What UK pension funds may be transferred into a QROPS?

• Final Salary Company Schemes (often called Defined Benefit Schemes)

• Defined Contribution Company Schemes (often called Money Purchase Schemes)

• Public Sector Service Schemes (e.g. Doctors, Nurses, Police, Armed Forces, Teachers, Local Government and Civil Service)

• Personal Pensions including Stakeholder and Group Personal Pension Schemes

• Contracted out of SERPS (Protected rights)

• Retirement Annuity Contracts (RAC) and s32 buy outs

• Funds where income is in drawdown but an annuity has not been taken

What UK pension funds may not be transferred to a QROPS?

• State pensions

• Funds where a pension has been taken as an annuity

Do New Zealand QROPS fall within HMRC rules?

• Yes. The Government Actuary for New Zealand (David Bension) has had written confirmation from HMRC that both Kiwi Saver and Superannuation Schemes meet the conditions to become a QROPS. The GA sent a letter to all New Zealand Providers just before Christmas 2009 confirming this to be the case.
  

Is a transfer to a New Zealand QROPS always appropriate? And is a transfer to a QROPS always appropriate?

• The answer to both questions is no, not always

• Withdrawal of cash may not be the best solution or overriding reason to transfer to a QROPS

• Older pension plans may have guaranteed annuity rates that were set when interest rates were much higher than today, meaning the best advice is to stay put

• It is important to take advice from independent and regulated experts as each case is different

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