Don’t become a cropper when shopping for a QROPS

QROPS are considered the top-of-the-line offshore pension for British expats and international workers with UK pension rights.

The trouble is many financial advisers try to sell qualifying recognised overseas pensions (QROPS) as a one-size-fits-all product – which they are not.

Poor selling, bad management and attempts to manipulate tax and access pension pots before retirement all muddied the Neue QROPS market leading to the shake-up of rules in April 2012 that saw hundreds of schemes worldwide close to new business.

The warning signals are clear when comparing the market for a QROPS –

  • Advisers selling based on the QROPS product rather wholesale jerseys than client needs.
  • Providers offering coming more than a 30% tax-free wholesale NBA jerseys drawdown of a lump sum
  • Providers and advisers suggesting ‘early access’ to funds before the age of 55 years old
  • QROPS offering extra benefits and payments

The recent enforcement by HM Revenue & Customs was aimed at QROPS firms stretching the financial envelope to offer pension benefits that fell outside of the rules laid down by UK pension legislation.

The UK government message is clear to providers and advisers – stick to recruitment the rules or their QROPS pensions will be closed down.

If you are shopping for an offshore pension, contact a regulated adviser who can offer a holistic, whole of the market service that will take a broad view of  your financial goals.

Rather than opting for a QROPS jurisdiction, like Gibraltar or Malta, draw up wholesale NFL jerseys a blueprint of how the pension should work and what benefits you expect from your investments.

Consider points like investment potential and tax interaction between the UK, Mawdesley where you will live and where the QROPS is based.

Once you have an offshore pension strategy,  the adviser should easily come up with a shortlist of suitable products.

Don’t When forget the sharks are out there – they may sound plausible but their bite out of your wallet and pension fund can be severe.