Expat retirement questions, answered

Can I still pay into a UK pension if I live abroad?

Usually yes, but with a limit. If you have no UK relevant earnings you can generally contribute up to £3,600 gross a year and still get basic rate tax relief, for up to five tax years after the year you left the UK. After that, relief typically stops, though the pension itself stays invested.

Will I still get the UK State Pension abroad?

Yes, if you have enough qualifying years. You need at least 10 to get anything and 35 for the full new State Pension. It can be paid into an overseas account.

Does my State Pension increase every year if I live abroad?

Only in some countries. It rises annually if you live in the EEA, Switzerland, the USA, or a country with a reciprocal agreement covering uprating. In Australia, Canada, New Zealand, South Africa and much of Asia and Africa it is frozen at the rate you first received.

Should I transfer my UK pension overseas?

Sometimes, often not. A QROPS transfer can make sense if you are permanently settled abroad and the destination scheme genuinely suits you. It can also trigger a 25% overseas transfer charge in some circumstances, and the expat market has a long history of expensive, unsuitable transfer advice. Get independent advice that is not paid for by the transfer.

What happens to my workplace pensions if I never go back?

They stay where they are, invested, until you draw them. Track them down while you still remember the employers. The government's Pension Tracing Service is free and a good place to start.

Can I still top up my National Insurance from abroad?

Yes, but it changed on 6 April 2026. Voluntary Class 2 is no longer available for periods spent abroad. Class 3 is the remaining route, at £18.40 a week rather than £3.50, and the eligibility test tightened from three years to ten years of UK residence or contributions.

Is it still worth paying?

For most people, yes. A qualifying year costs around £957 and typically adds a little over £350 a year to your eventual State Pension for life. On that arithmetic it pays for itself in about three years of retirement.

How do I check my record?

Your National Insurance record is on GOV.UK. It shows qualifying years, gaps you can fill and what each would cost. It takes ten minutes and most people are surprised by what they find.

Am I UK tax resident?

It is decided by the Statutory Residence Test, which looks at days spent in the UK alongside ties such as family, accommodation, work and previous residence. It is not a matter of choice or of telling HMRC you have left. The test is mechanical, and the year you move is the one where mistakes are most expensive.

Do I pay UK tax on my UK rental income?

Yes. UK rental profit is taxable in the UK wherever you live, under the Non-Resident Landlord Scheme. If you are a British citizen you can usually still use your personal allowance against it, which for a single property can mean little or no tax.

Do I pay UK capital gains tax if I sell a UK property?

Yes. Non-residents pay UK CGT on UK residential property, and you must report the disposal and pay within 60 days of completion, whether or not you file a UK tax return.

What about tax where I live?

That depends entirely on the country. Some tax worldwide income, some only local income, and double tax treaties determine which country gets first claim. Never assume that because you paid tax in one place you owe nothing in the other.

Will my overseas assets be caught by UK inheritance tax?

Possibly. The UK moved to a residence-based system for inheritance tax, and long-term UK residence can bring worldwide assets into scope. Leaving the UK does not sever the link immediately. This is an area where proper advice is genuinely worth paying for.

Can I buy UK property if I live abroad?

Yes. There is no restriction on foreign ownership of UK residential property, whatever your nationality or where you live. Mortgages are the practical constraint, and specialist lenders handle this routinely.

How much stamp duty will I pay?

On an investment property bought while living abroad, three charges stack: standard stamp duty, a 5% additional property surcharge and a 2% non-resident surcharge. On a £250,000 property that is about £20,000 in total, due at completion.

Can I get the non-resident surcharge back?

Usually yes, if you return to live in the UK within twelve months of completing. You claim the 2% back from HMRC.

Should I buy in my own name or through a limited company?

It depends on your income position rather than the number of properties. With no other UK income, the personal allowance often makes personal ownership better. With UK income, or plans to return to a UK salary, or to build a portfolio, a company usually wins. Decide before you buy, because moving a property into a company later triggers stamp duty again.

How much deposit do I need?

Typically 25% to 30% for a buy-to-let as a non-resident, sometimes more. On an off plan new build, that deposit is often built up in monthly instalments during construction rather than found as a lump sum.

Can I pay into an ISA from abroad?

Generally no. You have to be UK resident to contribute. You can keep an existing ISA open and invested, and contribute again if you become UK resident.

Will my UK investment platform keep me as a client?

It varies. Some platforms restrict or close non-resident accounts because of local licensing rules. Others are fine with it. Check before you move rather than after.

What is the biggest mistake expats make investing?

Two compete. Buying US-domiciled funds without realising the US estate tax exposure, and signing long-term savings plans without understanding the charges or the exit terms.

How much do I actually need to retire?

Work backwards from the monthly income you want rather than picking a headline pot figure. Then look at what produces it: a paid-off rental property, a drawdown from invested savings, the State Pension, or a mix. The planner on this site does exactly that.

When should I start?

Earlier is worth more than larger. The same £500 a month started ten years later produces roughly £145,000 instead of £346,000 over a 25 year horizon at 6%. Same money, same discipline, a decade of compounding lost.

What currency should I save in?

Think about what currency your costs will be in when you retire, and match a meaningful share of your assets to it. If you will retire to the UK, sterling exposure matters more than whichever currency is strong today.

Do I need a financial adviser?

For anything involving pension transfers, cross-border tax or inheritance planning, yes. Look for someone who is regulated, transparent about how they are paid, and willing to tell you when doing nothing is the right answer.