UK Digital Nomad Looking for Clarity on Personal Pension

Hey Everyone

i Have been working remotely for a few years now, since COVID. I don’t have a house in the UK any more, and have a friend’s address as my UK address.

I haven’t stayed anywhere else long enough to become resident, and am still officially resident in the UK, paying taxes there. I don’t see that changing - although I suppose it could at some point, but no plans to change it.

My current pension advisers have told me they can’t support me because I am outside of the UK, and they don’t understand the tax implications. Honestly, they are conservative, old style with no interest in supporting someone who isn’t “normal.”

My sense is I need a UK pension adviser that is more flexible, and who maybe doesn’t know that I am abroad as much as I am.

Does anyone have any information or advice on this?

I’m an older DN, so pensions etc are becoming more “real” in my world!!!

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My advice would be to check around with different advisors & providers.
Also decide before you approach an advisor if you are UK resident or Non-resident for UK tax purposes, and maintain whichever position is correct. (HMRC has a SRT flow chart if you’re unsure)
My experience is that some institutions equate “residence” with “tax residence” (which aren’t the same) and adjust their processes accordingly. Go with one that understands the difference between the two ( you can’t contribute to UK Pension or ISA while non UK tax resident, there’s no such restriction on transfers or advice, although some institutions don’t support non-resident transfers for no apparent reason.).

Hope this helps

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Thank you Peter!

When you become UK tax non resident you can continue to pay into a UK pansion for 4 years. After that you can make no further contibutions but your pension remains invested. I presume you are not yet ready to take your pension and the UK has made transferring it abroard difficult and expensive.

So all you need is advice on the investments if you are able to choose. The best platform for this in my opinion is interactive investor which always comes top on price and customer satisfaction. However you will need to check transfer fees and penalties and compare with how long you have before taking the pension as it may not be cost effective to transfer.

Hey @Fiona17, the company I work for is researching for a product to help with this scenario. Would you be open to have a call to get a better sense of your situation?

Note: it’d be more to learn more about this issue. Unfortunately I can’t offer any immediate solution but perhaps in the future.

Thanks so much - thay’s really helpful.

Yes I would be happy to do that. I have a sense there are many of us in this situation, and only going to be more in the future, and I would be really happy to chat with you.