Expat contract/status questions and practical experience
Discussion
My daughter works for a global FMCG business and is about to be offered an expat contract to move to Paris. I am trying to advise her and wondered if anyone had experience of this and in particular (but not limited to) :
- net salary (her tax will be similar but contributions 3 times as much in France). Do employers tend to offset for that?
- while there is a relocation package for one off expenses, she wants to keep her London flat and rent it out and rent a flat in Paris. Problem is, will her UK rental income attract a 40% UK tax even if her salary will now be paid in France. She has been a higher rate tax payer so far in the UK.
- UK private pension employer contributions. Do companies usually keep that going even though she will be in a different country? (having the equivalent paid into a French scheme would be a PITA as she'll probably only be there for 2/3 years).
- UK state pension qualifying years. She will presumably lose that too unless there is a mechanism for her not to? Any contributions to the French state system will be a loss although she may be able to opt out of the French state pension thing.
Any other comments welcome on the subject as there must be aspects we haven't considered.
- net salary (her tax will be similar but contributions 3 times as much in France). Do employers tend to offset for that?
- while there is a relocation package for one off expenses, she wants to keep her London flat and rent it out and rent a flat in Paris. Problem is, will her UK rental income attract a 40% UK tax even if her salary will now be paid in France. She has been a higher rate tax payer so far in the UK.
- UK private pension employer contributions. Do companies usually keep that going even though she will be in a different country? (having the equivalent paid into a French scheme would be a PITA as she'll probably only be there for 2/3 years).
- UK state pension qualifying years. She will presumably lose that too unless there is a mechanism for her not to? Any contributions to the French state system will be a loss although she may be able to opt out of the French state pension thing.
Any other comments welcome on the subject as there must be aspects we haven't considered.
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