Deferring pension when moving abroad

System

This discussion was created from comments split from: Pension Help.

adindaspantai

Is there any benefit of deferring your state pension, when moving abroad outside EU, CH, NZ, CA?

From this official info from the government, it seems there is no benefit at all (?) I have misunderstood it or the wording is ambiguous ?

https://www.gov.uk/deferring-state-pension/print

"If you move to a country that is not in the list, the extra payment you get will stay the same. It will not go up or down over time" 

pinnks

The pension will be frozen but you will get the 5.8% extra pension for each year of deferral.  So, it comes back to the same discussions of those who say not to defer and those who say deferral has a place.

artyboy

Aren't those 'other' countries ones where, once in payment, the pension is frozen at the initial payment level?

If so, by deferring you would presumably get not only the deferral uptick, but also the benefit of the annual triple lock increases (or whatever it is in future) prior to taking the first payment?

pinnks

No.  You get only the deferral uplift as you are not entitled to annual uprating. 

Bostonerimus1

Inflation indexing and deferal will depend on where you are moving. So look at the list and see if there is a Social Security Agreement in place. For example there's no change from how you would be treated as a UK resident if you move to the US.

pinnks

The deferral increase is always paid but not annual uprating.