Migrating To Thailand From Uk

[footfidforfai]

Hi Gang

I'm migrating to Thailand from UK end of this month. I've already resigned and had an offer on my house, exchange & completion end of this month too hopefully.

I've got some questions regarding finanical stuff and bits and pieces;

1. I don't intend to come back to UK again should I closed all the bank accounts? I already got two bank accounts opened in Bangkok with Thai banks.

2. I've got two pension accounts, personal and employee. I'll stop paying into my personal account this month. The only time when I can access these is when I'm 50? I'm 31.

3. Can you please recomend a shipping company or alternative to them.

4. For all the posts I could ask a friend if I can redirect them there, but have you got suggestions?

5. I'm completing the P85 form for Inland Revenue, is there anything else I need to do?

These are the questions on my mind at the moment but I'm sure more will come up later....

Cheers

[pnustedt]

These are the questions on my mind at the moment but I'm sure more will come up later....

1. Depends on the sums you are talking about. I personally wouldn't rely strongly on Thai banks - their service is crap.

2. UK financial institutions are very narrow minded when it comes to pension investments. I think you'll find that they will only allow you to buy an annuity when you are 50.

3. There's a few guys on this forum who are in shipping.

4. The UK GPO has a good system for redirecting mail - try them. Relying on friends can destroy friendships.

5. I suspect there's loads you need to do. What are your family commitments? Have you got a will? etc. etc.

Oh, as part of your p.s. Have you got a visa to immigrate to Thailand?

[footfidforfai]

Thanks for a quick replied!

1. Probably about £100K. I'd need to buy a car there as well, had my eyes on the Toyota Wish. Might pay cash or B800K and finance the rest.

2. That's errr another 19 years for me then!

3,4. Okay, I'll get in touch with them

5. Indeed I do. I got a job offer in BKK already and the company is sorting out my visa.

No, I don't have a will yet, should I get one written up before I go back?

Cheers

[edd]

For c***t`s sake don't tell the government that you are leaving the UK, pay the minimum national insurance payments thats about £2.50 A week.

This will give you a full old age pension later in life, also if they don't know you have left the UK you will not loose your entitlement to NHS treatment if you should ever need it.

Any cash etc. you have in the UK or hidden you will need a will but if you have cash in Thailand the will must be in Thai.

I hope this helps

Edd

[pnustedt]

For c***t`s sake   don't tell the government that you are leaving the UK, pay the minimum national insurance payments thats about £2.50 A week.

Concidentally, I've been away from UK nearly 10 yrs and I've just received a letter from Inland Revenue pointing out that my NI contributions fall short and inviting me to make back payments to qualify for full UK pension. I won't bother as I will never return to UK.

If I were you I wouldn't take all my cash over to Thailand straight away - just what you need and see how things go. The only proviso would be unless you have someone who may divorce you or other claim on your assets! If so get your cash away quick.

Yes, a will is advisable in any country where you have sizable assets (something else I gotta do!).

[richb2004]

I am moving to Thailand shortly, but have already shipped my belongings. I shipped six large boxes and found ‘excess baggage’ to be very reasonable. I shipped by sea to keep costs down. They are based in London and collect for free within a certain zone. Worth a look anyway.

Its good to hear of some one of similar age to myself making the move.

Good luck.

http://excessbaggage.co.uk/

[Sumitr Man]

One thing I would say. I made a similar choice to you (both) 10 years ago. At the time I closed my UK bank account down (thought I wouldn't need it again). However, after hearing our current PM speak one or two times, and realizing he may well be re-elected, I decided to (re-)open a UK bank account [in case I needed to run]. This process has taken me close to 6 months to complete - which has included two visits to the British embassy in Bangkok.

I would STRONGLY advise that you do not close your UK bank accounts down, under any circumstances. I would also advise you keep them active. It is a MAJOR pain in the ar*e trying to comply with the UK's very strict money laundering laws from Thailand.

But that's just my 2c worth.

SM

[footfidforfai]

Thanks for all suggestions, much appreciated.

I'm getting a quote from Sea-Land and Excess Baggage people and will be taking all my crap down the skip this weekend. So eager to go back soon as my Thai gf is 8.5 months pregnant with a baby girl....don't want to miss the birth!

[grahamb]

Another reason for keeping the bank accounts in the UK...

Interest on capital in Thailand is taxed. If the capital is overseas and the interest is kept outside Thailand, it is not taxed. I heard (but haven't confirmed this) that if the interest is brought in during the following tax year, it is not taxed. I also heard (again, not fully confirmed) that if you bring the capital in (not the interest), it is not taxed.

Take your UK account offshore (should be relatively easy to do this with your bank as I think most of them have offshore operations in Jersey, Isle of Man, etc.) and then the UK tax man won't take anything from your interest either.

The tax on the interest may not be much but it could add up over the years and it's usually better in your pocket than the taxman's! From what I've heard, Thailand and the UK are unusual in not taxing offshore interest so make the most of it!

Of course, don't believe all you read from strangers on a bulletin board... I'd recommend that you have a quick word with a tax advisor before leaving the UK and get tips from them. I got one to do an analysis for me before we moved here. It cost £300 but was worth it in my opinion (for example, I didn't know about the interest only being taxed when in Thailand). If I could have taken advantage of all the advice she gave, I could have saved much more than it cost. There are plenty of tax advisors floating around the internet; I used this lady. I don't have any link to her or her company but I got good, prompt advice.

[Sumitr Man]

^ re: tax on offshore earnings. That certainly is the case in Thailand. Any income earnt offshore, and brought in 1 year after being earnt, is not taxed as income in Thailand.

[richb2004]

Hold on, don't go to that skip just yet! When I cleared out to move to Thailand I sold all my junk on e-bay and made about £2000.

[footfidforfai]

Wise words indeed, cheers!

[thaiflyer1]

Are you planning to work in Thailand? If not, do you think 100k is enough at the age of 31 to see you through until you are 50 and have access to pensions ? Remember you/ll have to school your child ,which isnt cheap. If you do intend to work......would it be self-employed (more capital used up setting up any business , not to mention what happens if it fails) or will you work for someone else, if so, at what? If you are not intending to work i would of thought 250-300k would be a truer figure. Dont mean to rain on your parade, just like to know what your plans are. ..............youve spent 10k on a vehicle already, what about a home? how much will that use up? Things to think about. i would say.

[boris]

Hi Gang

I'm migrating to Thailand from UK end of this month. I've already resigned and had an offer on my house, exchange & completion end of this month too hopefully.

I've got some questions regarding finanical stuff and bits and pieces;

1. I don't intend to come back to UK again should I closed all the bank accounts? I already got two bank accounts opened in Bangkok with Thai banks.

2. I've got two pension accounts, personal and employee. I'll stop paying into my personal account this month. The only time when I can access these is when I'm 50? I'm 31.

3. Can you please recomend a shipping company or alternative to them.

4. For all the posts I could ask a friend if I can redirect them there, but have you got suggestions?

5. I'm completing the P85 form for Inland Revenue, is there anything else I need to do?

These are the questions on my mind at the moment but I'm sure more will come up later....

Cheers

Your questions have been well answered by others.While understanding your enthusiasm, I would suggest you set yourself a target of say 5 years to achieve your objectives (or performance indicators if you prefer) rather than thinking about migration.The number of genuine farang business success stories in Thailand is incredibly small, whatever the likes of Sunbelt (genuinely no disrespect intended) would have you believe.I'm not talking the micky mouse "businesses" that former tourists, retirees etc sometimes put together to earn a little cash.The only major success is Bill Heinecke and he is Thai through and through (older hands will know what I mean) notwithstanding appearences.Distrithai would probably be another smaller example but the jury is still out.There are one or two others of note.Most of the wealthy farangs I have come across here have been lawyers, investment bankers, senior employees of MNCs but not generally entrepreneurs.And is there a reason why this is so? You bet there is!

Turning to the original question, ask yourself what competitive advantages you have in a business environment you don't really understand, where you don't speak the language , where the odds are stacked against you both in law and informally.If you have an ounce of entrepreneurial talent, it would flourish in another more equitable market like.......the UK.

[Up2U]

Keep your options open.

You have obviously been here before, but have always had a fall-back position at home (job, accommodation, health care, etc.).

Now you are contemplating a new life - starting from somewhere close to zero. You are looking for a comfortable existence (the car is an example) and believe you have the income to support this, both from your assets and your new job.

I would strongly suggest that you keep whatever assets you can out of Thailand. A bank account on the Isle of Man is a good option. Here you will have to pay your own medical expenses, so an insurance scheme is a good idea. There is no social security system such as UK offers. There is no free education. There is a registration fee, plus monthly or semester fees. You are almost in the way of the first kid - how many more will come along?

How long-term is the job that you have been offered? It is not easy to find work here at farang-salary levels. Most people are sent in from abroad to do those jobs, very few recruited locally.

If you have a good network of contacts, and are in a business that utilises the Web for communication, etc., then you may be able to set up your own consultancy business. If this is a possibility - do it while you are working - establish your network before you are in desparate need. Hungry consultants are not a good advert for their skills.

Walk slowly for the first months - do not rush into commitments. Try renting a car, if you really need one. Look at bus routes, motorbikes, bicycles as alternative means of transport.

Don't waste your money yourself, and surely do not let your g/f's family waste it.

And do not burn all your bridges back to blighty. It may not be the best place in the world, but if you contract cancer orsimilar, it is a place to run to. (Just insurance - same as you buy for house or car, but certainly worth having)

[footfidforfai]

Right now I'm working at '3' mobile in Reading, which is part of Hutchison Wampoa. My last day here is 27th this month. The company won't do relocation so I went to BKK for interview with Hutch in BKK last month and I've got an offer to work for them starting mid Sept the income is about B100K after tax, knowing the baby's on the way I'd probably start in Oct. I know the salary is not much compare to other expats I know, I'm planning to keep most of my sterling as they are in UK banks and only access them when I need them and live on the salary that I've got.

Looking at the options right now, thank you to you all. I'll keep my bank accounts here in UK and paying minimum national insurance.

[thaiflyer1]

I've got an offer to work for them starting mid Sept the income is about B100K after tax, knowing the baby's on the way I'd probably start in Oct.

Aaahh........that sounds better. You do right keep most your assets in the UK. Go for it, good luck. P.S Just noticed in an earlier post you had already mentioned you have a job offer, i must of missed it.....

[footfidforfai]

Hello again Gang,

As my house's almost sold (completions in two weeks), I'm thinking about tranferring about UK30k-UK40k over to Thailand, how would I go about doing this? I think I saw posts now and again about tranferring money. I've got accounts opened with Bangkok bank and Krungsi Bank in BKK already.

Cheers!

[thaiflyer1]

Depends what it is for...........if you have no intention of wanting to take it back out again just go in to your local UK bank and transfer it over by telex, you/ll need all your thai account details and head office address............i sent 10k over last month Hsbc to Siam Commercial here, charge 18 pound. If however its for condo/house purchase and one day you may want to sell up and get the cash back out of Thailand, you/ll need your bank in Thailand to complete a form saying the funds were brought in for the condo/house purchase. Somebody remind me of the form number/name!

[footfidforfai]

Yup, it'll be for "starting up" money for me, child birth, car rent, condo rent etc etc

[en184]

Try to get a bank account in a neutral, tax freeplace, where they are used to expats.

A bank account in Guernsey, Jersey or Isle of man would be better, as they are used to dealing with expats. The UK highstreet banks seem backward when it comes to making international payments.

I would reccomend also opening an account in Luxembourg or Switzerland, for your international payments.

You should also look at maximising the return on your money, while there, so, investing in stocks. I can suggest opening a brokerage account both in thailand and one abroad. for example, seamico.com, interactivebrokers, boom.com offer a good service.

Consider also a plan, if you lose your job, or your work permit. Consider income from stock dividends, rental income, etc.

One thing I would say. I made a similar choice to you (both) 10 years ago. At the time I closed my UK bank account down (thought I wouldn't need it again). However, after hearing our current PM speak one or two times, and realizing he may well be re-elected, I decided to (re-)open a UK bank account [in case I needed to run]. This process has taken me close to 6 months to complete - which has included two visits to the British embassy in Bangkok.

I would STRONGLY advise that you do not close your UK bank accounts down, under any circumstances. I would also advise you keep them active. It is a MAJOR pain in the ar*e trying to comply with the UK's very strict money laundering laws from Thailand.

But that's just my 2c worth.

SM

[Lucifer]

Hello again Gang,

As my house's almost sold (completions in two weeks), I'm thinking about tranferring about UK30k-UK40k over to Thailand, how would I go about doing this? I think I saw posts now and again about tranferring money. I've got accounts opened with Bangkok bank and Krungsi Bank in BKK already.

Cheers!

If you haven't sold it yet. Don't sell. Rent it out.

If you don't need the cash yet, the rental income will ease the presure later. Also, the house value will go up far faster than anywhere else.

[jaiyenyen]

I'm surprised no one has mentioned Nationwide Building Society.

I have an internet savings A/C and a flex A/C with them.

I keep a few thousand in the savings A/C and then move it to the flex A/C when it's needed.

It's free to take money from the flex A/C at ATM's in Thailand.

I also found that odd cheques from utility companies and closed A/C's appeared for a few months after I moved to Thailand, so it was easy for my sister in UK to deposit them in my Nationwide A/C.

I hope this helps.

Good Luck

Jaiyenyen

[Prakanong]

Hmm I think some people have not noticed the OP made the move to LOS almost 3 years ago.

[GuestHouse]

I'd make a quick trip to a financial advisor and get him to run you some sums.

You have a house in one of the most prosperous areas of the UK - which appears to be your single largest asset. It's also your fall back position if things go wrong for you in Thailand.

I think selling up in the UK is a mistake.

Your ideas on pensions are way off - Get a check on the 'Early Retirement Penalties' The pension you receive is based on calculation of the fund you have and the number of years you are expected to draw pension.

If you retire early you will clearly draw pension for more years (against the calculation for Normal Retirement Age).

The pension funds make a calculation on this for early retirement and there will be a clause in your pension contract that stipulates the penalty for early retirement - Expect a figure of -2% for every year earlier down to 60 and for retiring before 60 expect a figure of around -4%

On this basis you might expect a pension at 50 of around (100% - 10% - 40%) - Yes Half Pension.

Get that figure checked.

Overseas bank accounts.

I'm a professional expatriate, I employ an accountant to advise me on what to do with my money in order to avoid taxes.

He consistantly advises me not to use an overseas Bank Account. Off shore Bank accounts DO REPORT to the UK tax man, they DO LEVY A BASE TAX CHARGE and if you need to go back to the UK you will have all manner of problems when you bring your money back in.

Do keep paying National Insurance (you are going to need it on the pension penalties you are facing).

Somebody above said they are not paying NI because they don't intend returning to the UK (I presume they can throw away a cheque for one hundered and five pounds every week for the whole of their life after 65 - A silly idea - UK State Pensions are the best bargain going).

I would not close my UK accounts and I would not take any money to Thailand above a that needed for deposits and initial spending.

Best of luck with the Baby.

[pnustedt]

Please note that this topic is three years old - some of the info. early postings will be out of date.

[Crossy]

Please note that this topic is three years old - some of the info. early postings will be out of date.

And the OP hasn't been seen since 27/7/05 so I doubt he's reading the latest info.

There really must be a way to stop these antiques being dredged up. I can understand that some old posts may become relevent again but why can't oldies get closed to new posts after, say, 12 months. The moderation team can readily re-open on request should there be further developments.

[Westerner]

I've got some questions regarding finanical stuff and bits and pieces;

1. I don't intend to come back to UK again should I closed all the bank accounts? These are the questions on my mind at the moment but I'm sure more will come up later....

Cheers

I urge you to please, please, please do not cut your ties with the UK. Remember you will only be in Thailand on a visa. You will have no rights whatsoever and the red tape here can do your head in. Even though you don't think it now, one day you may want to return to the UK. Keep a connection

[GuestHouse]

I've just sent the OP an email to ask him if he has time to come back and tell us how his move went.

It would be interesting to hear I think.

[Ricardo]

Overseas bank accounts.

I'm a professional expatriate, I employ an accountant to advise me on what to do with my money in order to avoid taxes.

He consistantly advises me not to use an overseas Bank Account. Off shore Bank accounts DO REPORT to the UK tax man, they DO LEVY A BASE TAX CHARGE and if you need to go back to the UK you will have all manner of problems when you bring your money back in.

While many banks in places like IoM & Channel Islands do now report your offshore-account interest to the UK tax-man, or other European jurisdictions, this is intended only to reduce tax-evasion by people still resident in UK or other EC countries.

They should NOT deduct the base charge, or report your private offshore income, provided they are sure that you're actually living OUTSIDE the EC. It is, after all, your private business, and nothing to do with the Inland Revenue, if you're no-longer liable to tax in the UK.

I found that, having reported my departure-date to the I.R., they helpfully sent me a letter to my new Thai address, confirming that I was accepted by them as being non-resident from the day after departure. I copied this to my offshore bankers, and also found it useful on other occasions, such as when opening an offshore account with an investment-manager, and an offshore account with Nationwide-IoM.

You do of course remain liable to continue to report, & pay any tax due, on any income still arising within the UK, such as rent on a property which you let-out, or income from bank/B.Soc accounts or investments or pensions on-shore. But since you've sold your property, this income is likely to be below your Personal Allowance, and after a few years' Nil-Returns, th UK tax-man is likely to lose interest in you.

I would certainly say you should seek further expert-advice, BEFORE making any final decision, to RETURN to live/work in the UK or EC, at any time in the future.