Aussies in the UK

ozzage

Here's a hint: if you've been away for a while and kinda lost track... check up with your old superannuation if you used to work in Oz.

I did so towards the end of last year and was pleased to find out that I had nearly $30K in there. After much asking they finally sent me an annual statement yesterday and of course I've found that it's dropped since then, but more importantly I got information about where I'm invested, the fees etc.

Turns out because I'm not making contributions now I'm paying a ridiculous 3% p/a in management fees! I paid over $900 in fees last year, for very little. Quite a hit on the return :P

I've now investigated other options and can transfer to a more flexible super scheme paying only about 0.4% p/a!

I have to pay an exit fee but that will be made back within a few years of the lower management charges.

So my advice... look into what's going on with your super back in Oz if you've got one!

bendix

Ozzage . . Do you know if you can transfer that money into a UK pension scheme?

I worked in Australia for a couple of years and accumulated a small pot of around A$24,000 and it seems kinda pointless to just let it sit there growing smaller and smaller with fees.

On the other hand, I understand you can withdraw the entire sum at retirement (rather than the 25% here) and there is no requirement to buy an annuity.

They treat people like adults there, it seems.

ozzage

I'm not sure. All the info I find is about going the other way. Never seems to occur to anybody that people might move permanently from Oz to the UK instead of the other way around :P

My plan is to leave it there. Yes it's being affected by fees but actually they are quite low (well will be once I've moved my pot...) and it gives a bit of "decision making diversity" over my investments here. I expect the pot to continue to grow nicely over time.

FWIW I'm going to move into a First State super scheme, as the fees are low and I regard them highly in terms of their investment teams.