Pensions

[nontabury]

.

I have decided to have my pension paid to my account with Nationwide International I.O.M. and to get it transferred over to Thailand three times a year which will cost me £60 sterling (3 x £20) in transfer fees. My pension will be £153 per week and by doing the calculations it appears that I will gain roughly anywhere between 8,000 - 12,000 baht per annum more than if I had opted to have it paid directly into my Thai bank. Admittedly, not a fortune saved but these days every little helps.

Can you tell me how your weekly pension will be £153, do you have a dependent(wife) as I was under the impression that they were going to cease the adult dependency

payments from 6th April 2010 for new pensioners, and that it will cease for existing pensioners from April 2020.

Yes your UK state pension is frozen, once they know you are resident in Thailand, if you return to the UK, for say 3mths they will increase your pension during those 3 months,

to the pension rate in the UK at that time, but then when you return to Thailand, your pension reverts back to your frozen rate. If you return and stay in the UK for 2 years or more,

you will receive the annual increase, then if you return to Thailand they will freeze you pension at the rate on that date.

I receive my state pension direct into my Thai bank a/c each month, at a rate nearly the same as I would receive, by using a swift transfer, but without the costs.

[JohnC]

Can you tell me how your weekly pension will be £153,

The state pension for those of us who worked from the 60s onwards is made up of three components, 1) Graduated Pension Scheme started in 1961 and ceased in 1975, every person that paid national insurance had one credit for each £7.50 paid in NI contributions, therefore if you worked and paid NI between 1961 and 1975 your state pension will include an amount for these credits.

2) In 1975 they introduced SERPS (State Earnings Related Pension Scheme) employers could opt out or in, opting out meant they and you paid less NI contributions but they had to guarantee a pension benefit equal to or greater than the state scheme, an example of this is the Armed Forces who opted out. If you were in SERPS then your state pension would include an amount based on your contributions.

Finally 3) The basic state pension is set each year and normally uplifted as follows, currently £102.15 pw

From April 2011, basic State Pension increases every year by whichever of the following is the highest

• earnings – the average percentage increase in UK wages that year
• prices – the percentage the cost of living increases by that year
• 2.5 per cent

For 2011-12 the basic State Pension will be increased by the Retail Prices Index for September 2010.

The basic State Pension will rise each year by the highest percentage.

.

Therefore if you add the three elements together you come up with your individual pension entitlement as no two people are the same, you can apply for a pension forecast no later than nine months before you turn 65, of course if you live here you do not get the annual uplift as previously explained. Having this pension paid into the Nationwide International Account on the IOM is a false economy unless you can leave it until a more favourable exchange rate which can be done with regular tracking of the exchange rate. If you want your money more regular then I would suggest direct payment with no fees into your Thai bank is the way to go.

Edited October 9, 2011 by JohnC

[Eff1n2ret]

.

Can you tell me how your weekly pension will be £153, do you have a dependent(wife) as I was under the impression that they were going to cease the adult dependency

payments from 6th April 2010 for new pensioners, and that it will cease for existing pensioners from April 2020.

Assuming that the poster was referring to the state pension, it does vary according to contributions made. When I retired 2 years ago, I thought I would be getting the flat rate of (then) around 92 quid a week. I was pleasantly surprised to find it was considerably more than that, and was told it was because of past contributions. It didn't include the so-called "married man's" pension, or as you correctly call it, the adult dependancy allowance, which was abolished from April 2010. I got a claim in before that date, which they finally settled in June this year, with a nice back-dated lump sum. I'm just waiting for the tax-man to catch up with me.

Incidentally, slightly off-topic, I have to fill in a tax return because of rental income from my house in the UK, but I haven't yet received a form for the year ended April 2011. I read a news article a couple of months ago that many forms had not been issued because HMRC cocked up their order for paper and had run out. Is anyone else in the same boat?

[JohnC]

I have to fill in a tax return

Just remember the personal tax allowance increases for the over 65s and is currently £9940 pa and is set against any state pension received with any unused portion carried over to other income.

[wandrinstar]

As for a Private Pension,id go for the Lump Sum, before the swine say theres nothing left in the Fund.

[spyke]

You can keep your domicil in thailand and your account inj your homeland, just use the ATM about 3 or 4 times a month.withdraw the max so that makes 3 to 4 times 150B and what your own bank charges.no hasles or con sceames.what i hear about farangs who transfer money to their thai account, money get lost in cyberspace , the they find it when the exchange is much lower(how about that hummm) all kinds of tricks they use.i like thailand, but i don't trust banks(certainly not thai banks) and other services.

[prodriver]

.

I have decided to have my pension paid to my account with Nationwide International I.O.M. and to get it transferred over to Thailand three times a year which will cost me £60 sterling (3 x £20) in transfer fees. My pension will be £153 per week and by doing the calculations it appears that I will gain roughly anywhere between 8,000 - 12,000 baht per annum more than if I had opted to have it paid directly into my Thai bank. Admittedly, not a fortune saved but these days every little helps.

Can you tell me how your weekly pension will be £153, do you have a dependent(wife) as I was under the impression that they were going to cease the adult dependency

payments from 6th April 2010 for new pensioners, and that it will cease for existing pensioners from April 2020.

You asked me how my weekly pension will be £153.

£102.15 Basic State Pension

£44.64 Additional State Pension (SERPS)

£6.30 Graduated Retirement Benefit

Total = £153.09

I am a married man but as you rightly say, I do not get the 'adult dependancy payment' as that ceased to be available to anybody reaching 65 after April 2010.

[wandrinstar]

You can keep your domicil in thailand and your account inj your homeland, just use the ATM about 3 or 4 times a month.withdraw the max so that makes 3 to 4 times 150B and what your own bank charges.no hasles or con sceames.what i hear about farangs who transfer money to their thai account, money get lost in cyberspace , the they find it when the exchange is much lower(how about that hummm) all kinds of tricks they use.i like thailand, but i don't trust banks(certainly not thai banks) and other services.

That seems sensible , i don't really trust any Bank these days.Barclays U.K. let me down during Thaitanic , they decide to pull my Executive Card because i lived here. Its Policy, nothing personal . So i replied transfer the lot to Credit Suisse, nothing Personall.So you're way stops big charges for just tapping a keyboard

[theoldgit]

I have decided to have my pension paid to my account with Nationwide International I.O.M. and to get it transferred over to Thailand three times a year which will cost me £60 sterling (3 x £20) in transfer fees. My pension will be £153 per week and by doing the calculations it appears that I will gain roughly anywhere between 8,000 - 12,000 baht per annum more than if I had opted to have it paid directly into my Thai bank. Admittedly, not a fortune saved but these days every little helps

I have just opened my account with the Nationwide in the IOM and my Civil Service Pension will be paid into it from next week, my State Pension will go in when I eligible early next year. At the moment I seem to be losing about 1.5 Baht in the Pound for the convenience so, even taking into account the twenty quid, I can transfer every month and still be in profit, obviously more so from next year.

I assume you do your transactions online, I just wanted to ask how long does it take to actually reach your account in Thailand after you have ordered the transfer?

The State Pensions seem to vary considerably depending on your personal circumstances, I have just received an estimate and it looks like I will only be getting £109 per week, as a Civil Servant I was contracted out of SERPS, so whilst I get a decent Civil Service Pension, which remains index linked, my State Pension is not as big as other posters are getting.

[meatboy]

I have decided to have my pension paid to my account with Nationwide International I.O.M. and to get it transferred over to Thailand three times a year which will cost me £60 sterling (3 x £20) in transfer fees. My pension will be £153 per week and by doing the calculations it appears that I will gain roughly anywhere between 8,000 - 12,000 baht per annum more than if I had opted to have it paid directly into my Thai bank. Admittedly, not a fortune saved but these days every little helps

I have just opened my account with the Nationwide in the IOM and my Civil Service Pension will be paid into it from next week, my State Pension will go in when I eligible early next year. At the moment I seem to be losing about 1.5 Baht in the Pound for the convenience so, even taking into account the twenty quid, I can transfer every month and still be in profit, obviously more so from next year.

I assume you do your transactions online, I just wanted to ask how long does it take to actually reach your account in Thailand after you have ordered the transfer?

The State Pensions seem to vary considerably depending on your personal circumstances, I have just received an estimate and it looks like I will only be getting £109 per week, as a Civil Servant I was contracted out of SERPS, so whilst I get a decent Civil Service Pension, which remains index linked, my State Pension is not as big as other posters are getting.

one thing for you to consider if you can manage without your state pension why dont you defere claiming it,you can either have a lump sum +int.or extra on your weeky amount.

[true blue]

Open a bank account in Thailand and send money through your home e-banking... what a stupid question...

or... actually... even a better alternative... send the money to my Swiss bank account and on my next visit, I might bring it with me

what do you exspect from a kopite DOH.

[theoldgit]

one thing for you to consider if you can manage without your state pension why dont you defere claiming it,you can either have a lump sum +int.or extra on your weeky amount.

Yes, this is certainly one thing I will need to look at, I don't need to decide until after Christmas, especially as I intend leaving the State Pension in my Nationwide account.

My initial thoughts when reading all the bumph that came with my estimate was that it wasn't a particularly good deal, yes you get a slightly better pension, if you defer, but it seemed to me that you would have to draw for a fair number of years before you actually madw a profit.

I'm leaning towards a bird in the hand, but I will sit down and do some number crunching nearer the time.

[prodriver]

I have decided to have my pension paid to my account with Nationwide International I.O.M. and to get it transferred over to Thailand three times a year which will cost me £60 sterling (3 x £20) in transfer fees. My pension will be £153 per week and by doing the calculations it appears that I will gain roughly anywhere between 8,000 - 12,000 baht per annum more than if I had opted to have it paid directly into my Thai bank. Admittedly, not a fortune saved but these days every little helps

I assume you do your transactions online, I just wanted to ask how long does it take to actually reach your account in Thailand after you have ordered the transfer?

Up to now I have only transferred money from my account with Nationwide International I.O.M. once a year and have always just written to them via 'snail mail'. They do have a "Telebanking" facility where one can request transfers by phone/fax but I've never bothered to opt for that service. After my state pension starts going into this account I think that I will just continue to request transfers in the same way as I only intend to make transfers three or four times a year.

'JohnC' says that having your state pension paid into the Nationwide Int. I.O.M. is a false economy. I beg to differ, as long as one doesn't transfer the money over to Thailand every month. That would be an expensive way to do it and then I would agree with him that having it paid directly to Thailand would be the way to go.

It has been mentioned before that the Halifax Bldg. Soc. only charge something like £9.50 to do a SWIFT transfer which sounds very reasonable. Unfortunately as I don't have an account with them I would have to return to the UK to open one with them and as I don't intend returning to the UK....it ain't going to happen.

[astral]

Let the money accumulate for 3 or 6 months then send over.

It is not cost effective to send every month.

I have found that my local bank charges me even if I have ticked the box to pay all the charges in the UK.

So now I only agree pay UK charges.

Mind you the bank fee seems to be the same.

Initialing the transfer from the Internet Banking saves me 5 quid a time.

[nong38]

You can keep your domicil in thailand and your account inj your homeland, just use the ATM about 3 or 4 times a month.withdraw the max so that makes 3 to 4 times 150B and what your own bank charges.no hasles or con sceames.what i hear about farangs who transfer money to their thai account, money get lost in cyberspace , the they find it when the exchange is much lower(how about that hummm) all kinds of tricks they use.i like thailand, but i don't trust banks(certainly not thai banks) and other services.

You can avoid the 150 bt charge by going inside the bank with your passport, I do it all the time, saves a lot of money, takes a bit longer but what would you do with the time and its safer.

[nong38]

one thing for you to consider if you can manage without your state pension why dont you defere claiming it,you can either have a lump sum +int.or extra on your weeky amount.

Yes, this is certainly one thing I will need to look at, I don't need to decide until after Christmas, especially as I intend leaving the State Pension in my Nationwide account.

My initial thoughts when reading all the bumph that came with my estimate was that it wasn't a particularly good deal, yes you get a slightly better pension, if you defer, but it seemed to me that you would have to draw for a fair number of years before you actually madw a profit.

I'm leaning towards a bird in the hand, but I will sit down and do some number crunching nearer the time.

If you defer the pension, you can do it in 5 week chunks or yearly it works out at 10.4% on stste pension only, not serps. You can then choose a lump sump or increased pension and remember inflation is added every year as well until you claim. Which ever way you choose dont forget that the taxman waiteth for your decision, he will want his cut, can you think of a suitable four letter word?

[meatboy]

as my total income was under the 10k personal allowance i left it and drew a years lump sum in that tax year,10.4%int.but like the op said it would have to run for quiet a few years to get it back in weekly amounts.

[Kwasaki]

You can keep your domicil in thailand and your account inj your homeland, just use the ATM about 3 or 4 times a month.withdraw the max so that makes 3 to 4 times 150B and what your own bank charges.

You can avoid the 150 bt charge by going inside the bank with your passport, I do it all the time, saves a lot of money, takes a bit longer but what would you do with the time and its safer.

Could you explain more please, don't understand.

Are you saying if you have a UK debit card from your UK bank and you want to draw money from it the Thai bank pays you in baht at no charge.

Your UK bank will still charge though yes ???

[Kwasaki]

Can you tell me how your weekly pension will be £153,

The state pension for those of us who worked from the 60s onwards is made up of three components,

1) Graduated Pension Scheme started in 1961 and ceased in 1975, every person that paid national insurance had one credit for each £7.50 paid in NI contributions, therefore if you worked and paid NI between 1961 and 1975 your state pension will include an amount for these credits.

2) In 1975 they introduced SERPS (State Earnings Related Pension Scheme) employers could opt out or in, opting out meant they and you paid less NI contributions but they had to guarantee a pension benefit equal to or greater than the state scheme, an example of this is the Armed Forces who opted out.

If you were in SERPS then your state pension would include an amount based on your contributions.

Finally 3) The basic state pension is set each year and normally uplifted as follows, currently £102.15 pw.

From April 2011, basic State Pension increases every year by whichever of the following is the highest

• earnings – the average percentage increase in UK wages that year
• prices – the percentage the cost of living increases by that year
• 2.5 per cent

For 2011-12 the basic State Pension will be increased by the Retail Prices Index for September 2010.

The basic State Pension will rise each year by the highest percentage.

Therefore if you add the three elements together you come up with your individual pension entitlement as no two people are the same.

You can apply for a pension forecast no later than nine months before you turn 65.

Apologies for re-arranging your post a bit, did for my reply and to see whether you could help me understand my situation.

Ref :- No. 1. Graduated Pension Scheme.

I worked from 1963 - 1975, so maybe I will be entitle to credits. ?

Ref :- No. 2. SERPS.

I contracted into SERPS for 15 years via my Barclays private pension if that makes sense and was advise to contract out in 2006.

In what way will this affect me, the only thing I knew about SERPS at the time of joining was we were told by ' Maggie ' we would get a better pension.

Ref :- No. 3. Basic state pension.

So in June 2012 when 65 my pension is due, I understand I will receive £102.15p per week + any of the three you stated and then living in Thailand frozen.

Just one more question.

You say people can apply for a pension forcast no later than 9 months before, so Oct now and I have only 8months to go, so am I too late to apply.

Regards K

Edited October 12, 2011 by Kwasaki

[theoldgit]

You say people can apply for a pension forcast no later than 9 months before, so Oct now and I have only 8months to go, so am I too late to apply.

No you're not too late, if you don't live in the UK you can ask for an estimate by phone or post, providing you are more than 30 days from State Pension Age and you are not already in receipt of it. As I was too lazy to fill in an post the form, I called them in Newcastle, a very pleasant Geordie lass took my details and sent me the information in a couple of weeks.

http://www.direct.gov.uk/en/Pensionsandretirementplanning/StatePension/StatePensionforecast/DG_10014008

[JohnC]

Ref :- No. 1. Graduated Pension Scheme.

I worked from 1963 - 1975, so maybe I will be entitle to credits. ?

Yes and the amount will be shown on your forecast.

Ref :- No. 2. SERPS.

again your state pension will be enhanced for the years you paid into SERPS and will be shown on your forecast.

Ref :- No. 3. Basic state pension.

Yes £102.15 plus the 2012 increase due beginning of April.

Re the forecast I was mixing up the online forecast with a written forecast with a telephone forecast! Once you leave the country they will not do an online forecast (if they know you have left!)

You also need to be four months away from reaching 65 (used to be nine months) however as the above post says you can now get a telephone forecast as long as you are at least 30 days until you reach 65.

In my view its worth getting so you will know exactly how much to expect which will hep with financial planning, do not forget the state pension is not paid monthly, it is paid every four weeks!

As an aside, a colleague who claimed his this year was pleasantly surprised to find the Inland Revenue automatically adjusted his tax code to the higher rate and paid him a refund!

Hope this helps.

[wandrinstar]

Do you get any extra if your Married.Is it more Paperwork.I went to the Brit Embassy with Original Divorce papers 25 years ago,sto get it all street legal, before Marryin a Thai.More Hoops to Jump through, i wonder.?.

[Eff1n2ret]

Do you get any extra if your Married.

No

[JohnC]

Do you get any extra if your Married

Married mans allowance or to give it its proper name ADI (Adult Dependency Increase) ceased in April 2010, those who qualified prior to that date claimed it and will be able to continue receiving it until 2020 (at the moment but the coalition might move the goalposts.). If you qualify for the state pension after April 2010 then there is no additional payments for spouses.

[Kwasaki]

No you're not too late, if you don't live in the UK you can ask for an estimate by phone or post, providing you are more than 30 days from State Pension Age and you are not already in receipt of it. As I was too lazy to fill in an post the form, I called them in Newcastle, a very pleasant Geordie lass took my details and sent me the information in a couple of weeks.

http://www.direct.go...ast/DG_10014008

Ref :- No. 1. Graduated Pension Scheme.

I worked from 1963 - 1975, so maybe I will be entitle to credits. ?

Yes and the amount will be shown on your forecast.

Ref :- No. 2. SERPS.

again your state pension will be enhanced for the years you paid into SERPS and will be shown on your forecast.

Ref :- No. 3. Basic state pension.

Yes £102.15 plus the 2012 increase due beginning of April.

Re the forecast I was mixing up the online forecast with a written forecast with a telephone forecast! Once you leave the country they will not do an online forecast (if they know you have left!)

You also need to be four months away from reaching 65 (used to be nine months) however as the above post says you can now get a telephone forecast as long as you are at least 30 days until you reach 65.

In my view its worth getting so you will know exactly how much to expect which will hep with financial planning, do not forget the state pension is not paid monthly, it is paid every four weeks!

As an aside, a colleague who claimed his this year was pleasantly surprised to find the Inland Revenue automatically adjusted his tax code to the higher rate and paid him a refund!

Hope this helps.

Thankyou ' the oldgit ' and ' johnC ' for your replies much appreciated.

Kind Regards K

[wandrinstar]

In a way im happy theres no allowance,the thought of visits to Bkk with bits of paper churns my stomach.

[wandrinstar]

Here is a strange tale.A Brit came here 7 years ago,his work ethic sucks to me.A professional Student, until 20 Y.O.Got a minor degree in Russian,went there but got no job,than bummed around in Europe,on state aid and drugs,did 8years in a Brit Office,and paid in to the system at about 40 ish, made redundant and was on the dole till h came here.Now he recons he will get a pension in 10 years time,seems nonsense to me, he recons he was on benefit and had no money to pay for a pension so he gets one.I do hope not,or it belittles ak us Brits who have played fair.

[chiang mai]

Here is a strange tale.A Brit came here 7 years ago,his work ethic sucks to me.A professional Student, until 20 Y.O.Got a minor degree in Russian,went there but got no job,than bummed around in Europe,on state aid and drugs,did 8years in a Brit Office,and paid in to the system at about 40 ish, made redundant and was on the dole till h came here.Now he recons he will get a pension in 10 years time,seems nonsense to me, he recons he was on benefit and had no money to pay for a pension so he gets one.I do hope not,or it belittles ak us Brits who have played fair.

That story seems to be an extention of the many thousands in the UK where people have never worked, been given places to live for free and have generally been taken care of by the state for most of their lives, makes me hugely angry to think about it all.

[ludditeman]

Here is a strange tale.A Brit came here 7 years ago,his work ethic sucks to me.A professional Student, until 20 Y.O.Got a minor degree in Russian,went there but got no job,than bummed around in Europe,on state aid and drugs,did 8years in a Brit Office,and paid in to the system at about 40 ish, made redundant and was on the dole till h came here.Now he recons he will get a pension in 10 years time,seems nonsense to me, he recons he was on benefit and had no money to pay for a pension so he gets one.I do hope not,or it belittles ak us Brits who have played fair.

UK state pension

Full pension = 30 years entitlement required (less gives proportional pension)

1 year work = 1 year entitlement

1 year dole = 1 year entitlement

1st baby (female only) = 18 year entitlement

Please Note: Nationality irrelevant

Edited October 13, 2011 by ludditeman

[gennisis]

Do you get any increases using this system or is your pension froze ? what is your status expat, uk resident ?

Your Pension is frozen at the rate when you start to collect it. Thailand is not one of the reciprocal countries so it's frozen no matter how you collect your pension.

Not sure about my status.

To be a UK resident, and get Pension increases, you need a UK address and live in the UK a certain numberer of moths per year.

Now,here's an interesting point. UK pensions are frozen after you leave the uk.

since there have been many many cases of 'law breakers'! getting decisions overturned by claiming their'human rights' how about using human rights to get the same pension as domiciled brits.

One guy had his deportation canceled because he had a cat