Money
Pensions and retirement savings when you move abroad
What happens to your pensions when you leave the UK or the US: the UK State Pension abroad and filling gaps with voluntary National Insurance, UK workplace and personal pensions, transfers abroad, 401(k)s and IRAs, Social Security abroad, and what the main providers let you do once you've moved.
Checked on 16 October 2026. UK figures are for the 2026/27 tax year and US figures for 2026. This is general information, not financial or tax advice. The value of investments can go down as well as up.
The short version
- The UK State Pension is paid worldwide, but only goes up in some countries. It rises each year only in the EEA, Switzerland and the countries on the DWP's list, which includes the USA but not Canada or New Zealand. GOV.UK, how your pension is affected abroad, DWP, countries where we pay an annual increase
- Filling gaps from abroad costs more from April 2026. Most people can no longer pay the cheap voluntary Class 2 for time abroad; Class 3 costs £18.40 a week and now needs 10 years of UK residence or contributions. HMRC, voluntary National Insurance abroad from 6 April 2026, HMRC, National Insurance rates, April 2026
- Your UK pensions can usually stay where they are. But several providers stop you paying in once you move, and several pay withdrawals only into a UK bank account. Fidelity, moving abroad, Vanguard, moving abroad, PensionBee, living overseas
- Moving a UK pension abroad can cost 25%. The overseas transfer charge applies unless an exemption fits, such as living in the same country as the new scheme, and the transfer is within your allowance. Since 30 October 2024, moving it to a scheme in the EEA or Gibraltar no longer escapes it automatically. GOV.UK, transferring to an overseas pension scheme, HMRC, overseas transfers from 30 October 2024
- US accounts follow US citizens abroad. The 401(k) and IRA rules still apply, US citizens can't opt out of US tax withholding on payments sent abroad, and some US brokers won't open accounts for people living outside the US. IRS, pension withholding for international taxpayers, July 2026, Fidelity, investors outside the US
- A foreign pension no longer cuts US Social Security. The Social Security Fairness Act ended the two rules that did, for benefits from January 2024. SSA, legislative bulletin, January 2025, SSA, pensions and work abroad, January 2026
The UK State Pension when you live abroad
- How much
- The full new State Pension is £241.30 a week for 2026/27. If you have no National Insurance record before 6 April 2016, you need 35 qualifying years for the full amount; everyone needs at least 10 for any. DWP, your State Pension explained, April 2026, DWP, benefit and pension rates 2026 to 2027
- Years abroad
- Time paying into an EEA country's system, or a country with a social security agreement, can count towards the 10-year minimum, but the UK pays only for your UK years. GOV.UK, new State Pension if you've lived abroad
- Claiming from abroad
- Contact the International Pension Centre, or send the international claim form. You must be within 4 months of your State Pension age to claim. GOV.UK, State Pension if you retire abroad
- Being paid
- Into a bank in the country you live in, in local currency after a 0.39% conversion charge, or into a UK bank or building society. Every 4 or 13 weeks. GOV.UK, State Pension if you retire abroad
- Yearly increases
- Only if you live in the EEA, Switzerland, Gibraltar or a country with a social security agreement that includes them; not in Canada or New Zealand. Elsewhere you won't get the yearly increases; it goes up to the current rate if you move back to the UK. GOV.UK, how your pension is affected abroad, DWP, countries where we pay an annual increase
- Your forecast
- Check how much you could get, when, and whether paying to fill gaps would increase it. GOV.UK, check your State Pension forecast
Where it goes up each year
| Group | Countries on the DWP list |
|---|---|
| EEA and Switzerland | Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and Switzerland |
| Social security agreements | Barbados, Bermuda, Bosnia-Herzegovina, Gibraltar, Guernsey, the Isle of Man, Israel, Jamaica, Jersey, Kosovo, Mauritius, Montenegro, North Macedonia, the Philippines, Serbia, Turkey and the USA |
Canada and New Zealand have agreements but are named as excluded. Any country not on the list, such as Australia or South Africa, doesn't get the increases. DWP, countries where we pay an annual increase
Filling gaps with voluntary National Insurance
- What changed in April 2026
- From 6 April 2026 most people can no longer pay voluntary Class 2 (£3.65 a week) for time abroad. HMRC's policy paper keeps it for some self-employed people covered by a social security agreement and for volunteer development workers; the GOV.UK guide doesn't mention the exceptions. HMRC, voluntary National Insurance abroad from 6 April 2026, GOV.UK, voluntary National Insurance if you live abroad, HMRC, National Insurance rates, April 2026
- Class 3
- £18.40 a week for 2026/27. To pay it from abroad you now need 10 years' UK residence or 10 years' contributions, up from 3. The GOV.UK guide words this as 10 years in a row living in the UK, or 10 years of qualifying contributions in total. Voluntary contributions paid while abroad generally don't count towards the 10 years. HMRC, National Insurance rates, April 2026, HMRC, voluntary National Insurance abroad from 6 April 2026, GOV.UK, voluntary National Insurance if you live abroad
- If you already pay voluntary National Insurance
- People already paying Class 3 can carry on. People already paying voluntary Class 2 can switch to Class 3 without the 10-year test if they apply before 6 April 2027, using the form HMRC sends them. HMRC, voluntary National Insurance abroad from 6 April 2026, HMRC, voluntary Class 3 for periods abroad, July 2026
- Paying for past years
- Normally for the past 6 years. The deadline is 5 April each year. GOV.UK, voluntary National Insurance deadlines
- How to apply
- Online or with form CF83. HMRC can't process it if you're over State Pension age or within 6 months of it. HMRC, apply to pay voluntary National Insurance from abroad (CF83), April 2026
UK workplace and personal pensions
- When you can take money out
- From 55 now, rising to 57 from 6 April 2028, unless you have a protected pension age. Finance Act 2022, s.10, HMRC, increasing normal minimum pension age, November 2021
- The tax-free part
- Usually up to 25% of each pension, up to £268,275 in all. The country you live in may tax it its own way; we couldn't find an official source on this, so check locally. GOV.UK, lump sum allowance
- Tax on income
- You may be taxed by the country you live in and by the UK. A double taxation agreement can stop you paying twice: many make a UK workplace pension taxable only where you live, though not all do. Once HMRC accepts your claim, the pension can be paid with tax code NT. GOV.UK, tax on a pension when you live abroad, HMRC, DT1926, August 2026, HMRC, PAYE81750, August 2026
- Paying in after you leave
- Tax relief on up to £3,600 a year (gross), in a relief-at-source scheme, is possible if you were UK resident at some point in the previous 5 tax years and when you joined the scheme. Whether your provider lets you pay in is another matter: see the table below. Finance Act 2004, s.189, HMRC, PTM114000, August 2026
- Inheritance tax
- From 6 April 2027, most unused pension funds and death benefits count towards your estate for inheritance tax. HMRC, Inheritance Tax on unused pensions, July 2025, Finance Act 2026, ss.66 to 71
- Finding an old pension
- The Pension Tracing Service gives you the contact details if you know the employer or provider (from abroad, +44 191 218 7777). It can't tell you whether you have a pension or what it's worth. GOV.UK, find pension contact details
Moving a UK pension to a scheme abroad
- The charge
- 25% of the amount you transfer to an overseas scheme (a QROPS), unless an exemption applies. GOV.UK, transferring to an overseas pension scheme
- The exemptions
- You live in the country the scheme is based in, or you work for an employer that sponsors it, and the transfer is within your overseas transfer allowance. GOV.UK, transferring to an overseas pension scheme, HMRC, pension schemes newsletter 164
- The 2024 change
- Transfers to schemes in the EEA or Gibraltar made on or after 30 October 2024 no longer escape the charge just because of where the scheme is. HMRC, overseas transfers from 30 October 2024
- If you move again
- Moving country within 5 years of the transfer can change the tax due. GOV.UK, transferring to an overseas pension scheme
- HMRC's list
- HMRC publishes schemes that say they qualify, but says it "cannot guarantee" they do, and that it's your responsibility to check the tax. HMRC, ROPS notification list, October 2026
Signs of a pension scam
- A cold call about your pension: it's illegal, and likely to be a scam.
- A "free pensions review", or an offer of cash from your pension before 55.
- Unusual high-risk investments, often overseas, where it's hard to check who owns what.
UK pension providers: what happens when you move abroad
What each provider's own pages say, in alphabetical order. "Not stated" means we couldn't find it on its pages: ask before you move.
| Provider | Open one from abroad | After you move | Paying in after you move | US persons | Withdrawals | Yearly charge | |
|---|---|---|---|---|---|---|---|
| AJ Bell SIPP | Not stated | Not stated on its pages; an older article mentions an international SIPP for non-UK residents, which may no longer be offered | Not stated | Not stated | Says a provider is likely to want a UK bank account | Funds 0.25% up to £250,000, 0.10% to £500,000, nothing above; shares 0.25% up to £10 a month | Go to AJ Bell SIPP |
| Fidelity UK SIPP | No: you have to live in the UK, or be a Crown servant abroad | You can keep it (implied by its article) | No | US persons can't open one; any US shares you hold are sold | Only to a UK bank account | 0.35% (or £90 a year under £25,000 without a regular savings plan), 0.2% from £250,000, nothing over £1 million | Go to Fidelity UK SIPP |
| Hargreaves Lansdown SIPP | No: no new accounts once you're tax resident abroad | Yes: no restrictions on using the account anywhere | Only while you can show you live in the EEA (or are a Crown employee); from its general account rules, not SIPP-specific | Not stated | Not stated | Funds 0.35% up to £250,000, then lower tiers; shares 0.35% up to £12.50 a month. Others report a change in March 2026: check | Go to Hargreaves Lansdown SIPP |
| interactive investor SIPP | Not stated | Not stated, but it charges non-UK residents £5 a month extra | Not stated | Not stated | Not stated | Flat: £5.99 a month up to £100,000, then £14.99 or £39.99, plus £5 a month for non-UK residents | Go to interactive investor SIPP |
| PensionBee | You need a previous UK address; it can't register you with an overseas address until you've left the UK | Yes | Yes, while you count as a "relevant UK individual" | US residents opening a new account are sent to PensionBee US | Only to a UK bank account regulated by the PRA, in your name | 0.50% to 0.95% by plan, halved on the part over £100,000 | Go to PensionBee |
| Vanguard UK Personal Pension | No: you must live in the UK or be a Crown employee abroad | You can keep it invested, with restrictions | No | Doesn't serve US persons: close or transfer it if you move to the US | It can help you take it at retirement if you hold a UK bank account | £4 a month under £32,000, then 0.15% up to £375 a year, plus fund costs | Go to Vanguard UK Personal Pension |
Sources: AJ Bell, moving abroad, AJ Bell, accessing a UK pension from overseas (archived), AJ Bell, SIPP charges, Fidelity, moving or retiring abroad, Fidelity, SIPP fees, Hargreaves Lansdown, moving abroad, Hargreaves Lansdown, SIPP charges, interactive investor, SIPP charges, PensionBee, living overseas, PensionBee, fees, Vanguard, moving abroad, Vanguard, Personal Pension
401(k)s and IRAs when you live abroad
- 2026 limits
- 401(k): $24,500, plus $8,000 from age 50, or $11,250 from 60 to 63. IRA: $7,500, or $8,600 from age 50. IRS, 2026 contribution limits, August 2026, IRS Publication 590-A
- Paying into an IRA
- You need taxable compensation. If you exclude your foreign earnings from US tax, the IRS's own pages disagree: Publication 590-A lists excluded foreign earned income as not counting, while its international IRA page says to add excluded amounts back. Check with a tax adviser before you contribute. IRS Publication 590-A, IRS, IRAs for international taxpayers, August 2026
- Taking money out early
- Before 59½ you usually pay an extra 10% tax, with exceptions such as disability, a series of equal payments, leaving a job in or after the year you turn 55 (workplace plans only), and up to $10,000 towards a first home (IRAs only). IRS, exceptions to the early withdrawal tax
- Required withdrawals
- From 73, or 75 if you were born in 1960 or later. You can delay the first one to 1 April of the next year. Roth IRA owners don't have to take them. IRS, RMD FAQs, January 2026, Federal Register, RMD regulations, July 2024, IRS, retirement topics: RMDs, April 2026
- Roth conversions
- Converting a traditional IRA to a Roth makes the untaxed amount taxable, and since 2018 it can't be undone. IRS, IRA FAQs
- Withholding abroad
- US citizens can't choose to have no tax withheld from pension or IRA payments sent outside the US. The usual rates are 10% on one-off payments and 20% on payments that could be rolled over. IRS, pension withholding for international taxpayers, July 2026, IRS Publication 575
- Living in the UK
- HMRC says an IRA payment to a UK resident is exempt from UK tax to the extent it would be exempt in the US, under the US-UK treaty. HMRC, DT19853, August 2026
US Social Security abroad
- US citizens
- You can keep getting paid while you're outside the US, in most countries. SSA, your payments outside the US, April 2026
- Where it can't be paid
- The US Treasury bars payments to Cuba and North Korea. Payments to Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan are restricted, with some exceptions. SSA, your payments outside the US, April 2026
- If you're not a US citizen
- Payments stop after 6 full calendar months outside the US unless an exception applies, and restart only after a full calendar month back in the US. Check the exact rules with the SSA. SSA, your payments outside the US, April 2026
- Foreign pensions
- The Social Security Fairness Act, signed on 5 January 2025, repealed the Windfall Elimination Provision and Government Pension Offset. From January 2024 a pension from work abroad no longer reduces your benefits. SSA, legislative bulletin, January 2025, SSA, pensions and work abroad, January 2026
- Agreements
- The US has social security agreements with 31 countries, including Romania from 1 September 2026. They stop you paying into two systems, and can combine your credits so you qualify. SSA, POMS GN 01701.005, September 2026
- Medicare
- Medicare "usually doesn't cover health care" outside the US, with a few exceptions. Plan for health cover where you live. Medicare.gov, travel outside the US
US brokers for Americans abroad
What each one's own pages say about customers who live outside the US, in alphabetical order. We couldn't find Vanguard US's policy on its own site.
| Broker | If you live abroad | IRAs | Worth knowing | |
|---|---|---|---|---|
| Charles Schwab International | Brokerage accounts "for eligible expats"; who is eligible isn't defined. Schwab One International has a $0 minimum | Not stated | Currency conversion up to 3%; not every product is available in every country | Go to Charles Schwab International |
| Fidelity (US) | No new accounts for anyone living outside the US. Existing customers can keep mutual funds but haven't been able to buy more since 1 August 2014; customers in some countries may be limited to selling | Not stated separately | It goes by where you live, not your citizenship | Go to Fidelity (US) |
| Interactive Brokers | A full list of countries it serves wasn't found | Yes, for US citizens anywhere except Australia, Canada, Hong Kong, Japan, Singapore and India | No custody fees of its own | Go to Interactive Brokers |
Sources: Schwab, US expat investing, Schwab, pricing guide, Fidelity, investors outside the US, Interactive Brokers, IRAs
Working in more than one EU country
- Your years add up
- Each EU country's pension authority has to count the periods you worked in other EU countries towards its minimum. Your Europe, state pensions abroad, September 2026
- A pension from each
- You get a separate pension from each EU country where you worked or paid in for at least a year. Apply where you live, or where you last worked. Your Europe, state pensions FAQ, Your Europe, state pensions abroad, September 2026
- The UK and the EU
- Under the UK-EU agreement, the UK State Pension continues to be "aggregated, exported and uprated". UK government, social security arrangements with the EU