UK Pension and moving abroad

p00hsticks

phb71 wrote: »

The main downside is that if I start a new pension somewhere, compounding will start from 0 for that pension and it'll be less money at retirement of the 2 combine, is this correct?

I'm not an expert but I don't think so - if you wish to retire in (say) thirty years time, contributions that you add in ten years time will have twenty years to grow, whether you add them to an existing pension you've had for a long time or one you've just started.....

Bulgariangirl

jem16 wrote: »

Technically the answer is yes you can. However practically that might not be so simple as it's dependent on the pension and the provider.

If it's an occupational pension once you leave that employment you may not be allowed to continue contributing.

If it's a personal pension some providers will allow you to contribute whilst not a UK resident but some providers will not.

Jem16.69077887 is correct however, you can only continue paying the personal pension scheme for up to 6 months.

jem16

phb71 wrote: »

The main downside is that if I start a new pension somewhere, compounding will start from 0 for that pension and it'll be less money at retirement of the 2 combine, is this correct?

No it isn't correct.

You would also be ignoring the fact that you may get tax relief in the country you move to.

atush

All investments compound from the date invested. Period.

phb71

So it does not matter and will be the same amount of money at the end wether I have 1 vs 5 pensions scattered across the world with the same return?

jem16

phb71 wrote: »

So it does not matter and will be the same amount of money at the end wether I have 1 vs 5 pensions scattered across the world with the same return?

Exactly!...

atush

as said, exactly. Each pension will compound on it's little own.

The point is, to stop dithering and get investing lol

DonM

phb71 wrote: »

So it does not matter and will be the same amount of money at the end wether I have 1 vs 5 pensions scattered across the world with the same return?

Actually it MAY matter. Compounding itself makes no odds as mentioned but by holding multiple accounts this can lead to multiple fee and/or higher fee structures.

Usually it is a good idea to consolidate all pensions into one pot so that you have a better chance of getting a lower fee structure and it can improve the control you hold - better to have one place to check for your pension than 5 or 10 for example. Obviously check the conditions of moving a pension so that you get a good deal and are not disadvantages by any exit clauses.

atush

Except this wont pertain to the OP just yet- that bridge can be crossed later.

And sometimes you cant transfer into an employers pension in your net job.

The most important thing is to join your employers pension today, rather than flushing all that free money down the drain.