International/European wide pension plans...
Discussion
exciting topic for a Sunday night...
Does anybody here have any information on International Pension Plans? i'm 31, and live in Austria. Although I pay into the various pots here, my MIL has just been denied her state pension from her home country. So, I want to take matters into my own hands. HSBC seem pretty comprehensive (https://www.expat.hsbc.com/1/2/hsbc-expat/wealth-management/power-of-planning/retirement-planning?HBIB_dyn_lnk=hme_nav_t3_col1_lnk_2) but does anybody here (expat or otherwise) have any information they'd care to share?
TIA.
Does anybody here have any information on International Pension Plans? i'm 31, and live in Austria. Although I pay into the various pots here, my MIL has just been denied her state pension from her home country. So, I want to take matters into my own hands. HSBC seem pretty comprehensive (https://www.expat.hsbc.com/1/2/hsbc-expat/wealth-management/power-of-planning/retirement-planning?HBIB_dyn_lnk=hme_nav_t3_col1_lnk_2) but does anybody here (expat or otherwise) have any information they'd care to share?
TIA.
What differentiates a Pension Plan from a conventional investment account is the tax treatment, in the UK you get tax relief on the contributions and tax efficient growth in exchange for not accessing it until at least 55.
Tax regimes vary from country to country so there is no pension scheme (i.e. one that offers tax relief on contributions) that will accept contributions from earnings in multiple countries and apply tax relief. HSBC and the old-skool life and pension companies do nicely out of pitching expats with "expat pensions" but these are just investment accounts capable of accepting regular contributions from overseas. Not unusual, and often more expensive to operate than other open-architecture platforms.
I have no idea what the Austrian tax options are when it comes to retirement planning but it would make sense to me to find that out first, especially if you expect to be there some time, and make sure you take advantage of any tax reliefs that are available locally first.
If you leave you may be able to transfer accumulated Austrian benefits to a scheme in the next country you move to, but this is not guaranteed - your Austrian IFA will explain all.
Tax regimes vary from country to country so there is no pension scheme (i.e. one that offers tax relief on contributions) that will accept contributions from earnings in multiple countries and apply tax relief. HSBC and the old-skool life and pension companies do nicely out of pitching expats with "expat pensions" but these are just investment accounts capable of accepting regular contributions from overseas. Not unusual, and often more expensive to operate than other open-architecture platforms.
I have no idea what the Austrian tax options are when it comes to retirement planning but it would make sense to me to find that out first, especially if you expect to be there some time, and make sure you take advantage of any tax reliefs that are available locally first.
If you leave you may be able to transfer accumulated Austrian benefits to a scheme in the next country you move to, but this is not guaranteed - your Austrian IFA will explain all.
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