Hello
Guest

Sponsored Links


Topic: Options for 401k  (Read 1385 times)

0 Members and 1 Guest are viewing this topic.

  • *
  • Posts: 43

  • Liked: 4
  • Joined: May 2016
  • Location: Oklahoma
Options for 401k
« on: June 23, 2016, 05:35:54 PM »
Hello, I was wondering what others may have done with their 401k when moving to the UK.
I'm with Vanguard thru my employer, and I also have a pension in the UK from years ago when I worked in the UK. Now planning on going back again (on spouse visa). I am 17 years from full retirement age.
Application submitted: June 20th
Biometrics: June 27th
Package in Sheffield: July 4th


  • *
  • Posts: 4206

  • Liked: 777
  • Joined: Nov 2012
  • Location: Eee, bah gum.
Re: Options for 401k
« Reply #1 on: June 23, 2016, 07:05:34 PM »
I rolled my employer 401k, managed by Schwab, into a Vanguard Rollover IRA before I moved back to the UK.  There is no tax consequence for a rollover like this, directly into another brokerage.

Vanguard allows customers to manage their IRA's once they move overseas provided that the IRA is opened before they move.
Dual USC/UKC living in the UK since May 2016


  • *
  • Posts: 43

  • Liked: 4
  • Joined: May 2016
  • Location: Oklahoma
Re: Options for 401k
« Reply #2 on: June 23, 2016, 08:22:06 PM »
thank you for your response.
Application submitted: June 20th
Biometrics: June 27th
Package in Sheffield: July 4th


  • *
  • Posts: 2638

  • Liked: 107
  • Joined: Dec 2005
Re: Options for 401k
« Reply #3 on: June 24, 2016, 09:32:12 AM »
Because HMRC might treat a rollover as UK taxable (don't worry why too much, but HMRC have a peculiar view); ideally a rollover would be made in the UK tax year before returning to the UK.


  • *
  • Posts: 428

  • Liked: 3
  • Joined: Aug 2009
  • Location: Berlin
Re: Options for 401k
« Reply #4 on: June 24, 2016, 05:51:42 PM »
Because HMRC might treat a rollover as UK taxable (don't worry why too much, but HMRC have a peculiar view); ideally a rollover would be made in the UK tax year before returning to the UK.
What is the peculiar HMRC view? I was always under the impression they took the treaty view which was that rollovers were not UK taxable.


  • *
  • Posts: 2638

  • Liked: 107
  • Joined: Dec 2005
Re: Options for 401k
« Reply #5 on: June 24, 2016, 07:44:51 PM »
HMRC now say that the US Treasury Technical Explanation is not HMRCs view, so is not binding on them.  Some (limited) published guidance can be seen on page 3 here: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/455369/Minutes_8_July_2015.pdf


Sponsored Links





 

coloured_drab