claiming my Teachers Pension from Australia

KevinJonesOz

Hi, I'm a 63 yrs old teacher, now living and working in Sydney. I've only realised recently that I could have claimed my UK Teachers Pension Final Salary (NPA 60) 3 years ago! That aside, I'm now in the process of claiming and I was wondering if you know the tax implications for the 'tax free' lump sum if I put it into my Australian bank account? I do have a UK bank account but at some I would want to bring in over, it will be in the region of 60,000 pounds. I know I can transfer it into my Australian Super account at 15% tax but wanted to reduce my tax burden as much as possible! 
many thanks

xylophone

 I've only realised recently that I could have claimed my UK Teachers Pension Final Salary (NPA 60) 3 years ago! 

A pity....

https://www.teacherspensions.co.uk/members/planning-retirement/types-of-retirement/normal-age-retirement.aspx

Once you reach your Normal Pension Age (NPA) and provided you’re out of service you should claim your benefits......... 

If you delay making your claim then your benefits will be backdated to your last day of service or when you reached your Normal Pension Age, whichever is the later. Any backdated payments will be paid as a lump sum and will be subject to tax.

https://www.teacherspensions.co.uk/-/media/documents/member/factsheets/applying-for-retirement/things-to-consider-before-you-retire.ashx?rev=09310bb9b15640b9af1333e5f403ee92&hash=7776F1F34F5525D7E8BC85CD7A6C8DB0

covers the automatic pension commencement lump sum payment on bringing the pension into payment

This may be of interest

https://www.pomsinoz.com/topic/213335-tax-on-uk-lump-sum-pension/?tab=comments#comment-2643088

and

https://jasonoconnell.com.au/explained-uk-defined-benefit-pensions/

and

https://www.directdocs.com.au/ozstomember.html#:~:text=Article 3.3 is applied to,under the UK Pension Rules.&text=In Australia, the expression "a,under the UK Pension Rules.

xylophone

Another thought, have you looked into your UK state pension situation?

https://www.gov.uk/check-state-pension

Frugalfaffing

You should be able to have your pension & lump sum  paid straight in to your Australian account. Teachers pensions have loads of overseas pensioners. 

KevinJonesOz

Frugalfaffing said:

You should be able to have your pension & lump sum  paid straight in to your Australian account. Teachers pensions have loads of overseas pensioners. 

I can get it paid straight into my account here, but I'm sure about the tax deduction at this end.

Tassie_Devil

https://www.ato.gov.au/Individuals/Super/In-detail/Withdrawing-and-using-your-super/Super-lump-sums-from-a-foreign-super-fund/

sandsy

If you are subject to Australian tax rules on your worldwide income, the tax on the lump sum will be the same whether you pay it into a UK account or an Australian account. It's your responsibility to declare it, even if you arrange for it to be paid into your UK account.