallsop · #3 30.10.2020, 12:11

Thanks for this. I’m getting so much conflicting information its hard to know what the rules are. Our HR person has no clue. Neither does the company that the pension is with know. It’s just seemingly so difficult.
I really wanted to take it with us, to put into a property to rent out, but unless i live in it, apparently that’s not allowed.

fatmanfilms · #4 30.10.2020, 13:04

	Quote:	justinallsop
	Thanks for this. I’m getting so much conflicting information its hard to know what the rules are. Our HR person has no clue. Neither does the company that the pension is with know. It’s just seemingly so difficult. I really wanted to take it with us, to put into a property to rent out, but unless i live in it, apparently that’s not allowed.

I was told it was possible by 3 Swiss pension providers & HR, they just quote the rule without understanding what it means.

It's down to your insurance requirement for an OAP, it's very simple.

aSwissInTheUS · #5 30.10.2020, 13:10

	Quote:	justinallsop
	Hi all So we’re returning to the UK after 8 and a bit years, and my employer here doesn’t seem sure if i will need a vested benefits account, or if i can take my pension with me, since the UK has left the EU.

So far all is known that at least until Brexit really really happens the old rules apply.

Old/EU-rules:
Non-mandatory part can be taken in full.
Mandatory part can be taken in full if you do not have to pay mandatory social security.
Otherwise mandatory part can only be used for self lived in real estate.
http://www.verbindungsstelle.ch/xml_...on/d51/f61.cfm
http://www.verbindungsstelle.ch/xml_...on/d51/f63.cfm
http://www.verbindungsstelle.ch/xml_...on/d51/f62.cfm

Non-EU-rules:
All parts can be taken in full. No partial payout possible.

If Switzerland and UK will come up with a social security agreement or if there will be a social security agreement with the EU which Switzerland will follow is not know.

The latest news and information from the Verbindungstelle (the relevant body which must approve the payout)
http://www.verbindungsstelle.ch/xml_...ation/f650.cfm

	Quote:
	Impact of BREXIT on cash payment upon departure The United Kingdom leaves the EU on January 31, 2020. The withdrawal agreement provides for a transition period until December 31, 2020 during which the Regulations (EC) no. 883/2004 and 987/2009 continue to apply between Switzerland and the United Kingdom. This means that the United Kingdom will be put on the same footing as an EU Member State. The cash payment of the statutory minimum occupational benefit savings on definite departure from Switzerland to the United Kingdom continues to be possible only if the person concerned is not subject to compulsory pension, disability and survivors’ benefit insurance in the United Kingdom. 27.01.2020