Providing information and clarity

for British Expats looking to Transfer their Pension UK Offshore


Section 615 - Retirement Benefit Schemes



A section 615 Benefit Scheme is for individuals who are carrying out duties outside the United Kingdom for a *UK company irrespective of nationality, domicile or residency. Through s615, it is possible to use longstanding provisions within UK statute to achieve tax and social cost savings in other countries.



There are broadly four categories of people who can benefit from a section 615 Benefit Scheme.


1. Any employee of a UK Limited Company whose duties are conducted wholly outside the UK.


2. Executives of multinational employers of overseas parentage with a United Kingdom presence.


3. Self employed or contracting expatriates, of any nationality, who are working in any country outside the United Kingdom.


4. UK resident Executives of a UK Limited Company who conducts specific duties outside the UK amongst their other UK responsibilities.


*For those who do not currently have a UK employment relationship in place, It is possible that can assist in forming and administering a special purpose company or alternatively, we can provide an umbrella employment company. For further details, please contact us.

What benefits does a Section 615 International Retirement Benefit Scheme offer?


For the Employee A Section 615 International Retirement Benefit Scheme offers for the first time, the following unrivaled combination of benefits:


* There is usually no tax liability to the employee.


* There are not usually any social security costs for the employer or employee.


* Pension rights may be taken entirely as a cash sum.


* 100% cash commutation by UK tax residents is tax-free.


* A minimum retirement age of 55, or earlier on leaving service.


* Individuals can select their own investment profile.


* Funds grow in a tax efficient, confidential environment.


* Employee contributions are permissible.


* Inheritance tax efficient.


* Continuity of pension contributions despite international relocation.


* Fund administration may be conducted by a number of sources.


* Generous contribution levels permitted by the Pension Scheme Office.


Most importantly of all, a section 615 International Retirement Benefit Scheme allows individuals to control and manage their exposure to local taxation and social security on their total remuneration package.


How can a Section 615 Plan Benefit the Employer?


*Section 615 schemes are surprisingly simple to implement and manage - they offer an all-encompassing solution for a multinational, mobile workforce.


*Because of the tax-efficiency of s615 benefits in the hands of an employee, the gross cost of employment is significantly reduced for scheme members. Put simply, the net benefit to a section 615 member entails a lower overall gross cost to the employer compared to a non-member (please see real life examples).


*In most countries, pension contributions are not treated as a benefit in kind for tax and social contribution purposes. By re-routing an employee's surplus of income over expenditure requirements in to a section 615 scheme, an employer will save on employer social contributions.


*Perhaps more importantly, employer contributions are allowable against Corporation Tax in the UK.


For further detailed information please contact


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