The Emigration Guide

Coping with those VIPs – your kids!

2011-03-24T04:43:00.000-07:00

So…you’ve decided to follow your dreams – or that great job offer – and move abroad! We receive many calls from anxious parents asking us how they think the kids will adjust. The good news is that they generally adjust far quicker than most adults.

The younger the child, the easier it is for them to adapt. It is generally acknowledged that children up to the age of seven are able to absorb and process what goes on around them quickly and effortlessly, and language is usually something that they are able to absorb readily and without much effort.

That is not to say that older children will not be able to cope, merely that it may require more effort on their part.

The essential thing is that you are enthusiastic about the move and that you include them in the preparations. If they think that you as a family are undertaking a huge adventure together, this will go a long way to making the move seem like something to look forward to rather than dread.

Discuss the move with them and talk about what they can expect to find on arrival. Highlight the advantages of the move and point out that family and friends are merely a short flight away and stress that holiday visits will be encouraged. And remember not to tell them this when volcanoes in Iceland are doing their worst!

Leaving friends behind is never easy but today, with the Internet and emails, it can be much easier, both for children and for you. Just make very sure that when you decide to rent or to buy a property that you have access to the Internet.

A few points for younger children:

Encourage children to learn about your new home country in advance. Perhaps get an atlas and have a look at a map. Or if you can take them to a restaurant that serves food from your new country?
If English is not the official language, perhaps a few lessons in the language of the country before you leave the UK will mean that they will have a good idea as to what is going on once they have to attend school
Provide children of all ages with a notebook that they can write down all their friend’s email addresses and contact details to take with them. You may find that the computer, with all these vital details, gets damaged in the move

Take photos of their new home and area if they have not yet seen it yet so that it looks familiar on arrival
Arrange to visit new schools and meet teachers before the first day of school. When my daughter was young, her new school always appointed a ‘mentor’ for each new child – someone in the class who had been at the school for a while and could show her the ropes. You may suggest this…?
There is nothing as comforting as a pet for younger children. Failing that, a favourite toy at hand at all times! My granddaughter had a favourite toy parrot, called ‘Parry’. As long as Parry was along for the ride all was well in her world, and she has made friends and is now thriving in Dubai. She has been transformed from quite a shy child into a well-balanced and confident one, so perhaps the move was actually beneficial
My daughter went out of her way to make the acquaintance of other mothers so that her children would have friends over on ‘play dates’, a plan that seems to have been a great success!
Each change of school means some adjusting to the school syllabus. There will be aspects your child has not covered and others where they will find themselves ahead of the class. If necessary it is essential that you either assist the child to catch up or seek help to ensure that they do not lag behind for long

For older children the road is perhaps less easy. Apart from just the language, there are the social aspects. Teenagers need validation and approval from their peers and have usually formed a group of friends from whom they get this. Leaving these friends and changing schools will be challenging.

If they have excelled in the classroom, a new language will be daunting indeed and if they excel at sports they will feel that they need to start from the beginning to find their place in the sporting hierarchy. You will need to give them support and listen to their concerns to make sure that they are coping with the changes.

I must say that in my childhood we were eternally on the move and I don’t think I suffered overly because of it. Having emigrated myself I can testify to the fact that, with time and a bit of effort, you will soon all fit in and feel at home.

Kim

The Overseas Guides Company
http://www.emigrationguide.com

Buying a home overseas – some tips for you

2011-03-17T05:14:00.000-07:00

This week I thought I would give you a few tips on buying a home overseas.

Become an information hog

There are countless sources where you can learn more about your overseas destination – books, magazines, the internet, property shows and so on. Seek out people who have made the move before you and gather as much data as possible on what to do and what not to do. Expat forums are a great place to start. Let the community know that you’re about to embark on a new journey and you could use all the help you can get … soon you’ll get the opinion of every member! Just remember to take some suggestions with a pinch of salt – if anything worries you or seems odd, seek out the opinions of others.

Decide on an area/region

This may or may not be predetermined. If you are relocating for a job, it may make this matter very easy. If you have free rein, keep your list of intentions close to hand while researching various areas.

Fine-tune your objective

By now you’ll have quite a bit of information under your belt. Write down brief details about your preferred area, type of property, number of bedrooms, maximum budget, climate, geography and every possible element you can think of. Do you want a pool, patio, garden or garage? Once you’ve nailed down your ideal home, you can then elicit the help of professionals to find it.

Contact the professionals

Contact the necessary people who can help you achieve your objective. These may include a developer, agent, private vendor, accountant, financial adviser & international payment specialist.

Book a viewing trip

Some people do not have the luxury of viewing properties before they relocate. If this is the case for you, I strongly suggest that you move overseas into rental accommodation to begin with. By doing so, you can get a feel for the various areas, listen out for potential noisy neighbourhoods and ask around as to what area will suit you best. If, however, you can get overseas for a viewing trip, make the most of your time. Prior to arrival, have the agent/developer send you the details of the properties you will be viewing. You can eliminate any properties that don’t tick all your boxes.

Research the agent/developer

The internet is a very good device for detective work. There are quite a few crooks out there, so it’s very important that you work on referrals from previous buyers, who often post their experiences online. Buying a new home in the UK is a massive project, but buying one overseas is even more momentous. Spend time making sure that you’re dealing with good, reliable, trustworthy companies. When meeting the agent/developer, ask them if you can have the details of a few previous clients to call, or wait at their offices and ask any buyers who walk in.

Analyse properties, areas and the financials

The OGC Resource Centre has an excellent worksheet that will allow you to analyse each property, area and the costs involved in purchasing a property. Just call them on 0207 898 0549 for more information.

Read the contract of sale

Don’t ever sign anything in a language you do not understand and take the time to read everything. In some countries, lawyers are not very efficient. You will need to make sure you take responsibility and ask questions. If something doesn’t seem right, find out if you can change it.

Retain an independent solicitor

This is the single most important piece of advice. Please do not fall for the developer/agents attempts to “help” you by introducing you to their lawyer, or their friend who is a lawyer. In fact, find out who your agent/developer recommends for the sole purpose of knowing who not to use. If possible, get a recommendation from someone independent.

Send money through a specialist

I’ve seen people lose huge amounts of money due to fluctuating currency exchange rates. The story is always the same … the buyer decided to buy a property in January, budgeted at a rate of X and then when they went to pay for the property a few months later, they had to find £10,000-£50,000 extra. Don’t let this happen to you!

Kim

The Overseas Guides Company

http://www.emigrationguide.com/

Buying a home overseas

2011-03-10T04:52:00.000-08:00

Should you be buying?

Selling a house in the UK is relatively easy and cheap, yet the same is not necessarily true in other countries. In some countries local registration taxes could mean that the house has cost you up to 10% more than a developer is selling the same house for, estate agents charges could be up to 10 % more and banks on a private sale may only be prepared to provide a mortgage of up to 50% of your hoped for selling price. The net result is that if you come to sell you may only be able to realize half what it cost you (assuming a stable market), or not be able to sell for a very long time. So in some countries it is probably unwise to buy if you plan to return to the UK or relocate within your chosen country. Long term rental, which is far more common abroad, may provide a viable alternative. If you do decide to buy try to ensure that it is a house that you plan to live in for a very long time, which means careful selection rather than a rushed buy, or rent first to really assess everything locally.

Decide what you want

Your intention may be to buy a property in your new destination by a certain date. But what do you actually want from your new home? Have you, for instance, decided whether to go for a new build or seek out a character property? Have you worked out how many rooms it should have and whether or not you require outside space? And have you established what functions it needs to perform for you and the rest of your family?

If you don’t know what you want, others will often make assumptions and decide for you – especially in the world of property sales. Take some time to create a wish list and another detailing the things that you definitely don’t want. The more specific you are about your likes and dislikes from the outset, the higher the chance you’ll have of finding your dream home.

Your finances

Before you buy a property you may wish to consider:

° Your maximum budget. Bear in mind that if you’re going to use the proceeds of a property sale, the amount you eventually have at your disposal in your destination currency will change day-to-day, depending on the exchange rate. It’s therefore imperative to talk to a currency specialist to ensure that your proceeds do not decrease.

° All the costs involved in buying a property at your end destination (taxes, maintenance, solicitors, fees).

° When you’ll have access to the funds needed to purchase a property.

° How to finance the property - savings, UK remortgage, proceeds from the sale of your current property, overseas mortgage, off-shore mortgage and so forth.

The overseas property buying process

Every country has a different process for buying and selling property. By understanding the process, you can ensure that things are progressing quickly and legally. Don’t fall into the trap of unscrupulous property agents/developers - there are many out there. While trying to persuade you to buy, they’ll be your best friend and make you feel like a part of the family, yet when problems arise, they’ll quickly disappear.

Note: If you haven’t yet made arrangements to move into a property in your new country of abode, the OGC Resource Centre are in touch with a number of really good property professionals in many countries, thanks to our readers and to members of our team who have themselves invested in property abroad. If you need any help here, run it by them and they may be able to point you in the right direction. Just call 0207 898 0549. There is also plenty of information relating to buying property abroad in specific locations - including France, Cyprus, Greece, Italy and Portugal.

Kim

The Overseas Guides Company

http://www.emigrationguide.com/

5 secrets to financial fitness

2011-03-03T02:53:00.000-08:00

We are constantly being told to ‘keep fit’ - here are a few secrets to your financial fitness:

Get motivated
Set yourself realistic goals and work out what you need to do to achieve them. Get a financial personal trainer (or Independent Financial Advisor – IFA) to whip you into shape. Use them to help you come up with an effective wealth and fitness program. Have a clear vision of what you are trying to achieve and make sure your game plan is always on track.

Get active
Take an active interest in your finances. Keep yourself informed. Book yourself in for a full financial health check. Regularly review your policies and investments. Make sure you know exactly what plans and policies you have and why you have them. The financial landscape is always changing…make sure your portfolio matches the market and your current plans.

Look after your health
There is nothing more important than your health. In order to earn the income you use to fuel your financial planning you need to be fit and well. Stay healthy and make sure you have planning in place to provide quality healthcare and financial security in the event of ill health.

Cut out bad habits
Just like health and fitness, a bit of discipline is necessary to get your money in tip top condition. Review your bank statements to ensure you aren’t wasting any money. Draw up a budget with an allowance for financial planning. Minimise and manage your debts. Make it a top priority to be debt-free.

Build strength and balance
Now that you’ve got the basics sorted, it’s time to make you financially stronger. Pump that financial iron! Gradually accumulate capital through regular saving. Balance your portfolio with investment in different asset classes and products with different levels and classes of risk.

Get yourself an IFA to help you achieve the maximum financial benefit for your finances, both now and into the future – the key is knowing what to do with your funds, and when. You may like to chat to the OGC Resource team about this – give them a call on 0207 898 0549.

Kim Brown
The Overseas Guides Company
http://www.emigrationguide.com/

What is the cost of living looking like?

2011-02-24T02:39:00.000-08:00

It’s no secret that the cost of living varies dramatically between countries. For instance, every country that has joined the EU has seen it’s cost of living rise quite dramatically…but then they have also seen their standard of living rise too so I suppose it’s a case of swings and roundabouts.

When you decided to emigrate I am sure that you looked at costs, including those to buy property and to move, but did you factor in the day to day cost of living? This can make quite a difference in your life style, to where you live and how you live. It would take more space than I have here to discuss each and every country in detail, but I have a few pointers that you may like to think about.

Food
In many countries, although food can be costly in the main cities it is usually much cheaper in more rural areas. You may also find that there you will be able to buy fresh produce locally, which will dramatically reduce the bills. My colleague Alexis, who has a home in France, visits the local weekly market to buy fruit and vegetables and says that the savings are quite dramatic. However it bears remembering that in, say, Greece, the islands - although many are rural - are sometimes more expensive as goods have to be shipped in. These are the things that you need to find out in advance and factor into your plans before you buy.

Utilities
The costs will vary, depending on the size of your home, how many people live there and where you are located. There may, however, be more than one provider and perhaps a comparison exercise would throw up a cheaper provider. A word to the wise here: my son has a far cheaper telephone line than mine, but there is always a problem with it…what’s the use of that? Best case scenario is that you chat to a local.

Schooling
You may find that free State schooling is available. But how good is it? And do you need to live in a more expensive or a rural area to access a better school? In South Africa for instance there are only a handful of State run schools that are rated as acceptable…and private schools really cost. This is the sort of thing that a good estate agent can give you the low-down on.

Health
You need to do your research here. Is there a State health care system that residents can use? If not you will need to pay for healthcare and this can prove very expensive. It is essential to check this out before committing yourself as this can be a deal breaker.

Transport
Costs can vary tremendously. You need to check this out carefully. In Johannesburg, South Africa, for instance there is virtually no public transport system at all. I had a bad car accident and no longer wished to drive, and it is not safe to walk…problem! Also, if one partner works and one cares for the children then you need two cars…and this cost needs to be factored in. Plus registration, insurance, fuel, garaging…

So you can see that ‘cost of living’ actually means the cost of living YOUR life. There may well be some things that are non-negotiable but there may be other things that you can compromise on in order to exchange your present life for one that you perceive to be better. The point is that you need to do your sums and take all the factors into account before deciding exactly where you are going to put your roots down.

Good luck – and please let us help you. We at the OGC Resource Centre have spoken to hundreds of folk like yourselves who are planning a move abroad. And also, sadly, those who have returned, having found that all was not as they thought it would be. Let us share our expertise with you – just phone 0207 898 0549 and have a chat.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Save yourself £1000's

2011-02-17T03:04:00.000-08:00

Let’s face it, the whole thing hinges on this. You need to make sure you have all your financial matters tied up. It is the one thing you do not want to be sorting out at a distance.

Open a specialist currency trading facility

It’s important to set up an account with a currency company to transfer any monies to and from your relocation destination, rather than using your high street bank. Don’t wait until the last minute and be forced into taking poor rates – with time on your side you will have more opportunities to secure a better rate.

Currency exchange specialists will save you money by …

- Offering better-than-bank exchange rates – on a £100,000 exchange, a currency company can save you up to £4,000 by providing better rates compared to those offered by your high street bank.

- Giving you the option to fix a rate of exchange for a currency purchase in the future. This is helpful if you know when you are moving and expect sterling to worsen against the currency of the country you are moving to. Also, by fixing a rate, you can set a budget rather than worrying unnecessarily about currency fluctuations – you will know in advance exactly how much money you have available when you reach your new country.

- Reducing or possibly eliminating receiving fees imposed by overseas banks. Some fees can be as high as £500.

- Servicing your international transfers with no fees, charges or hidden costs on transfers over £3,000.

- Streamlining regular payments at better-than-bank exchange rates for transfers such as pension, savings or mortgage payments.

There are several currency specialists, but the one that stands head and shoulders above the rest is Smart Currency Exchange. Give them a call on 0808 163 0102, or to get a currency quotation, go to: www.smartcurrencyexchange.com/smartsquotation.htm. Smart also offers an exceptional free guide plus currency worksheets explaining everything you need to know about sending money overseas. Although the guide is for people buying overseas property, anyone interested in sending money overseas would find it useful.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Moving Overseas – I can’t make that happen…can I?

2011-02-09T04:40:00.000-08:00

What is the difference between people who make their dreams come true and those who don’t? It’s not the act of making painful decisions, nor does it have much to do with having loads of money. People who live their dreams didn’t get what they wanted by selling their soul, struggling against the tide or gaining a windfall from the lottery!

Achieving the dream of living overseas is possible for anyone. Like any big project, it takes a vision and small steps that take you closer and closer to living that dream. People who have successfully made the move overseas didn’t wake up one day and think, ‘It’s official – I’m moving overseas today!’ Instead, they started with a niggle in their stomach. Something inside them felt excitement at the thought of the Mediterranean view from a Spanish villa, a field of wild flowers behind a cottage in France or a condo in America with a BBQ grill big enough to cook 100 hamburgers. And from that niggle, tiny actions were taken – one leading to another.

Sooner or later, if small actions towards a vision continue, the momentum starts to build and the vision becomes more and more achievable. Looking on the Internet for properties on Monday could lead to emailing an estate agent on Wednesday. After a phone conversation with an agent, a fact find regarding visas might follow. Then perhaps a few hours on ex-pat blogs (web journals) a month later and you will understand how to find employment. Perhaps the next step will be to visit a property show and discover finance options that you never knew were available.

When faced with a large project or massive change, many people tend to freeze and think, ‘I’m nuts. How could I actually follow that dream? I don’t have enough money…I don’t know the language…I don’t ’. These are usually the same people who have had the same job and the same complaints (about the same job) for years and years and years. These are the people that want more, constantly complain about how they deserve more, but never actually get up and take action. These are the same people who react to life and bumble along letting life take whatever course it puts on their path. Are you a bumbler? I hope not!

Why not make 2011 the year that you start taking tiny actions? Search the Internet, go to an exhibition, book an overseas visit, buy a book or create a journal outlining everything you want. You have a choice – you can focus on how miserable living in the UK is or you can put your attention on how great it will be when you are sitting in the sun, eating fresh fruit and watching your family play in the garden.

When I first had the thought that an overseas life was calling, it scared the pants off of me. I was £30,000 in debt, had no assets, no job and my destination country made it almost impossible for me move there. Added to this, there was no easy way of obtaining a visa to work - let alone stay. Objections aside, my first action was to write in my journal announcing my niggle. I wrote something like this: “I would like to meet a handsome prince [from my country of choice] who will marry me, buy me lots of clothes and pay off my debt.”

A few months later I met a guy during a networking event – he almost fit the bill. The guy was wealthy but he wasn’t a prince nor did he have all his teeth. Needless to say, within 6 months and taking a lot of small actions I sold my possessions and moved overseas. That was over 14 years ago and to this day, I can confirm it was one of the best decisions I’ve ever made.

Not only am I living my dream, but I’ve applied my small step approach to all things in my life – I now have overseas homes (yes – more than one), an amazing husband (who has all his teeth), no debt and an all round wonderful life. So – don’t be a bumbler. Start taking some small steps and discover what life abroad has in store for you!

Kim

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Non-res status: how do you achieve this? Part 2

2011-02-03T01:40:00.000-08:00

I’m back to continue our discussion on what you need to do to make sure that you have effectively cut off ties with the UK in terms of living here. You will need to do this in order to get that non-res status that will allow you to pay tax in your new county rather than in the UK.

As we discussed, the overall pattern of your life must reflect your declared non-resident status and the fact that you have left the UK for the foreseeable future. I pointed out a few measures you could take and promised I would continue with a few tips relating to tax and finances.

Tax

- Send the completed form P85 to HMRC, declaring that you are a non-resident
- You would be well advised not to return to the UK for an entire tax year if possible. This will emphasise the break in residence
- Do not return to the UK for more than 90 days a year in subsequent tax years, remembering to factor in travel days in this number. It seems they are now counted…

Finances

- Cancel all UK credit cards and reduce balances in your UK bank accounts
- Pay all UK accounts and close them. Demand evidence that they are closed in the form of a letter of acknowledgement
- Consider transferring pension arrangements overseas

Cars

- Sell your car and cancel your car insurance and subscriptions to motoring organisations

And then finally, in your new country of residence, once you have moved abroad

- Establish employment or business links in the new country if you are planning to work there
- Obtain a residence permit where necessary
- Contact the local tax authorities to inform them that you have become a resident
- Purchase or rent a property locally on a long lease and buy a car there
- Register with a doctor and dentist in your new country
- Open a local bank account
- Establish social and cultural connections in your new homeland by perhaps joining clubs etc
- Register children at schools if appropriate
- Have a will drawn up in your new country of residence

Provided you can show that your personal, financial and social connections are now firmly lodged abroad you'll have a good chance of non domicile status being accepted. Best of luck, and I’d love any input from you on your findings.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Non-res status: how do you achieve this? Part 1

2011-01-26T23:16:00.000-08:00

You would think that once you have left the shores of the UK and emigrated you would have cut the ties that bind…especially those pesky tax ties! Unfortunately it’s not that easy.

In the past, providing you were in the UK for a certain length of time only, you were no longer considered a resident. Your absence and employment from the UK had to cover a complete tax year (that is 6 April to 5 April), you had to spend less than 183 days in the UK during the tax year and your visits to the UK should not average 91 days or more a tax year over a maximum of four years.
But things have changed and HM Tax and Revenue Services are becoming far more demanding – and watchful.

Just moving overseas won't be enough to establish that you've got a new domicile. Essentially you need to show that you've severed your UK ties totally and that you are living overseas on a permanent basis. There's a burden of proof and it is not something that is easy to convince the tax man of.

So…how do you make sure that you qualify for non-resident status? A suggested checklist of what you need to do: let’s start with

Property in the UK:
-Sell your UK property or let it out for at least 12 months - do not leave it unoccupied
-If you are letting the property, ask a UK agent to deal with the property on your behalf
-Pay all property bills before you depart the UK
-Notify your house insurers that you are emigrating and adjust the insurance accordingly
-Notify your mortgage lender that you are emigrating
-Notify your local council that you no longer reside at the property
Business matters in the UK:
-Consider resigning from any UK company directorships or company secretarial positions
-Consider disposing of your UK business interests altogether
Other UK matters:
-Notify your UK doctor and dentist that you have left the UK
-Cancel your UK sporting and social club memberships
-You would be wise to appoint an attorney in the UK who is empowered to deal with your UK affairs

I am going to continue with a few suggestions next week on matters relating to taxes and finance…and more.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Now You Can Increase Your Pension Income by Moving it Overseas!

2011-01-19T06:10:00.000-08:00

When living, emigrating or retiring abroad there are very important matters to consider concerning the amount of income that you and your family will receive.

British pensions – when paying out – are now deeply unattractive. The income generated by a pension is restricted by the fund. Only 25% of the fund value is available as a tax-free lump sum. The annual/monthly amount paid is taxed at source. The pension holder is forced to take out an annuity whether they need it or not. And sadly, a major proportion, if not all, of the final proceeds on death often disappear back to the insurance company rather than going to loved ones. Add to all this the ‘black holes’ (underfunded company schemes) that abound and the situation is indeed dire.

Many people are interested in alternatives. They’d like to have the option to increase the amount of overall income they receive and to be able to leave ALL unused pension funds to their partner and/or children. Many don’t want to be forced to invest 75% of their pension into an annuity that may produce deplorable or at best limited returns.

People want to have more control over their pension pot and remove the UK governments’ ability to dictate what they do with it. In the current risky financial climate many find themselves asking, “Do I want to run the risk of my former employer screwing up my pension funds by creating a massive pension deficit that they can’t fund...and then going bankrupt and bringing down my pension fund with them?”

Fortunately, if you’re going to emigrate or no longer live in the UK, there are excellent alternatives available. In 2006 new EU legislation opened up opportunities for UK pension holders to move their pensions overseas, thus giving greater control to the pension holder. However, the UK authorities will only allow you to transfer a pension abroad if the scheme meets certain criteria. Firstly you need to be living, or going to live, abroad and secondly you must remain living abroad.

Whilst you don’t have to reside in the same country, the scheme needs to be registered with an authorised trustee within the legal jurisdiction of the country it’s based in such as Spain, America, Australia, Guernsey or Hong Kong. Also, it must be a true pension scheme, not a vehicle that simply allows pension holders to access all their funds immediately, tax free.

The benefits of a Qualifying Recognised Overseas Pension Scheme (QROPS – pronounced Crops) can be extremely advantageous. It may be possible for you to:

Eventually take out the majority of your fund by the time you reach retirement over and above the UK’s 25% threshold

Set it up so that any unused pension monies can be left to your heirs – not your annuity provider or your previous employer’s fund

Avoid UK income and inheritance taxes

Receive income in a more tax efficient manner than offered in the UK and/or have more freedom with your investments rather than having to follow set UK procedure (diversify investments)

Take income from the currency of your choice avoiding adverse exchange rate conversions

Avoid having to buy an annuity (when you die your annuity goes with you, meaning that the hard work that helped you create your pension does not get passed to your beneficiaries)

The good news is that getting a QROPS can greatly benefit anyone planning to move overseas or those who have already moved. The not-so-good news is that it takes 5 years of being a non-resident and moving the pension for a QROPS to show real benefits. That’s why it’s important to consider your options now rather than later.

After your pension scheme has been transferred and you’ve been non-resident outside the UK for 5 years the QROPS Trustee no longer has to report any withdrawals or payments to the HMRC. This is when the relevant overseas jurisdiction takes over and UK laws such as the requirement to buy an annuity by age 75 (or be faced with an 82% tax charge) no longer apply.

After the 5 years, QROPS arrangements can offer more flexibility, greater income potential and more investment potential than a UK pension. Furthermore, it’s amazing what can be done with regards to various tax benefits.

To get the full QROPS guide please email me at: emigration@overseasguidescompany.com

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

What is the cost of living looking like abroad?

2011-01-12T22:49:00.000-08:00

It’s no secret that the cost of living varies dramatically between countries. For instance, every country that has joined the EU has seen it’s cost of living rise quite dramatically…but then they have also seen their standard of living rise too so I suppose it’s a case of swings and roundabouts.

When you decided to emigrate I am sure that you looked at costs, including those to buy property and to move, but did you factor in the day to day cost of living? This can make quite a difference in your life style, to where you live and how you live. It would take more space than I have here to discuss each and every country in detail, but I have a few pointers that you may like to think about.

Food
In many countries, such France and Portugal for instance, although food can be costly in the main cities it is usually much cheaper in more rural areas. You may also find that there you will be able to buy fresh produce locally, which will dramatically reduce the bills. My colleague Alexis, who has a home in France, visits the local weekly market to buy fruit and vegetables and says that the savings are quite dramatic. However it bears remembering that in, say, Greece, the islands - although many are rural - are sometimes more expensive as goods have to be shipped in. These are the things that you need to find out in advance and factor into your plans before you buy.

Utilities
The costs will vary, depending on the size of your home, how many people live there and where you are located. There may, however, be more than one provider and perhaps a comparison exercise would throw up a cheaper provider. A word to the wise here: my son has a far cheaper telephone line than mine, but there is always a problem with it…what’s the use of that? Best case scenario is that you chat to a local.

Schooling
If you are moving within the EU you may find that free State schooling is available. But how good is it? And do you need to live in a more expensive or a rural area to access a better school? In South Africa for instance there are only a handful of State run schools that are rated as acceptable…and private schools really cost. This is the sort of thing that a good estate agent can give you the low-down on.

Health
EU countries have a State health care system that residents can use and that EU visitors can access for emergency health care if they have a European Health Insurance Card (EHIC). Other countries vary so you need to do your research here. Otherwise you need to pay for healthcare and this can prove very expensive.

Transport
Each and every country has a different transport scheme (or not…be warned!) and costs vary tremendously. You need to check this out carefully. In South Africa for instance there is virtually no public transport system at all. Plus it is not safe to walk…problem! Also, if one partner works and one cares for the children then you need two cars…and this cost needs to be factored in. Plus the registration, insurance, fuel, garaging thereof…

So you can see that ‘cost of living’ actually means the cost of living YOUR life. There may well be some things that are non-negotiable but there may be other things that you can compromise on in order to exchange your present life for one that you perceive to be better. The point is that you need to do your sums and take all the factors into account before deciding exactly where you are going to put your roots down.

To buy a copy of the Emigration Guide go to: http://www.EmigrationGuide.com/guide.htm

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Do you sell or do you rent your UK property when you emigrate

2010-12-16T05:38:00.000-08:00

I was thinking about a very contentious issue last night, and it’s this: given that prices on house sales have dropped considerably in the UK, is your best bet to sell your property if you decide to move abroad, or would it be better to rent it out? The latter does mean that if, for what ever reason, your move does not go according to plan you haven’t burnt your boats completely…not a bad idea in my book.

Let’s say you decide to rent it out: two more decisions are paramount.

Firstly, furnished or unfurnished?

If you are me, then you want to take all your precious things with you. If you are most people, you will be delighted to leave them behind and completely refurnish abroad. First prize would of course be that you leave all your furniture in your home. You rent it out furnished and then, with the proceeds from the rental, you have enough to rent and buy new furniture abroad, and save yourself a bundle in shipping costs…but it doesn’t quite work like that.

Furnished properties need to be furnished to a very high standard, and all soft furnishings need to be certified as fire resistant. On top of that you may not get much extra rent on a fully furnished property. I know when I rented here in London the rent was the same furnished or unfurnished…

You do need by law to leave a few things behind for your tenants however; things like a stove, fridge, washing machine and garden tools/lawn mower if they will be looking after a garden. This adds to the list of things you have to pay to repair and maintain, but frankly I think that new electrical appliances are best bought in the country you are moving to.

And then…Letting Agents?

A letting agent will find tenants for you, arrange necessary maintenance, repairs and inspections, and generally look after your property. You’ll pay for the privilege of course – 10-15% plus VAT of the rent your tenant pay will go straight to the letting agent.

You do need to keep on top of things with your letting agent, for a number of reasons, which I am going to detail next week.

Just let me end by popping one further thought into your head: if you are emigrating abroad and wish to establish non-residence status in the UK, just moving overseas won't be enough to establish that you've got a new domicile.

Essentially you need to show that you've severed your UK ties totally and that you are living overseas on a permanent basis. There's a burden of proof and it is not something that is easy to convince the tax man of. If you are retaining your property you need to be aware of this: a long-let is advisable and perhaps you would be wise to consult with HM Tax and Revenue Services and/or a lawyer to make sure that you conform to requirements so that you don’t find yourself with a vast tax bill!

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Check out your estate agent or developer before rather than after buying

2010-12-08T06:31:00.000-08:00

If you need to buy a property during your emigration process, one of the most important elements is to ensure that the estate agent or developer that you're buying from runs a reputable and honest establishment.

Often buyers get caught up in the excitement of the purchase and fail to do the necessary homework. My in-laws decided that since their developer was German, he was an efficient and trustworthy builder. That couldn't have been further from the truth.

If they had simply asked around or even done a search on the Internet, they would have found complaint after complaint about this man. And with a bit more digging they would have discovered that he's been taken to court on several occasions.

Don't let this happen to you!

Many buyers feel like they are beholden to the developers or agents – this is NOT the case. You should be in control…and to be in control, you’ll want to take responsibility and determine if the particular developer or agent is going to service you in the best possible way.

Listed below are ways that you can check up on your developer or estate agent.

1. Enter the developer or agents name into the Google search engine. Sometimes you'll get the best results if you put the name in "quotes" such as "XYZ Developers"

Click through every link that mentions the developer in question. You might come across articles or postings that report problems or issues that other buyers have experienced. On the other hand, you might also find testimonials or good reports.

Within Google, you can also go to Groups and enter 'Greek Property' or check out Yahoo! Group. This is a place where people post information about experiences, questions or issues they've experienced.

Check out any chat rooms, forums or message boards that discuss your location or area of choice.

Bad developers/agents cannot hide when it comes to the Internet...If people are upset, they will go to any lengths to help other people to avoid the same problems.

2. If you're buying on an estate that has people who have moved in already AND you have the ability to visit the estate, why not post little flyers through the door saying:

"Hi! We might be neighbours soon...I'm interested in buying on this estate, however before I make my decision, I am interested to know if you've experienced any problems with the developer or agent. If you wouldn't mind, I would be so grateful if you could simply answer the following questions and email them to me at:

* Was the property completed on time?

* Is the quality up to standard?

* Did you have any issues?

* What is the traffic noise like?

* Add more questions that interest you...

Thank you in advance,

HOWEVER, keep in mind that people that have purchased have egos and in some circumstances they will feel compelled to give you the rose coloured picture rather than tell you what truly happened.

As with all your research, don't listen to just one source.

3. Ask for referrals from your agent and if they don't have any, treat that as a major warning sign.

4. Ask the locals what stories they've heard. If something bad happens, the word often spreads quickly. Don't be afraid to ask your waiter/waitress or a news agent.

As with everything, take what you hear with a pinch of salt. You might happen to ask a relative of XYZ builder about them and they'll say that they're the best...

Or perhaps you're chatting with someone that considers XYZ Estate Agent to be terrible, however if you dig a bit you'll find that the owner is an ex-boyfriend. Hell hath no fury and all that!

You know what I'm trying to say...so I won't harp on about it. Just keep your wits about you...

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Emigration: Healthcare Part 2: Non-EU countries

2010-12-02T04:18:00.000-08:00

Just to round off our discussion of medical care around the world if you should chose to move abroad:

USA
Unlike other developed countries, the US does not have a universal system of healthcare coverage - it is up to individuals to obtain health insurance. What that means to you as a new arrival or a part-time visitor/tourist is that it is absolutely essential to have medical insurance when in the USA.

American residents with a green card aged 65 or over can sign up for the government-run Medicare scheme, and low-income parents, children, pregnant women and people with certain disabilities are eligible for the government-administered Medicaid programme. The US government also runs the State Children's Health Insurance Program (S-Chip), which provides coverage to children whose parents are on modest incomes, but not poor enough to qualify for Medicaid. Military veterans are also provided healthcare by a government-run scheme.

Australia
Medicare Health Care System was introduced in Australia in 1984. Medicare facilitates access to all eligible Australian residents for free or low-cost medical, optometric and public hospital care, while leaving them free to choose private health services should they so desire.

Individuals’ financial contributions to the public health care system are based on their income and are made through a taxation levy known as the Medicare levy. People admitted to public hospitals as Medicare patients receive treatment by doctors and specialists nominated by the hospital. They are not charged for care and treatment or after-care by the treating doctor. Private paying patients in public or private hospitals on the other hand can choose their own doctor.

Medicare pays 75 per cent of the Medicare schedule fee for services and procedures provided by the treating doctor. For patients who have private health insurance, some or all of the outstanding balance may be covered. Medicare Australia also pays pharmaceutical benefits under the Pharmaceutical Benefits Scheme, which subsidises an agreed list of prescription drugs. For both medical and pharmaceutical services, safety net arrangements exist to make sure patients who need a high level of treatment or medication during a financial year do not incur significant out-of-pocket expenses. Out-of-pocket costs are the difference between the Medicare benefit and what the patient is actually charged.

The Australian Government has signed reciprocal health care agreements with the governments of the United Kingdom, the Republic of Ireland, Finland, Italy, Malta, the Netherlands, Norway, New Zealand and Sweden. Visitors from these countries are eligible for Medicare assistance for medically necessary treatment only. If hospital treatment is required, such visitors are eligible for treatment only as Medicare patients and not as private patients. Other visitors are not eligible for Medicare and should arrange for health insurance to cover their stay in Australia.

South Africa
South Africa's health system consists of a large under-resourced and over-used public sector, under pressure to deliver services to about 80% of the population and a smaller but fast-growing private sector. This private sector is run largely on commercial lines and caters to middle- and high-income earners who tend to be members of medical schemes (18% of the population), and to foreigners looking for top-quality surgical procedures at relatively affordable prices.

It is virtually mandatory to have a private medical aid either through your employer, who shares the cost with you, or individually. State hospitals are appalling – take it from one who knows. As a tourist or émigré, you would be well advised to get medical insurance cover.

New Zealand
Under the public healthcare scheme in New Zealand, a certain degree of care is offered free to its residents and to those with work permits that allow them to temporarily reside in New Zealand. The hospitals are publicly run and treat citizens or permanent residents free of charge. Waiting times for non-urgent care can be fairly long and many patients are going private in order to be treated faster.

To benefit from the public health system in New Zealand, you must hold a permanent resident visa, be a resident of the country or hold a work permit for two years at the time of application. To check your eligibility, please take the test at http://www.moh.govt.nz/ . If you meet the criteria, your partner and children aged 19 years or under will also be eligible for publicly funded healthcare. If you do not meet these requirements, you have to take out a private health insurance in New Zealand or before departure from your country of origin, either if you plan to stay or if you are just visiting.

The current system, funded by taxes, includes free prescriptions and treatments at public hospitals, free x-rays and laboratory tests when carried out from public hospitals or clinics, free service charges for pregnant women, free dental care for children at school age, and free breast screenings for women aging fifty above. The other free services offered are subsidised GP referral visits, free treatments for patients suffering with chronic conditions and subsidised prescriptions for children six years old and younger.

The EHIC or European Health Insurance Card
In 2006 the E111 form was phased out and replaced by the free European Health Insurance Card (EHIC). Also called the EU Medical Card, it gives details such as your name, date of birth and National Insurance number. The card lasts for 3-5 years and entitles you to receive free or reduced-cost emergency healthcare if you or any of your dependants are suddenly taken ill or have an accident when visiting countries with reciprocal health agreements with the UK (European Union countries plus Iceland, Liechtenstein, Norway and Switzerland).

You should obtain a European Health Insurance Card (EHIC) before leaving the UK – you have to present this to get free or rebated medical expenses as mentioned above. The EHIC is available free of charge through most UK post offices or apply online at www.ehic.org.uk You can also contact them on 0845 606 2030 and get them to send you one. Every family member (individual traveller) needs their own card - that includes children – and you will need the name, date of birth and NHS or national insurance (NI) number of everyone you are applying for.

Only state-provided treatment is covered, and you'll receive treatment on the same terms as 'insured' residents of the country you're visiting. Private treatment isn't covered, and state-provided treatment may not cover all of the things that you'd expect to receive free of charge from the NHS.

That’s it – I hope this has helped. I am afraid that in future and to save escalating costs only those resident in the UK or in emergencies may be treated under the NHS scheme – something to think long and hard about.

Kim
The Overseas Guides Company
http://www.Emigrationguide.com

Healthcare Part 1 – the EU countries

2010-11-25T03:28:00.000-08:00

I received a very interesting question recently, one that I thought I might address on this blog as I’m sure many will be interested in the answer: it deals with medical coverage in countries abroad.

The writer says that “A subject which I need to address is a medical one as I am diabetic and require medication which at the moment I get from the N H S. Could you please tell me where I can find out which countries I could live in and still get NHS-funded treatment without returning to the UK every 3 weeks?”

I am assuming that this person means funding by the British National Health Service and this being the case, the quick answer is “none”. Once you leave the UK to reside elsewhere permanently you are no longer permitted to use the NHS. In future, because of spiralling costs, this is going to be far more strictly regulated than it is at present.

HOWEVER, the EU countries and Switzerland have national health systems that provide free or low cost health care for those contributing to their social security systems plus dependants. The system also caters for pensioners and this includes those from other EU countries.

If, as a EU member country resident, you are visiting the country, you will be able to access emergency care on showing your EHIC (European Health Insurance Card). For details of the EHIC please see below. UK nationals over 60 and for some people who qualify for invalid benefits will need the appropriate form (E121 or E106) to access free health care.

Comparisons, they say, are odious, but I recommend that even within the EU you look very carefully into the level of medical care compared to the NHS before you move. Don’t sign buy a property abroad and later find that there isn’t a doctor or hospital within miles for instance. There are many English-speaking and foreign doctors in resort areas and major cities of many countries but not necessarily so in the more rural areas. Find out if there are expats living nearby and try to find out what they think of the local medical facilities – or maybe your estate agent can help here?

I am going to outline very briefly a number of options on offer in a few of the more popular countries chosen by Brits for emigration:

Greece’s public health system (IKA) is more or less indicative of EU medical offerings and provides free or low cost health care for those who contribute to Greek social security, plus their families and retirees (including those from other EU countries). Members are charged 25 per cent of the actual cost of prescriptions, although there are higher charges for non-essential medicines plus substantial contributions for many services, including spectacles, dentures and other treatment.

Pensioners who intend to take up residence in Greece and who are entitled to free medical treatment in the United Kingdom also enjoy this facility in Greece. They should take the form E121, which is issued by their local Department of Health Office in the United Kingdom before relocation, to their local IKA office.

A person who was unemployed in the UK and coming to look for work in Greece is entitled to free medical treatment in Greece if he/she produces form E119 to their local IKA office. This should also be obtained before leaving the UK - it is issued by their local Department of Health Office in the U.K. In both the above cases IKA will exchange the form for a medical booklet.

But here is the worrisome factor: Novo Nordisk, a Danish company and the world's leading supplier of insulin for diabetics is withdrawing its state-of-the-art medication from Greece.

A spokesman for the Danish pharmaceutical company said it was because the price cut by the Greek Government would force its business in Greece to run at a loss – and it is already owed so much money by them.

Spain
As with the UK, Spain has a national health system which provides services as detailed above for Greece.

France
If you live AND work in France you will need to affiliate as a resident and in this case you should make provision to contribute financially. As a retiree you can affiliate to the system using an E121 form via the Caisse Primaire Assurance Maladie (CPAM). You can get this form from the Dept. for Work and Pensions (DWP) in Newcastle upon Tyne (take a look at www.dwp.gov.uk) As long as you are in receipt of the state pension in the UK this form will be valid.

Once you get to France you should take this form, along with proof of residence in France and a form of identity, to your local CPAM office. Most towns in France have this office but if in doubt, ask at your local mairie. Once you are affiliated to the system you will be issued with a Carte Vitale (green card) which you have to take with you when you visit the doctor or hospital.

For those under retirement age, it is not possible to affiliate to the French system unless you have an E106 form, again available from the DWP. This is relevant for those who are not planning to work in France and is valid for up to 2 years, after which it is wise to take out private health insurance until you reach state retirement age or you are there for 5 years, after which you will be able to affiliate to the system.

Many French citizens "top up" their state benefit so that they can have full use of the system as, unlike in the UK, in France treatment (whether private or public) is not free at the point of delivery. Even if you subscribe to the Sécurité sociale, on seeing a doctor or specialist (specialiste) you first pay the full bill (tarif) and are then reimbursed at a later date (about 10 days). Generally speaking, Sécurité sociale refunds 70 per cent of the cost of a visit to a médecin traitant (a GP or family doctor) and most specialistes.

Next week I will outline a couple of non-EU countries and tell you how they work.

Kim

The Overseas Guides Company
http://www.Emigrationguide.com

How to successfully adjust to your new home overseas! (excerpt taken from Emigration Guide)

2010-11-17T04:14:00.000-08:00

It is only natural to feel strange and a little alienated initially. If you have children you will have a distinct advantage: you can volunteer to help at school, offer lifts to your child’s classmates, take children to activities and get into conversation with other parents at the school gates. If you are able to find work, even if it’s just part-time, you’ll find adjusting to your new environment and making friends far easier.

Joining a club – tennis, golf, bird-watching or whatever takes your fancy – is a wonderful option and you’re likely to meet like-minded people if you follow your hobbies and interests.

Here’s an example of the kind of activities on offer to help you settle into your new home, courtesy of one of our readers in Cyprus, although it could apply to expats in any destination:

“If you like dancing, there’s ballroom and Latin, rock ’n’ roll, line dancing and country to name but a few – and of course, karate, judo, tap dancing, jazzercise … the list goes on. Football is the country’s favourite sport and rugby is available too. You can also learn to sing by joining one of several choirs, or maybe even learn how to build a traditional stone wall. If you don’t want to join a club, then it’s worth putting your time to use as a volunteer - anything from helping in a charity shop to assisting with building a new playground for children at the general hospital, or taking disabled people shopping.”

I love the enthusiasm shown by this reader – I can only believe that she has made a whole group of new friends with an attitude like that.

Sources of information and support

Check out the Embassy, Consulate or official website of your new country before leaving the UK.

Make contact with the UK Embassy when you arrive in your new country. They sometimes plan get-togethers for expats at various times, such as to celebrate the Queen’s birthday.

Try to meet other expats from the UK who will be able to give you the low-down on the local area and help you avoid the pitfalls they ran into when they first moved.

A few more ideas to help you settle in

Access to a telephone is a must. Just to hear a friend or family member’s voice from back in the UK makes such a difference. Mobiles are all very well for local calls, but become expensive when making calls abroad, so do check when you rent or buy that there is an existing land line. This is also essential for internet access.

You should also try to create a comfortable home as soon as possible, with all your familiar bits and pieces around you, plus familiar possessions for your children, if you have them.

If you’re not moving to an English-speaking country, learning the language and familiarising yourself with the culture can go a long way to making you feel at home. Indeed, taking language lessons is a great way to meet new people. It’s best to make a conscious effort to be laid back and tolerant of people’s differences. You may find when you move that things are done differently, so remember that you are the visitor.

It’s worth paying a courtesy call to your new neighbours – they will appreciate it and it is essential to be on friendly terms with them if you want to be part of the community. You also never know when you may need their help. Don’t hesitate to ask them for guidance. People are usually only too pleased to help and thrilled to be asked. But remember small rural communities can be slow to welcome “outsiders”.

Try to have fun and keep busy. Find activities such as sports clubs, dance classes, Rotary, volunteering, music clubs or bands. Alternatively, take an online degree, write a novel, take up photography, paint, find an amateur dramatics society or join a gym.

And finally, if you can, take some time off when you first arrive in your new country before starting a new job. Spending a few days unpacking and discovering your local shops and amenities with the whole family is more fun than going straight into work or leaving one partner to do it all alone.

With any luck, before you know it, you will look round and realise you feel completely at home!

Kim Brown
The Overseas Guides Company
Have you been to the main website yet? http://www.Emigrationguide.com

Beating the tax man when moving overseas

2010-11-10T03:46:00.000-08:00

I think you will agree with me when I say that, on planning to move abroad, keeping the taxman happy can be very important. Recently a good friend of mine left South Africa without actually going through the emigration process - and therefore the final tax process too. His wife has a British passport so there was no problem when it came to moving to Britain, but the problem has arisen now that his mother has died and he wants to transfer the balance of his inheritance to the UK.

If he had officially emigrated this process would have been comparatively easy and much more tax-friendly but, since he did not do so, it has become a highly complex process. Plus of course, there is the added problem of trying to get things done from a distance. It took me a full month of visits and endless phone calls to tax and government offices in America before I finally had all the papers I needed to formally emigrate – I don’t want to think of the frustration and the cost of trying to do this from abroad. Quite apart from anything else, it was a personal relationship that I forged with one of the people in the tax office that finally ‘cracked the case’!

You obviously need to make sure in your own mind that you intend to remain abroad, but once you are absolutely sure of this – as I was – you need to go into all the tax implications of your move in order so that you get the most possible value from your savings.

You may be surprised to hear that many Brits end up actually paying more tax than they need to when they emigrate. It’s all down to exactly when you leave the country. I was surprised to learn that you may even be owed a refund: it has something to do with unused allowances and varies by the month, peaking for lower income earners in July and higher earners if they leave in August. You need the input of a good IFA (independent financial advisor) to make sure that you time your move correctly.

I am not a tax expert and you need to take good professional advice, but did you know that there is a completely legal way to save on Capital Gains Tax (CGT) when you come to sell your property/properties? If you have rental or holiday properties as well as the home you live in, the real saving comes if at some stage you have used the property as your Principal Private Residence or PPR. Principle Private Residence relief means you don't pay CGT on gains you make when selling your main home - and you can also make use of it for other properties you own too.

You can still benefit from PPR by using your rental or holiday properties as your main home at some point before you sell it. This will give you the last three years worth of growth free from CGT as well as the period in which you live there. HM Revenue and Customs does not specify how long you need to have lived there, but may ask for proof such as phone and utility bills, electoral address etc.

If you let the property out at some stage you will be entitled to up to £40,000 letting relief against your capital gain and this is available for each owner - so if it is in joint names, this doubles to a maximum £80,000. However, letting relief is only applicable to properties which have at some point been your main home.

Legal fees and stamp duty count as part of the cost of buying a property, as do selling costs such as estate agent fees - and these can be offset against any gains. In other words, any costs incurred in the buying of the property (lawyer’s fees, surveys etc.) plus in the selling of the property such as agent’s fees are taken off your capital gain before taking any CGT allowances into account. This can be further lowered by calculating the costs of any capital improvements.

If any significant alterations have been made to the property while you have owned it, the cost of these can also be taken off the gain. Minor things like painting and fixing a broken window do not count though. Again, expert advice would be welcome here: the rule of thumb is keeping every receipt!

Also, remember that if you have let your property as a corporate rental to a trading company or business, you may qualify for the much more generous business asset taper relief, giving you a 75% discount on your capital gain after only two years.

I know that much of this may be ‘slamming the stable door after the horse has bolted’, but if you are taking a long term view of moving abroad you may still be able to use this info. Once again, it’s all down to planning and homework. Not a minute of the planning I did was time wasted and, in the end, it allowed me to move seamlessly and with the minimum of trouble.

Before moving overseas it’s important to prepare! Start the emigration process off on a solid footing – get your Emigration Guide today at: http://www.emigrationguide.com/guide.htm. The Overseas Guides Company, is dedicated to helping people make educated and safe decisions when buying overseas property and moving abroad.

Kim Brown
The Overseas Guides Company
Visit my website at: http://www.emigrationguide.com/

Moving abroad with or without your children

2010-11-04T04:24:00.000-07:00

One of the most important aspects of a move abroad is your children and their happiness, so you need to plan well in advance. If you want your child to be able to return to the UK eventually to finish their schooling, you will need to make sure they keep up to the required educational standard.

Children often settle into a new place better than most adults. Generally they make friends and pick up new languages much more quickly than their parents. They, however, do need to hear about the move from you early on in the decision-making process and to be included in conversations and decisions about the move. You will need to be confident and upbeat about the exciting journey ahead of you. If you have misgivings, keep them to yourself, or your children will pick up on them.

If your child is staying in the UK, make sure you:

Arrange boarding school places well before you move - most have very long waiting lists.
Appoint a legal guardian that the school can contact locally in emergency.
Give your child a mobile phone with numbers inserted of locally resident family and friends.
Give someone locally a cash fund for emergencies.
Inform the school of the names of any adults permitted to take the child off school grounds for days/weekends away.
Arrange an account at a stationery and/or bookshop for any schooling requirements.
If your child is moving with you, you will need to:
Sort out school registration in your new country well in advance. You will need to take this into consideration. If you are in contact with an estate agent or developer they may be able to advise you of good schools or put you in touch with clients who have previously moved to the country you’re moving to. Otherwise the local UK Embassy of your chosen country may be able to help, or the British Embassy in your new country. Expat websites are good points of contact and people are happy to help, since they probably experienced the same problems themselves when they first moved. There are international schools in a number of countries and some countries have English language schools, usually near big towns. Bear in mind that these can be expensive and you will need to consider where you will be living in relation to the school’s location.
Find out if your child is up to the required standard in your new country – and get extra lessons if not. Ideally you should enrol the child in language lessons before setting off and if you all did it as a family this could be viewed as an adventure.
Take along school reports from the past year if you still have them and give them to the child’s new school, as this will give them an idea of your child’s capabilities.

Before moving overseas it’s important to prepare! Start the emigration process off on a solid footing – get your Emigration Guide today at: http://www.EmigrationGuide.com/Guide.htm

Kim
The Overseas Guides Company
Visit my main website at: http://www.emigrationguide.com/

Setting up permanent residency in a new country

2010-10-26T02:25:00.000-07:00

I was chatting to an elderly lady at the bus stop a few days ago: “I have lived in Fulham all my life” she told me, “and so did my mother.” It’s not every day you hear that anymore. How many people these days remain in the area where they are born, with their family living close by, I wonder? Not many would be my guess.

Moving, especially moving abroad, presents many challenges and raises many obstacles. How does one set about deciding to move abroad, and if you do move, how do you set about making sure you can stay there permanently if you so desire?

Most countries apply formal controls on the movement of people across their borders, both for political and economic reasons. Some countries actively encourage controlled migration on the basis that an influx of skilled people is of benefit to the country. Others – such as the USA – find that they are inundated with people wanting to pour across their borders. So…will YOU be welcomed? Countries generally encourage migrants who fall into the following categories and arrange the visa process around these requirements:

Family: people reuniting with family members
Professional skills: people who are given permission to enter the country on the basis that they have qualifications and experience which are in demand
Business: Entrepreneurs, experienced executives or self employed people who are able to set up a business or make a financial investment in their new country

The first decision that needs to be made is whether to apply for a temporary or a permanent visa. For some, the security that a permanent visa offers is massively important and they will have no trouble in deciding that this is the choice for them. But for others, breaking their ties with the UK is a really scary concept and they would prefer to ‘test the water’ so to speak – for these people the temporary visa may seem a better option. We are talking about the lucky few here of course, those who actually have choices.

Most people will be forced to choose the visa that fits in with their particular set of circumstances. This being the case, it’s always helpful to know what your options may be.

Temporary Visa Class

If you are applying for a temporary visa to a country that requires your personal set of skills then you are likely to be doing so either via a business or an investor visa. Bear in mind incidentally that there is a chance that the temporary visa can be changed to a permanent one at a later date – if this is your intention you need to make sure of this upfront.

The time limit on a temporary visa varies from country to country, but can be as short as 2 years. During this time, as a temporary resident, you’ll usually have many of the same benefits as a permanent resident, but of course you will need to renew your visa before it expires.

As a former resident of the UK, you will be entitled to emergency medical care in your new home only if the new country has a reciprocal health care agreement with the UK. In EU countries this is relatively easy with your EHIC but you need to be aware that in many countries – South Africa springs to mind - you will need to be covered by private medical insurance of some sort.

Generally you won’t be entitled to social welfare and won’t be able to vote in your new country. You will be taxed on any income earned there however and, if you’re still being taxed in the UK, you will need to go into the tax situation in some detail. Some countries have an agreement with the UK whereby any money taxed there is not taxed in the UK – the assistance of a tax expert would be advisable in this respect.

The OGC Resource Centre team have a number of highly recommended tax experts that they could put you in touch with – just give them a call on 0207 898 0549.

Permanent Visa Class

To obtain a permanent visa for most countries you generally require either specific and very desirable skills or sponsorship, either from an employer or from family who already reside in your country of choice.

Permanent skill visas are usually points assessed and if you have the correct number of points, you have a good case for a visa. If you’re applying through the family sponsored scheme, there are normally certain criteria that will need to be met.

Arriving as a permanent resident has huge advantages, not the least of which is that you’ll be starting a period of time in the country that will count towards your citizenship. It also means that you’ll be able to access almost all of the services and rights that are available to citizens, with the exception of the right to vote. One of the most important advantage is medical care, providing that your new country has good medical care for its citizens of course. It may also make a difference if you are going to be looking for a job once you arrive: no one gives the best jobs to someone they regard as a temporary staff member.

Choosing the Correct Visa Class

How do you know which visa is right for you or indeed which visa you have an option of applying for?

I would suggest that the first port of call should be the embassy of your new home in the UK, either in person or on the Internet. Or you could speak to a migration agent – there are many of these and if you could possibly get a personal recommendation to one this would be helpful. They cost a bit but it may well be money well spent as they know the ropes and can steer you in the right direction.

If temporary residency is the only choice you have, and you want eventually to change this to a more permanent status, you will find that in most countries this can be arranged. Having said that, there are a few visas in the USA for instance that, although they can be continually renewed, offer no chance of permanent residence. You need to be aware of these restrictions in your country of choice before spending vast sums of money on what you hope will be a permanent move.

And remember, don’t be afraid to obtain a permanent visa if you can. It doesn’t mean you can never come back to the UK: it just gives you the option of staying in your new country for as long as you wish and could lead to dual citizenship, which also has a number of benefits.

Kim Brown
http://www.EmigrationGuide.com

Reasons to Emigrate

2010-10-19T06:39:00.000-07:00

In a survey recently carried out it was found that 31 percent of those questioned cited the poor state of the British economy as the reason that they were thinking of emigrating, with 23 percent blaming the lack of job prospects and a further 19 percent saying that they had concerns as to whether the new government coalition could effectively manage to run the country.

Over the years we at the OGC must have spoken to thousands of people who were, or are, planning a move abroad. In the course of the conversation I am always very interested in finding out exactly why it is that people want to quit these shores. What I have found is that there are a number of reasons that most people seem to have in common:

Climate
The endless grey, chilly winters and the unpredictable summers that fly by almost unnoticed come top of most people’s reasons for wanting to leave the UK.

Community spirit
Many people have told me that they long for a time when neighbours were friends and doors could be left unlocked with no problem. People really miss the community spirit that somehow seems to be lacking in parts of the UK yet still seems to exist in many other countries abroad.

Outdoor Activities
When my kids were younger, all that excess energy was worked off at the end of the school day with mandatory sports at schools throughout the country. The climate makes this impractical here, but not only are outdoor activities good for you but they are such fun and a wonderful way for families to do things together – it’s just so much easier in sunnier climates.

Children's welfare
Many people have complained to me that the UK is a very sophisticated, materially driven society and that they worry about the opportunities and choices their children will face (or the lack thereof!) as they get older

Property costs
Even with the recent drop in property prices in the UK, you get far more for your money abroad.

Work opportunities
The perception seems to be that people with skills are welcomed abroad and jobs are more readily available.

Transport
The recent tube strikes plus the threatened BA strikes each holiday season have really highlighted the drawbacks in the transport system in the UK, a system that many claim to be the worst – and most expensive - in Europe. This makes commuting really tiresome and adds hours to an already long working day.

Public behaviour
A complaint I hear often is that people are fed up with the increasingly rude, aggressive and loutish behaviour in the UK. This seems to be a growing concern.

I suppose the grass is always greener on the other side but I do know of a number of people who have relocated and couldn’t be happier. My colleague and her husband now live in France and are a case in point - they moved fairly recently and absolutely adore everything about it.

Other friends of mine were not so fortunate…I think that you need to do your homework really thoroughly and not rush into anything. Many people have made happy and successful lives for themselves abroad and there is no reason why you should not be one of them. Planning and ample forethought will guarantee you a successful move, and please remember that the OGC is ready to help where they can.

Happy planning and warm wishes from me,

Kim Brown
http://www.emigrationguide.com

The Key to Emigration is Planning

2010-10-13T05:38:00.000-07:00

It’s been quoted that forty percent of people who move overseas move back within 12 months. The return to the UK occurs for reasons such as health matters and being homesick, however the largest cause comes down to poor planning!

Over 11 years ago I emigrated and more recently I watched my in-laws experience an overseas move that was fraught with financial, legal and health difficulties. If they only knew what they didn’t know!

With my experiences and the inherent lack of proper planning associated to migrants, I recently set out to create a comprehensive guide and tick list to assist people through the emigration start-to-finish journey. Creating the list has been no small feat – my inventory of to-do’s is in the hundreds and still growing! At first, I felt overwhelmed by all the information and steps involved. I also found myself frustrated by the fact that one small step, if missed, could cause stress, substantial financial losses or even unnecessary failure.

Throughout my research several often overlooked steps, or options, caught my attention - especially the multitude of financial elements to consider. There are many things that should be researched before moving abroad, but to highlight a few, it’s important to consider overseas banking issues, the best way to move money internationally and pension considerations.

Opening an Overseas Bank Account. As soon as possible, visit your current bank to find out if they have offices located in your overseas destination. If they do, getting a bank account abroad may be as simple as setting things up from your current UK bank. Failing that, some international banks with offices in the UK offer migration accounts. These accounts allow customers to se tup an account in the UK for use in the overseas destination. Additionally, in city centres throughout the UK, there are various overseas banks with local UK branches – for example, there are Bank of Cyprus offices in London and Birmingham. Taking the small step of opening a bank account can help to establish a bank/credit history and ultimately provide peace of mind that there is physical cash available for you at your overseas destination.

Moving Money Internationally. There are international payment specialists that specifically help people to save larges sums of money throughout the UK bank to overseas bank money transfer process. Charles Purdy of Smart Currency Exchange Limited explains that his organisation ‘saves clients up to £4,000 on every £100,000 moved over using the High Street bank.’

Mr Purdy, however, outlined that ‘the largest saving comes from creating a strategy to mitigate the inherent risks involved when changing Sterling to another currency.’ It’s important to realise that the value of any amount of money transferred into Euros, US$, AUS$, CAN$ or any other currency will change every few seconds. The key step is to make sure that the change isn’t a drastic decrease in value. It’s advised that you contact a payment specialists 3 – 6 months before moving money overseas.

Pension Options that Pay. British pensions – when paying out - are now deeply unattractive. The income generated by a pension is restricted by the fund. Only 25% of the fund value is available as a tax-free lump sum. The annual/monthly paid is taxed at source. And sadly, a major proportion of the final proceeds on death often disappear back to the insurance company rather than going to loved ones.

In 2006 new EU legislation opened up opportunities for UK pension holders to move their pension(s) overseas enabling greater control to the pension holder. The mechanism is called a Qualifying Recognised Overseas Pension Scheme (QROPS). There are a wide range of benefits, but to list the key points, a QROPS may allow a pension holder to:

- reduce or eliminate certain taxes including income and death taxes
- move funds into higher interest bearing accounts
- take out lump sums over the UK’s 25% threshold and finally
- receive pension payouts in the local currency so to avoid currency fluctuations
- leave the full pension to heirs – not the government or an insurance company
- avoid being forced to take out an annuity

The emigration journey can be fun, exciting and very rewarding. Taking the time to plan and understand all the options will, however, increase the chances of a success.

Kim Brown
http://www.emigrationguide.com

My Top 10 Reasons to Emigrate

2010-10-05T05:15:00.000-07:00

Trawling through the Internet, I picked up on an article on the top reasons that people emigrate. Reading through their list, there were some that coincided with the reasons I had for moving abroad, but many that didn’t. And my guess is that everyone’s list would differ slightly…Here is mine - tell me what you think. Are these much the same as you would give for planning such a dramatic move?

1. Move to be near family: Actually, without wanting to appear overly sentimental, this would probably cover at least one through five for me! As far as I am concerned, there is nothing more important than family. I decided to move back to the land of my birth in a heartbeat because my children had moved here

2. Move to a family-orientated area: Strange as it may seem, I find my London district far more family orientated than South Africa, where I had to padlock the door behind me when I got home. Here we have an annual street party and people greet one another at our local corner shop or as they walk their dogs – or cats! Italy, Greece, Spain – people have given the same reason to move to these countries…

3. Safety: This is a difficult one to explain to those who have not actually felt threatened on a regular basis. I am blown away daily by the fact that I can stroll along the Thames, here in London, without having to cower when I hear running footsteps behind me – it took me a while to adjust!

4. Public transport: Coming from a country with absolutely no public transport, you will seldom hear me complain about tubes and buses here. I had a nasty car accident a while back that left me very reluctant ever to drive again. This meant that, before I moved, I was a virtual prisoner in my own home. Now, with my beloved Freedom Pass, I am as free as a bird!

5. Health care: You won’t hear a word of complaint about the much-maligned National Health Service from me. I am sure that there are many justifiable complaints, but I have not experienced anything but wonderful service and massive help and support. As one gets older this is an absolute must…

6. A caring society: I personally find it strange that people in the UK are not grateful for the many opportunities they have available. By this I mean help with getting jobs, job-seekers allowances, dole, NHS, help to get qualified for a job, council houses and so on. Where I come from there is absolutely no help AT ALL – you could starve in the street and no one would notice

Do my reasons to move have any similarities with yours? Why don’t you do what I have done: put a list together and see what is REALLY important to you? Will the country of your dreams fulfil your expectations? It may be a good idea if you can to go to your dream country and stay a while before committing yourself to a permanent move. Perhaps go on to an ex-pat website and ask what those who have moved feel – will it be as you think it will?

I had friends who moved from South Africa to Canada – the wife wanted to be nearer her sister. To do so they had to leave an older married child behind, he had to close his legal practice and they had to find schools for two kids in Canada. They returned to SA a year later, financially far worse off than when they left and with one child having chosen to remain behind in Canada. Not what you might call a success story…My move however has been utterly successful, and so can yours be – you just need to give the matter sufficient thought.

I’d love to have your thoughts on this – take care and I’ll be back soon!

Kim
http://emigrationguide.com/

Find a Good and Trustworthy Developer

2010-10-05T05:14:00.001-07:00

Chatting to people about buying property abroad, I find that one of the main concerns is how to chose a good and trustworthy developer if you are buying off-plan.

This problem has been made worse by the current economic climate – many developers are going under, and sometimes taking unwary buyers and their dreams with them. It is therefore absolutely crucial that you have a really god look at the credentials of your developer before signing on the dotted line..

An email that I received recently bears this out. It tells of the endless problems encountered by one of the OGC readers who had failed to do his homework – and he really paid a heavy price, both in financial terms and in the stress that such things bring with them.

The property he bought was about one third completed at the time he paid his deposit to the developer. All went well until the house was ready for the final finish and, at this point, the developer sacked the builders and employed his own low paid and unskilled labour. The result was that the finish was very poor and, although the complex was completed, only 7 or 8 properties have been sold to date.

Financial penalties for late completion were not paid although there was a six month delay. The unhappy owner only discovered when it came time to address this problem that his solicitor also represents the developer!

All this could so easily have been avoided. I am going to outline a few essential and non-negotiable points for you to think about:

- If possible, move into rented accommodation nearby BEFORE you plan to buy and chat to locals about the developer/s you are thinking of buying through

- Search the Internet for expat forums on your town or city of choice. Some highlight poor practices and name and shame shoddy developers

- Google in the name of the developer you are thinking of using and see what comes up

- Get a developer that is a member of a regulatory body if at all possible

- Consider using a reputable estate agent instead of going to the developer direct – to protect themselves they will have done the checks

- Insist on visiting a couple of the developers’ previous projects and on talking to previous buyers

- Retain a solicitor independent of the developer so that there can be no conflict of interest

- Make sure your solicitor draws up a contract that protects YOU

- Make absolutely sure that the developer’s financial staged payments (stipulated in the contract of sale) require you to pay according to completion of build stages and not simply by date

- Buy a bond or take out insurance to protect yourself if the developer goes bust or there are any major issues with the build

- Take your time and refused to be rushed

If you follow the above to the letter the chances of anything going wrong will be dramatically reduced.

Chatting to someone in the property business abroad, she told me that she was stunned by how many people simply abandoned all the normal checks and balances that they would apply if they were buying property in the UK – don’t be one of them!

Speak to you soon – and I’d love to hear from you.

Kim
http://www.emigrationguide.com/

A Few Thoughts on Retiring Abroad

2010-10-05T05:13:00.001-07:00

This may or may not apply to you, but if it does, it’s worth thinking about it carefully. Retiring is a whole new ball game as our friends across the pond would say, but to up sticks and retire abroad – well, that takes courage.

There is a whole rather comforting discipline to working – love it or hate it, it does fill the day and give an order and a structure to one’s life. Moving abroad is a huge psychological ask at any time but add to that the utterly new dimension of retirement after perhaps a lifetime of work and it means enormous changes to both your lifestyle and your mindset. There is no reason at all that you should not be utterly happy abroad – provided you have done your homework and planned well in advance.

One tends to become a little more cautious as one gets older and, although making a big life change can be exciting and refreshing, making prior arrangements for pretty much everything will stand you in really good stead and give you a feeling of control. So what are the most important considerations for a successful retirement abroad? Here are a few thoughts:

Finance

- Before you go, make sure all your arrangements for your pension, investments and any income are properly in place. I strongly advise seeking guidance from an Independent Financial Advisor (IFA). Expert help in formulating the plan that takes into account your own personal set of circumstances is essential and you may well save yourself on tax/transfer costs etc.

- Set up an account with a currency company if you need to transfer funds abroad – it will save you a great deal of money over your high street bank. Go to:
http://www.smartcurrencyexchange.com/
for more on this

- Sometimes bureaucracy abroad can be a little intimidating so make use of a translator with things like setting up direct debits/ understanding bills etc.

Family

If you are close to family you need to know that frequent visits are possible. Think carefully about the location of your new home; you are likely to have far more contact if the journey is relatively easy and not too time-consuming. Being close to an airport for instance will make more frequent visits possible.

Another tip is to make sure you are set up for email and/or a webcam so you can not only talk to your loved ones but see them at the same time.

Structuring your new life abroad

Think ahead a little and aim to have some sort of project or plan perhaps medium to long term. Most of us need to have some sort of structure to our days and retirement is no different.

Active retirees generally have a far happier and more fulfilling life; working in the garden, perhaps tackling a crossword each day, learning the language or taking the dog for a walk will all stand you in good stead for a peaceful and healthy retirement. And dogs make new friends for you too!

You might want to give yourself a geography or history lesson: perhaps to visit a new town each month and find out all about it. Hopefully you will feel enriched by what you see, may well meet new people and will also be keeping fit!

Your new community

As soon as you arrive, make an effort to chat to your neighbours and keep an eye open for any clubs/associations/groups. Most villages abroad have thriving communities and you are more than likely to find a few fellow Brits too! So take some time out at the beginning to meet and greet, get out and about and take advantage of any advice your new neighbours may be willing to give you. Even if it is not something you find useful, you will have made a new friend!

The future

Your house needs to be easily maintained and the smaller the garden the less lawn that needs mowing! You might want to consider somewhere with few stairs for example or somewhere with the possibility of converting one of the downstairs rooms into a bedroom at some stage. And again, think about the location of your new home: that rural retreat may be beautiful but a little bit of village life with reasonably close transport may well be a Godsend. Also consider medical requirements: is there a doctor/hospital nearby, just in case?

Hope this has given you food for thought! The weather has been great all week so let’s hope that the weekend stays good for a change!

Bye for now and best wishes until next time,

Kim
http://www.emigrationguide.com/

Finding your Dream Home Abroad

2010-10-05T05:11:00.000-07:00

Are you off to have a look for your dream home? And have you decided where to buy? Someone I was chatting to a few days ago was telling me that her dream had always been to live on Lake Como but that George Clooney et al had put paid to that!

And I suppose that price-wise Lake Como is a trifle out of most ordinary people’s price range now. The presence of Clooney plus folk like Sting caused a boom in the market that caused a 25% rise in prices in little over two years. Forget the global housing crash, prices here aren’t going to drop any time soon, with demand from wealthy Milanese and financiers and bankers based across the Swiss border still buying in the area, plus Hollywood’s elite baying at the gates!

But, as I said to my friend, don’t give up hope if the area you love is beyond your price range. Many people have found that you don’t necessarily need a movie star’s bank balance to pick up a property on or near the Lake. And the same thing applies worldwide. If you find that the area you love is too expensive, have a look nearby. For instance in Spain, prices are at a premium near the sea, especially around the Costas – Costa Brava etc.. Just a few kilometres inland there is a dramatic drop in property prices – the same applies to Portugal and the Algarve area. A few miles back from the water or in the lesser known western area of the Algarve prices are considerably lower.

What I am trying to point out is that sometimes you need to move only a short distance away from the really expensive areas to find places that are still within your price range. And sometimes circumstances change.

In Greece for instance I know of a new coastal development in Messinia in the southwest Peloponnese, one of the most enchanting coastal landscapes in the Mediterranean. On completion, Costa Navarino will have 5-star resorts, luxury high-end residences, state-of-the-art conference facilities, world-class spa centres and golf courses. Now, the point is that I feel sure this will raise the property prices in the area and getting in early may just be a good idea. So do your homework and take advice from locals. But don’t necessarily buy from them – this then becomes a conflict of interest that many people have been tricked by…!
So…as I have indicated before, it’s all down to good planning and research. Plus of course a really good estate agent can prove invaluable. Good luck!

Until next week.

Kim

How difficult is it to Emigrate to Australia?

2010-09-24T05:40:00.000-07:00

It’s no surprise in these economically challenging times that many Britons are considering moving to pastures new. In a survey conducted by a currency company recently, 75% of those questioned were considering moving abroad and, for many, Australia is their country of choice. So how difficult is it to emigrate to Australia? And what exactly do you need to do to ensure that the process of getting there is as quick and as trouble free as possible?

A visa system is in operation in Australia for all but New Zealand citizens. You need to lodge your application with the Department of Immigration and Culture (DIAC) under one of their visa programs, and pay the applicable fee.

Australian immigration and visa regulations are amongst the most complex in the world, and they are constantly changing. Mistakes in your documentation or application may mean that your visa is either delayed or even rejected altogether. That’s why many people prefer to use a specialist emigration company; their knowledge and experience can prove invaluable, but this comes at a price. Fees can range from around £500 to £2,000.

There are a number of visa options to choose from:

Skilled Visas
With this visa applicants must be able to satisfy skill requirements. Points are granted for qualifications, work experience, employer references etc.

Working Visa
Managers, qualified professionals and skilled trades’ people are especially in demand.

Working Holiday Visa or Travel Visa
This applies if you are between 18 and 30. It permits you to travel within the country for a year and to work on a temporary basis only.

Family Visa
If you have an Australian partner or members of your immediate family are permanently based in Australia then you may qualify for one of several family visas. Under this option, potential migrants must be sponsored by a close family member living in Australia. There are 4 schemes to choose from and the sponsor must be either an Australian citizen, permanent resident or an eligible New Zealand citizen of 18 years or older.

Business and Investment Visas
If you have had a successful business career either at a senior executive level or as an owner of your own business you may qualify for this option. There are 4 schemes available under which a business applicant may apply.

Sponsored Work Visas
If you are an employee who is head-hunted or moved to your company's Australia office then this will apply.

Retirement Visas
For this visa, you’ll need to be financially secure. Retired people may also choose to work part time if they so wish, so there is a degree of built-in flexibility.

Once DIAC has assessed and processed your application, they will ask for police clearance (provided by The Association of Chief Police Officers in the UK) and medical checks for you and your family here in the UK. Then hopefully you are on your way!

Carol Dunning
http://www.emigrationguide.com

Pensions when moving abroad

2010-09-17T09:07:00.000-07:00

Hello – and how are you?

It’s been a lovely quiet week for me. However, the weekend is looking busy, with ‘Satchmo Remembered’ at the V&A Café on Friday – Louis Armstrong’s music. And then on Saturday I am going to see what is described as a top-notch comedy cast of Mackenzie Crook, Ralf Little and Olly Alexander as a trio of slackers who spend their days loitering outside a Vermont coffee shop. All this at the tiny theatre at Shepherd’s Bush. It’s great ‘cos you can actually lean out and touch the actors should you so desire – I won’t – I promise! I saw the lovely Joseph Fiennes here – it’s a great venue and my son is joining me so that should be enormous fun.

So – are you still thinking of buying a home abroad? And are you actually going to be moving permanently? Reason I ask is that today, with our finances sorely strained as they are, it’s important to know how this will affect taxation on any pension you may receive from the UK.

Once you're a resident abroad what you need to ascertain is how your new home country and the UK will divide up the tax. Even if you are a non-resident of the UK, you are taxed on income earned in the UK – and this includes any pension emanating from the UK - but does that mean that you end up paying twice?

This is where those vitally important Double Tax Treaties (DTT) come into play. There are specific provisions in Double Tax Treaties that can impact on this, and in particular there is a distinction made between government and non governmental pensions.

You would need to review any applicable Double Tax Treaty between the UK and your new country of residence very carefully before rather than after moving: any relief available depends upon the terms of each DTT. And of course you will need to know exactly how to set about making sure that you do the right thing to avoid any duplication of tax. If a benefit applies you can then make a claim with HMRC for the pension to be paid either:

- Without tax deducted
- With tax deducted at a reduced rate of tax as laid down in the DT Treaty

You should take expert and detailed advice on this – if you need help finding a reputable IFA (Independent Financial Advisor) please call the OGC Resource Centre on 0207 898 0549 and they will help to find one. I think it’s really important to think about this before you even think of moving –after all, you may be reliant on your pension income and you need to budget well in advance.

I will chat to you next week: winter is just around the corner and already it feels to me that the colder weather is on its way. I am looking forward to a holiday I have planned in sunny Morocco in October…!

Best wishes,

Carol and Kim

Emigrating Overseas?

2010-09-10T08:54:00.000-07:00

Hi there: how are you? Summer seems to be receding further and further away…roll on my holiday to Morocco in October, where the weather no doubt will be lovely!

I have been chatting to a number of people recently about emigrating: many are the reason they give but one of the chief ones seems to be lack of employment here in the UK. When you hear news like social housing firm Connaught, which employs 10,000 people, going into administration on Wednesday it is food for thought indeed. But the question is: will it be any easier to find employment abroad - and how will you set about doing this?

First, the nuts and bolts. EU citizens are not required to have a work permit in order to work in the EU. However, you will need proof of residency once you do get a job. To do this you usually apply to the Immigration Department. Non-EU citizens are generally required to have a work permit and a residence permit in order to be employed abroad and can be a harder nut to crack.

There is no doubt about it: first prize is either to get a transfer abroad via your present form or to line up a job before you move. You may think of contacting the local embassy of the country you are thinking of moving to for assistance, or perhaps find yourself a blog or Internet site that deals with getting jobs in the country you are planning to move to.

If that fails, what next?

As an English speaker, the first job that springs to mind is that of teaching English – of course this only really applies in countries where the first language is not English.In most countries there is a desire to learn English, not the least as it is generally considered the business language of the world.

While still in the UK you can search for teaching jobs in publications such as the TES (Times Educational Supplement) and the Guardian EFL pages on Tuesdays. Alternatively, certain ESL (English as a Second Language) websites like ESL employment and tefl.com can be useful. Upon arrival you can try local newspapers or perhaps employment agencies or international companies. Some British Council offices are helpful too as they produce lists of local schools and can point you in the right direction.

Tourism is another promising field of employment that you could try; jobs here are mainly available in the summer. You may think that this sort of work won’t pay the bills for ever but at least you can be looking around while earning a few cents.

For business related opportunities, the bigger cities should be your focus.

How to seek out jobs:

English periodicals. Here you will find a selection of jobs from teaching to secretarial, advertising and sales
Job agencies, especially in the larger cities. Remember to have your CV and references to hand
Ask around - try that friendly shop owner, or pop into an Estate Agent...if they don’t have anything, they may know someone who has. Personal contacts can be very helpful when looking for a job
Contact working expats, either personally or through the Internet: they have been where you are and may well be able to help
Place ads in papers, bar notice boards, at the golf course, in shops etc.

Other options:

A large number of UK recruitment agencies have permanent bases abroad – ask large employment agencies in the UK before you move if they have an office in the country you are moving to

Try informal methods of recruitment such as word of mouth, networking and speculative applications, especially for small and medium-sized companies.

Self-employment

If you are an EU national or a permanent resident with a residence card you can work in a EU country as a self-employed person or a sole trader. As such, you must meet certain legal requirements and register with the appropriate organisation.

Getting started in your own business

Just a few very basic points:

If you plan to run your own business, give careful consideration to where you will be living in relation to your customers
Make sure that you are doing something that is different, something that will benefit your potential customers and make them more inclined to deal with you
Be sure that there is enough demand for your product or service and that there are sufficient customers to keep you in business
There are very few businesses that are profitable from the start. It’s therefore very important that you budget for start up costs and that you have sufficient funds to keep you and your family going until the business starts to make a profit.

Need any help at all? The friendly team at the OCG Resource Centre chat to people moving abroad on a daily basis and may be able to help. Call them on 0207 898 0549 - there is no cost or obligation at all and you may find just the information you need.

I hope this has given you a few ideas. I’d love to hear if your plans include working abroad and, if so, what your strategy is?

In the meanwhile, I am going to get back to my job of happily tapping away on my computer in the good old UK! Take care until next week,

Carol and Kim.

2010-09-03T02:34:00.000-07:00

Hey there – how are you? I am off to an outdoors Blues concert tonight…very brave of me I might add! The last one I attended saw me sitting like a ghostly wraith in the pouring rain, in a waterproof poncho thoughtfully provided by concert hosts. It was most enjoyable but did I ever get the mother and father of all colds! Wish me luck tonight…

A question I am often asked these days by people who are moving abroad is this: exactly when are you considered to be a UK resident, or to turn this question on its head, when are you considered a non-resident? This has become one of the most controversial and worrisome aspects of emigration recently, largely due to the tax implications that accompany it.

Evidently, according to a recent Court of Appeal decision in the long drawn out Gaines Cooper saga, it is no longer enough to conform to the rules as laid down by HM Revenue & Customs. These laid down that, to prove non-residency, you needed only to show that you didn’t spend more than 90 days a year on average in Britain over four years.

Now the taxman is allowed to scrutinise in more detail whether non-residents have made what they consider to be enough of a break from the UK.

So…how do you make sure that you qualify for non-resident status?

In most EU countries an individual is not considered a resident unless 183 days are spent there each year. In the UK, it is 90 days on a rolling four-year average, although you can spend up to 183 days in any given year. Things like visiting offspring or grandchildren in the UK will count toward your 90-day limit. Incidentally there are dispensations if you are visiting someone because of an emergency. If a member of your family is terminally ill for example, you may be able to stay for more than the average 90 days over four years. However, you would not be able to stay for more than 183 days in any given year without risking your status.

But this is no longer the only criterion; continuing connections with the country will now be taken into account, and this can be a very grey area.

Keeping a house or a car in the UK, maintaining membership of a private club, or even regularly attending social events such as Royal Ascot or Wimbledon can now be used against you in terms of proving your non-resident status. Needless to say, this new vigilance has largely been brought about in an effort to check up on those seeking to avoid the new 50% tax rate imposed on the super-rich.

Individuals must prove an intention to leave the UK permanently or indefinitely. Recent Court decisions on residence tend to be in favour of HMRC and there is no doubt that they are actively pursuing cases where, in its view, the taxpayer has not done enough to demonstrate that they have ceased to be UK resident.

What does this mean to you? Well, the bottom line is that you need to sever as many ties with the UK as possible. It is no longer sufficient just to stay abroad for the obligatory period and tally up days spent in the UK. You have to be able to demonstrate a complete break with the country.
To do this you may want to consider adopting the following measures:

Property in the UK:

Sell your UK property or let it out for at least 12 months - do not leave it unoccupied
If you are letting the property, ask a UK agent to deal with the property on your behalf
Pay all property bills before you depart the UK
Notify your house insurers that you are emigrating and adjust the insurance accordingly
Notify your mortgage lender that you are emigrating
Notify your local council that you no longer reside at the property

Business matters in the UK:

Consider resigning from any UK company directorships or company secretarial positions
Consider disposing of your UK business interests altogether

Other UK matters:

Notify your UK doctor and dentist that you have left the UK
Cancel your UK sporting and social club memberships
You would be wise to appoint an attorney in the UK who is empowered to deal with your UK affairs

Taxes

Send the completed form P85 to HMRC, declaring that you are a non-resident
You would be well advised not to return to the UK for an entire tax year if possible to emphasise the break in residence
Do not return to the UK for more than 90 days a year in subsequent tax years, remembering to factor in travel days in this number

Finances

Cancel all UK credit cards and reduce balances in your UK bank accounts
Pay all UK accounts and close them. Demand evidence that they are closed in the form of a letter of acknowledgement
Consider transferring pension arrangements overseas.

Cars

Sell your car and cancel your car insurance and subscriptions to motoring organisations

In your new country of residence - once you have moved abroad:

Establish employment or business links in the new country if you are planning to work there
Obtain a residence permit where necessary
Contact the local tax authorities to inform them that you have become a resident
Purchase or rent on a long lease a property locally and buy a car there
Register with a doctor and dentist in your new country of residence and open a local bank account
Establish social and cultural connections in your new homeland. Perhaps join clubs, register children at schools etc.
Have a will drawn up in your new country of residence

What you need to do is make sure that you have effectively cut off ties with the UK in terms of living here. The overall pattern of your life must reflect your declared non-resident status and the fact that you have left the UK for the foreseeable future.

Carol
http://www.emigrationguide.com

Am I Making the Right Decision to Move Abroad?

2010-08-27T03:13:00.000-07:00

I have just been chatting to a local London friend of mine on the phone. “Are you missing your South African friend now that she’s returned home after her two week stay?” was her question to me. I found it difficult to answer – yes…and no! Truth is I am utterly exhausted - I fair wore myself out!

There is so much to do in London: I have a friend with a longboat so we sailed from Windsor to Hampton Court – it was wonderful. We also attended a colleague’s hen party and behaved rather badly! Plus saw Martin Shaw in a play at Richmond, went to the musical ‘Wicked’, paid a fiver to watch ‘The Merry Wives of Windsor’ at the Globe and attended a memorial to ‘The Few’ of the Battle of Britain outside the Churchill War Rooms which ended with a fly past of a Hurricane and a Spitfire: what a way to end two weeks of London fun. I now need a holiday…!

Talking to my friend, I was trying to persuade her to move abroad. She’s quite keen but scared of the unknown factors…and who of us who have moved weren’t? Most people have the idea and the initial spark, but soon lose their drive. These are the people live to say “If only” in their old age! Then there are those who have the passion and desire to carry their plans to fruition…but inevitably, at some stage, find themselves stopping to catch their breath and to wonder if they are making the right decision.

An OGC reader I spoke to, when planning her move abroad, found exactly that: “I spent all my spare time planning, preparing and ticking off endless lists. After a few months I felt overwhelmed – was I merely caught up in ‘living the dream’ or did I truly understand what lay ahead? And how could I make sure that I wasn’t making a big mistake?”

I have chatted to people who have found that the move wasn’t right for them and they moved back to the UK almost immediately – at massive cost needless to say. So how do you make sure that the decision is right for you?

One way is to ‘play house’ at your overseas location. Try to make arrangements to stay for as long as possible on your next visit. Then plan to experience the place as someone who lives there would. This means that, rather than staying in a hotel, you rent an apartment or a villa or – first prize - do a house swap. Instead of visiting the main attractions, check out all the things that the locals do. Go grocery shopping, look at employment adverts and do everything you would normally do if you were moving from one town to another in the UK.

My afore-mentioned OGC reader decided to book a two week trip to her intended relocation destination. Although she had spent several holidays there, she had never done so with the intention of one day calling it home. She said it was the best decision ever: “By spending two weeks in my future town I was able to better set my expectations. I visited the doctor, paid a visit to a community centre, made enquiries about a local art class and made sure to eat most of my meals at home. By the end of the two weeks, I realised that some of my expectations were a bit too high whereas others were too low. Overall, the holiday gave me what I needed to get back on track.”

You might want to test public transport to see how reliable it is, stroll through the area at different times of the day to listen out for noise, buy the type of groceries you normally purchase to determine if they are available and at what price – and definitely check out health services. How far away are they and will they cater to all your needs?

By giving yourself time as a resident rather than a tourist, you will get a more realistic idea of daily life in your desired location. Of course there will be pros and cons but, without experiencing life as a local, you will be making the move without knowing exactly what those pros and cons are. The more you match your requirements and your expectations to your overseas destination, the less likely you will be to ask, “Am I making the right decision to move abroad?”

Carol
http://www.emigrationguide.com

Cashing your pensions when you emigrate

2010-08-20T05:37:00.000-07:00

Hey – how are you today?

I am still racing around London showing off my ‘home town’ to my South African friend! The highlight of this week is going to be the Spitfire and Hurricane fly-past over Whitehall at 4pm, Friday 20th August 2010, commemorating the 70th anniversary of the Battle of Britain. The flyover is preceded by a reading of Winston Churchill's speech outside the Churchill War Rooms at 3.52pm.” Never in the field of human conflict...” and all that! I am really looking forward to it.

Many people today are becoming more and more concerned about their pensions. I am often asked if it is advisable to cash in a pension on leaving the UK. To this I reply that your best recourse is to speak to a fully conversant IFA (Independent Financial Advisor) – I don’t pretend to be an expert on these matters. The OGC Resource team may be able to help you here – give them a call on 0207 898 0549 and they may able to give you a name of a recommended professional.

What I would say however is this. You need to check whether the country you are moving to has a social security agreement in place. If they have then you can actually have your UK pension paid directly into an account in your new country without any charge at all.

If you leave your pension in your UK account, you’ll need to declare this and pay tax on any increases on your pension scheme on your UK tax return.

You may on the other hand want to think about transferring your UK pension into a Qualifying Registered Overseas Pension Scheme or QROPS. This means that if you put your cash here it no longer falls under HMRC rules, but you must leave it untouched for five years. After this time, you can take the entire amount as cash, without the significant tax deductions you’d face taking it as cash when or before you move.

If you do take it as cash when you move, only 25% is tax free and the rest will be highly taxed, so you need to really think this through. If you want to take up this option you will need to contact the International Pension Centre and let them know:

- The date you are due to leave the UK
- Details of any dependents moving with you
- Whether you receive a pension from any other country
- Your residency type – permanent or temporary
- Where you will be living abroad
- Your new banking details

You can contact the International Pension centre for further advice between 8am and 8pm Monday to Friday on phone number +44 191 218 7777

If there is any chance that at some time in the future you may want to return to the UK, frankly you would be better off leaving it here. It can be complicated to transfer it back on your return to the country so again you would be wise to consider taking the advice of a financial advisor before you decide on this.

I hope you find this helpful; there is so much t think about when you consider emigrating and my hope is that perhaps from time to time I am able to draw your attention to something that may have slipped your mind or that proves helpful!

‘Til next week, have a happy time!

Carol.
http://www.emigrationguide.com

Mortgages – you need a degree to decide…!

2010-08-13T03:03:00.000-07:00

Hello again. This has been a great week for me – one of my closest friends has come to stay for a couple of weeks and I am showing her London! Needless to say, we have stacks planned but will probably exhaust ourselves and slump in front of the telly after a few hectic days!

One of the things we are going to do is to see a favourite of mine - Martin Shaw - in a play at the Richmond Theatre. Plus a possible Bat Walk at the Wetland Centre…and there’s a jazz festival at Canary Wharf…whew, I feel tired already!

No matter how canny you are, today it just isn’t easy to predict what’s going to happen in the foreseeable future is it? Take mortgages: after the recent emergency budget, many industry experts are now predicting that the base rate will remain stable at around 0.5% until perhaps the end of 2012 – I even saw 2013 mentioned.

Even Chancellor George Osborne made reference in his budget speech to Bank of England governor Mervyn King’s recent comments that if growth does prove to be slower, interest rates will remain lower. So…for those of you thinking of buying a new home or re-mortgaging, where does this leave you over the next couple of years?

You can take a competitive fixed rate now – and with this you get the ability to budget. For those more risk-averse borrowers who simply want a planned budget, a fixed rate is a highly attractive option. It does mean however that you give up a low standard variable rate (SVR) and ignore the tracker rate linked to the Bank of England base rate.

In contrast, if you choose to embrace the prediction of a continued low base rate, in the short to medium term certainly there are some competitive choices. You can of course remain on a low SVR until you see signs of an upward trend, but should you want to exchange you may find that your lender excludes existing borrowers from their best products…

Perhaps you need to take advice here from a mortgage expert? If you don’t know who to ask about this I know that the friendly team at the Overseas Guides Company Resource Centre can recommend someone – give them a call on 0207 898 0549.

But sometimes even for the most experienced broker, there isn’t really a right or wrong answer. However I always feel that two heads are better than one, especially when that second ‘head’ has been concentrating on the mortgage market for years…!

I’m off to have fun – in the sun I hope – with my friend now. Fortunately, because she’s from South Africa, a few cooler days are quite welcome - I hope you are enjoying summer too.

Best wishes,

Carol.
http://www.EmigrationGuide.com

Know Your Credit Card...

2010-08-06T05:39:00.000-07:00

Hello there.

I am so excited to have discovered the Canary Wharf free concerts here in London! Every Thursday evening throughout the summer they have something new: last week I saw a real blast from the past: Georgie Fame – yeah yeah! It was great – a clear, lovely evening, music and a few munchies – what could be better?

Enough about me…You are thinking of moving or buying property abroad, and I have no doubt that for those inspection trips etc you have a credit card. If you are like me, a credit card is a credit card...For years I had only one of these pesky little devils, but these days it pays to know the perfect card to pick. They have very different pros and cons and it could cost you a lot of money if you are using the wrong one.

You need to make sure that you are not making new purchases on cards charging expensive rates, paying huge APRs on old debts and missing out on benefits such as cashback.

Right – firstly, what’s APR?

APR stands for Annual Percentage Rate and, under the Consumer Act 1974, it is required to be published for all regulated loans so consumers can quickly and easily compare products.
This means that when advertising any form of credit, the lender should ensure that the APR is more prominent than any other rate.

APR was introduced because the interest rate a lender charges for credit will not accurately reflect the cost to the borrower. For instance, on top of the interest rate, there are other costs to consider such as administration costs, acceptance fees, broker fees and so on. It would be next to impossible for consumers to compare all these costs for every loan. Because an APR takes in all of these extra costs, it will always be higher than the lender’s actual interest rate, but in effect it calculates all the costs for you.

It is important to bear in mind however that unless the loan is fixed, there is no guarantee that the APR won’t change during the duration of the loan. For example, if the Bank of England raises its interest rates, the APR on your credit card will also go up. On the other hand, you will benefit if the Bank cuts its rates.

Remember that any form of credit on today’s market will come with its own set of restrictions, fees, charges and penalties. As a general rule, if you keep up with repayments and settle the loan in the agreed term these will not be a factor. However, if you miss repayments, want to settle early, or deviate in any way from the original agreement it could end up being very expensive.

The 0% balance transfer card is one of the most useful credit cards out there - this card comes with a 0% balance transfer offer that lasts for a set period – sometimes up to 16 months. This means that for 16 months you will pay no interest but chip away at your debt. However, once your 0% period passes, interest is charged on the whole balance…The thing to remember here is that using one card for both paying off old debts and making new purchases is not usually a good idea.

Some credit cards come with 0% on new purchases. Here you need to pay the entire balance off before a certain date. If you don't, your credit card provider will apply a standard APR to your outstanding debt and this could mean sometimes up to 17%!

Then there is the long term, low rate credit card. These are a great option for someone with debts they are unable to clear within a short space of time. The advantage of these cards is that they offer borrowers an affordable interest rate for much longer than the average 0% card - in some cases, for as long as it takes an individual to clear their debt in full.

For instance, one of the banks are offering a long term, low rate credit card that comes with an interest rate of 6.8% APR, and if you transfer a balance to it within 60 days of opening your account your debt will remain at this low rate until every penny of it has been paid off.

Finally there is the Cashback Credit Card. These cards allow you to earn back a proportion of what you spend, potentially netting you a lot of money each year, depending on how much you spend. The most important thing to bear in mind when using a Cashback Card is that you must repay whatever you spend on it in full every month or you could end up not only not making money but paying very high interest rates. With these cards be aware that there is often a figure which you must spend annually to ‘qualify’ for your cashback option.

I hope this has been some help, if only to make you aware that there are choices out here and you need to ask about them before just accepting any credit card offered to you by your bank or financial institution.

Bye for now – I’ll chat next week!

Summer smiles,

Carol
http://www.emigrationguide.com

Finding Your Dream Home Abroad!

2010-07-30T02:47:00.000-07:00

Hello again.

Are you off to have a look for your dream home? And have you decided where to buy? Someone I was chatting to a few days ago was telling me that her dream had always been to live on Lake Como but that George Clooney et al had put paid to that!

And I suppose that price-wise Lake Como is a trifle out of most ordinary people’s price range now. The presence of Clooney plus folk like Sting caused a boom in the market that caused a 25% rise in prices in little over two years. Forget the global housing crash, prices here aren’t going to drop any time soon, with demand from wealthy Milanese and financiers and bankers based across the Swiss border still buying in the area, plus Hollywood’s elite baying at the gates!

But, as I said to my friend, don’t give up hope if the area you love is beyond your price range. Many people have found that you don’t necessarily need a movie star’s bank balance to pick up a property on or near the Lake. And the same thing applies worldwide. If you find that the area you love is too expensive, have a look nearby. For instance in Spain, prices are at a premium near the sea, especially around the Costas – Costa Brava etc.. Just a few kilometres inland there is a dramatic drop in property prices – the same applies to Portugal and the Algarve area. A few miles back from the water or in the lesser known western area of the Algarve prices are considerably lower.

What I am trying to point out is that sometimes you need to move only a short distance away from the really expensive areas to find places that are still within your price range. And sometimes circumstances change.

In Greece for instance I know of a new coastal development in Messinia in the southwest Peloponnese, one of the most enchanting coastal landscapes in the Mediterranean. On completion, Costa Navarino will have 5-star resorts, luxury high-end residences, state-of-the-art conference facilities, world-class spa centres and golf courses. Now, the point is that I feel sure this will raise the property prices in the area and getting in early may just be a good idea. So do your homework and take advice from locals. But don’t necessarily buy from them – this then becomes a conflict of interest that many people have been tricked by…!
So…as I have indicated before, it’s all down to good planning and research. Plus of course a really good estate agent can prove invaluable. Good luck!

Until next week.

Kim

Make Sure You Use An Independent Lawyer

2010-07-23T04:15:00.000-07:00

Hello again.

In my years with the OGC, I have spoken to lots of people buying abroad, most of whom were thrilled with the outcome, but sadly there have been a few that have had tragic tales to tell.

One such couple had bought the holiday home of their dreams, with lovely views of the sea, and were excitedly planning regular visits accompanied by their children and grandchildren. You can imagine their horror when they visited their property as it neared completion only to discover that a block of flats had been erected which totally obscured their sea view. I must say I was utterly heartbroken on their behalf. Here is another tale, as emailed to me:

“…none of our documents were translated by our English speaking lawyer, introduced by the agent! (I know - classic mistake and one we are paying for in stress and also money!). We thought we had bought a house complete with the land, but our documents tell a different story which is that we bought the land for one price. We then bought the shell of the building and employed the builder to complete the house (he still hasn't). This contract also states that if the builder does not get his money then he can sell the house and take everything in it (about £30,000’s worth of furniture and fittings).”

Why am I telling you all this?

If there is one ‘classic mistake’ that I have identified more than once, it is that people do not use the services of an independent lawyer, thoroughly conversant in English. This really is absolutely vital: retain your own lawyer and do not, under any circumstances, use one recommended by the seller or developer unless you can get personal recommendations from other people who have used him/her successfully. If you do, you may well find that such a lawyer will have conflicting loyalties. You don’t have to be a rocket scientist to know who they will ultimately look after - you, with your one-of purchase, or the estate agent/developer, with whom they do business on a regular basis. It’s a no-brainer.

Suffice it to say that if both these buyers had used good, thorough lawyers both the above set of circumstances could and indeed should have been avoided.

You also need to make very sure that you understand every word on the contract and that you’re paying as building stages are reached if you are buying off plan. That way you can’t be forced to pay by a certain time. I have heard of people paying almost the full price on a property before the builder has even started the build – it’s a very old con and one that still catches people out.

Please don’t neglect to do the things that you as a buyer would routinely do in the UK…as mentioned, retain your own lawyer, and also make sure you have all documents translated so that you can read and fully understand them and that you get personal references on all builders and developers that you use. A survey would also be on my ‘to-do- list.

I would love to hear how your plans to buy property are coming along. Also, there is masses on really detailed information in the OGC Buying Guides – I have put them all in case you may know someone interested in buying elsewhere! Just go to:

http://www.GreeceBuyingGuide.com/guide.htm
http://www.ItalyBuyingGuide.com/guide.htm
http://www.FranceBuyingGuide.com/guide.htm
http://www.PortugalBuyingGuide.com/guide.htm
http://www.EmigrationGuide.com/guide.htm

Best regards and a sunny smile from me – I am off boating down the canals in my friend’s longboat again!

Kim
http://www.emigrationguide.com

Keep the costs down

2010-07-16T03:19:00.000-07:00

Hello – how are you? This is a happy week for me as my daughter is in town. She lives in Dubai and is here to complete a course module for her studies. She arrived in London hoping to escape the heat in Dubai, only to be met with uncharacteristically hot weather here! I did warn her in advance – but do kids ever listen to their mothers? Thank heavens it’s cooling down a little now, for both our sakes!

Are you going abroad this summer, either on holiday to ‘recce’ out your new projected homeland, or indeed to actually relocate? For those sun worshippers amongst us, it may interest you to know that the number of tourists worldwide have dropped, mainly of course due to the almost universal slump in the economy.

So…what to do about this?

If you Google holiday deals, you will find that many holiday companies are offering cheaper deals that ever - a sign of the times. But, if like me, you like to travel independently, you may find that planning a trip yourself can work out very economically. I have often renegotiated accommodation prices and today, with tourism in the doldrums, I would certainly try this. In Greece for instance, admittedly out of season, I have seen from the prices on the back of the door that I paid only a third of the room price! There are low cost airline flights plus a growing choice of self-catering options, as well as keenly priced hotels. You may find B & Bs an even better option that the bigger hotels as they can be more flexible price-wise.

Sometimes too it pays to go just a short distance from the most popular areas – the price can drop dramatically. Most visitors to the Algarve for instance go west from Faro airport to the busy coastal resorts of Albufeira, Portimão and Lagos. These are the most popular destinations, and therefore the most pricey. If you go east to the nearby pretty riverside town of Tavira for instance your holiday can cost half as much! Food is much more affordable and so is the accommodation.

Try and go where the locals go rather than where the tourists congregate – they know a whole lot more than we do about their own country!

And if your trip is part of a property viewing trip, this could be a very good time. Prices have dropped virtually worldwide and some are not expecting the market situation to improve before the second half of 2012. You do however really need to focus on accessibility – always important but never more so than now. You don’t want to have to spend hours – or hard earned cash – getting to your property.

I write a monthly Emigration newsletter and I am dedicating my end July/ early August one to transport – you may like to look at it. Just go to: http://www.emigrationguide.com/newsarchive.htm around about 29th July.

Enjoy summer and keep smiling!

Carol.

Money Saving Tips Abroad

2010-07-09T03:05:00.000-07:00

Hi there – how are you?

I never, in my wildest dreams, imagined that I would be hoping for a cloudy, cool day here in London. While my friends were here and Wimbledon was on, it would have been a tad churlish to wish for overcast skies but this week at last I welcome the cooler weather!

Are you going away this summer? Whether you are looking to buy a property abroad or just joining the steadily declining number of holiday makers overseas, there is no doubt that financial restraints have meant that tourism has dropped. Most of us or having to tighten our belts and count the pennies, to use two clichés in one sentence! Not only is getting out there more costly but accommodation is stretching budgets too, so here are a few of my own tips for saving money next time you are abroad:

Food shopping

It’s true that there are usually some lovely specialist stores nearby but prices can be on the high side if there is little competition in rural areas. It may be wise to consider shopping online if you can. This will mean that you can compare pricing and buy cheaper plus you will be less inclined to impulse buy!
You could also find out if they have something like special offers or ‘double point’s days’ at your local supermarket and make an effort only to shop on those days. Also have a look at the items in the section for ‘nearing sell by date’. I have had lots of success here – things are sometimes quite dramatically reduced and are absolutely fine if you are going to eat them straight away or freeze them
Last but by no means least, make a point of using your local fresh produce market for the bulk of your general day to day fruit and veggies if there is one in the vicinity. You may have to queue at the popular stalls but produce is usually cheaper and often much better than at the supermarkets

Make use of your own garden/land

Once you have your own property, think about growing your own vegetables. Some friends of mine have a small plot and were absolutely delighted this year to be able to pick the most wonderful green beans, potatoes and tomatoes from their own garden. It is tremendous fun to watch something you have planted grow from seed and not difficult to achieve
Invest in a water butt to catch rainwater for your garden

Car boot and bric-a-brac sales

Every village or town has one or more. Look out for adverts in your supermarket and patronise these – you will be surprised what you can find.

General household bills

Good insulation helps cut heating bills down in winter and air con. Bills in summer. Sealing outside doors also helps here
A wood burning stove and/or an open fire may well be all you need for many of the winter months instead of more costly central heating
Remember to turn off your TV, PC and mobile phone charger when not in use – from the wall and not just on the remote! A little goes a long way in saving you money!

Petrol

Both petrol and diesel are usually cheaper at supermarkets. Try to avoid motorway service stations if you possibly can, they can be quite a bit more expensive

Insurance

This is always worth looking into properly. You need to look at the cover you have as well as any excess and compare to other companies

And last but not least - communicate!

This is vital. Communication with your neighbours, local shopkeepers and new friends is vital, not only for your peace of mind and happiness but for helping you to save money on your general living expenses. When I first bought my house abroad a kind neighbour told me where to get the very freshest bread in the morning which also happened to be a little cheaper than the bakery I had been going to. OK, a small point but a good example of how integration can help you in so many ways. So don’t be shy, socialise as much as you can and both you and your pocket are bound to benefit!

Any tips of your own that you want to share? It’s amazing how sometimes the simplest things can really help. When someone has told me what they do I have often kicked myself and wondered why I hadn’t thought of it…but sometimes you don’t. That’s what sharing is all about, so do get in touch if you feel you have a really good idea won’t you?

Bye for another week – take care!

Carol.
http://www.emigrationguide.com/

Make YOUR financial plan come together….

2010-07-02T02:54:00.000-07:00

Hi there.

Well, miracles DO happen! Can you believe the wonderful weather Wimbledon experienced in the run-up to the finals? As I may have mentioned, friends of mine came from South Africa and the USA to watch, and their chief concern was that they didn’t get sunburnt – not a problem usually encountered at Wimbledon! And what a gripping series it is, with the both the men’s and the woman’s favourites out – unbelievable.

I heard recently that they were doing a remake of that classic TV series, The A Team…I know it was ridiculous, but somehow it reminds me of my kid’s childhood, of a less sophisticated era when we all clustered around the TV together to watch instead of the family being spread throughout the house, each at their own computer or laptop.

Remember the catch-phrase – ‘I love it when a plan comes together?’ Well, wouldn’t it be wonderful to jet away to your place in the sun for your summer break, all your plans having come together? If only buying abroad was that easy….or is it? Well, thousands of us Brits do so every year according to the statistics – why not become one of them?

However, has the family agreed on the motive for buying? Is it a heart pounding, emotional fuelled, lifestyle purchase? Or is it a level-headed, pragmatic, money making decision? The majority of people probably want it all - the best of both worlds. However, that peaceful mountain retreat might not rent like the hedonistic beach front apartment…or should it be the city centre apartment which could rent well…but then…do you really want to stay in the business district yourself?

Whatever motivates your purchase, there are certain concerns that you should bear in mind, one of the most important being what financial liability are you taking on and if you can afford it. The papers have been full of property market crashes around the world – indeed mortgages were one of the main factors in many of the bank’s problems.

With 80% of overseas purchases being mortgaged, you need to make sure you choose the correct bank to fund your purchase. This can save you thousands in the long run. Do you need a bank that can facilitate re-finance? What about over-payments, what about off-setting income against mortgage costs? Is there a robust legal process and who should represent you? Cut costs here and you could lose the lot. Also, have you considered what type of property rents well in your chosen area: apartments or villas? Is there a glut of rentable property in the area you are looking at? These and many other factors need serious consideration upfront.

The bottom line is that all of the above involves money and lots of it, so talking to professionals is key. This is a big commitment with big responsibilities. How does it fit into your overall financial plan? Speak to financial advisors who have overseas property experience (not all do), and are familiar with property investment strategies. Understanding the full financial commitment you are taking on, you can then feel confident that you are buying within your budget and not be in for any shocks along the way.

Your plan will only come together only if you actually have one…and then stick to it! Even when buying the holiday home of your dreams the numbers must work… you must understand them, work them out in advance, and then confidently buy, knowing that you have catered for every contingency.

Take care in the week ahead and enjoy the summer sun!

Best,
Carol.
http://www.emigrationguide.com

Renovations

2010-06-25T03:30:00.000-07:00

Hey there!

Even I, renowned as I am for a serious allergy to sport, have been caught up in the current sports mania. Okay I don’t actually watch it – that would be going too far – but I have become interested in the fate of Laura Robson, Andy Murray and those vastly overpaid soccer boys. On that subject however, dare I express a wish that Becks was there? It would make watching so much more enjoyable - even I might be tempted to do so…!

Moving on…literally! Chatting to a property expert a few days ago, she was commenting on how enthusiastically the Brits embrace a renovation project. And, in this day and age of concrete monstrosities, sometimes older properties have a very real charm that is hard to resist. This is all reinforced by movies (and I use the word ‘movie’ advisedly - it’s such a Hollywood concept somehow) such as Under the Tuscan Sun that make the whole process one long, romantic adventure…and of course it can be. In Under the Tuscan Sun a series of serendipitous events bring our heroine to a lovely yet dilapidated villa in beautiful Tuscany. Fast forward through a variety of interesting characters - Polish workers, Italian neighbors and an aging British actress - to the inevitable new love in her life…

Sounds great but let’s face it, the whole process usually entails a lot of hard work, more expense than one had at first budgeted for and a number of fraught, stress-inducing experiences along the way.

I have put together a few tips that may just help if you are thinking of going this route:

- One of the reasons often given for buying a renovation project is that it is ‘so much cheaper’ than a home in good condition. Stop right there – is it? And that’s tip 1: always do your sums – before you actually sign on the dotted line. Put together a separate renovation budget and then always factor in additional funding to cover those unexpected costs that almost always raise their ugly heads.

Knowing how much you’re able to spend on the renovation really helps when it comes to choosing a property. If a home needs major structural work and that’s not within your budget, the property may not be right no matter how low the asking price. Always know the full extent of the necessary renovations. Once you know what’s needed, determine the work you can handle and what you’ll need to contract out – then cost it

- Watch out for a suspiciously low priced properties, especially if they have been on the market for a while. There’s usually a reason for that low price…and you need to know what it is

- It is vital that you seek expert local advice. Unless you are able to do all the work yourself, obtain quotes from area professionals

- Check that you are allowed to make the changes that you require. Your idyllic property may just happen to fall within a conservation area that comes with stringent planning restrictions, and even more severe sanctions imposed for breaching them! Or your home might be within an area of significant archaeological interest - which could mean saying goodbye to your plans to built a pool for those scorching summer days

- Factor in to your calculations that renovation permits can add time delays as well as unexpected costs

- Also make sure of the safety aspects of your old property. Is it located in and around an earthquake zone? This could seriously affect your insurance premiums, not to mention the structural considerations and requirements you will need to adhere to when making changes to the building

Let me know if you decide to tackle a renovation project won’t you – I would be fascinated to hear all about it.

All for now: on Wednesday a friend has asked me to join her on a ‘makeover’ two-for - a renovation project of my very own! One paid (by her), one free (for me)! Wish me luck…

Best wishes,

Carol.
http://www.emigrationguide.com

Moving abroad NOW can still make sense!

2010-06-18T03:06:00.000-07:00

Hey – how are you?

Well, it’s the end of a busy time for me. Last week I went to a lecture on ancient maps at the British Library and also went to see the amazing Japanese Kabuki at Sadler’s Wells. It was stunning – very strange and unlike anything I had seen before, but fascinating. Three of the actors came from families that had been involved in Kabuki for generations…we listened to a translation in one ear and caught the sounds in the other – it was brilliant!

Not so our daily intake of news! Are you, like me, rather tired of the constant gloomy headlines in our newspapers and on TV? Sterling seems to vacillate constantly against other currencies and just seems to have added to our woes. If you are keen to have your very own place abroad but feel it to be something of a distant dream, please do not despair!

Your main expense, namely a property abroad, is generally speaking, a lot cheaper than in the UK. If you own a property here this might mean that you will free up quite a sum of money – always useful. And if you don’t have capital to free up, there is very little doubt that it will be less expensive to get your foot on the property ladder abroad. Also remember that the price of property worldwide has been affected by the credit crunch – nowadays it is possible to make cheeky offers and sometimes get real bargains.

The other thing you might think about is ‘testing the waters’. You may want to rent abroad and see whether it suits you and whether indeed it is a viable option to move? You could rent out your property in the UK (if indeed you have one) for a set period of time, rent abroad for the same period of time and that way give yourself time to assess what you really want to do.

That way you will have the opportunity to try out an area before making a commitment to buy. You'll gain an insight into your neighbourhood: is it friendly and crime free or noisy and disorderly? Whether you are going to be living there yourself or buying as an investment it is vital that transport is readily available. Also things grocery stores, schools and other facilities – if it’s a holiday investment, is it near holiday amenities?

The real bonus with this strategy is that if you don't like the area you've decided to settle in overseas, or worse - you don't like the country - you can leave without the burden of selling a property. Most overseas tenancy contracts will tie you into a six or 12 month period rather than the indefinite, and often costly, amount of time it takes to sell a property.

It will also allow you to judge those indefinable things. For instance, have you considered how much you will miss all that is familiar to you? I moved to the UK from South Africa a number of years ago now, and the reason I moved was to be nearer my family, especially my grandchildren. I had no sooner settled than my son-in-law was transferred to Dubai…

My story had a happy ending in that I love London, have made new friends and see my son on a regular basis but you might find that all is not as you perhaps thought it would be.

So…plan on! Only you can make it happen and I am here to tell you that you can change your life if you want to – it’s just a matter of setting your goals and steadily working towards them.

Let me know how your plans are going…I’d love to hear your news…

Have a great week and best regards,

Carol.
http://www.EmigrationGuide.com

Holiday Planning Tips

2010-06-11T02:42:00.000-07:00

Hey there. As we experience our usual erratic weather here in the UK, summer is hotting up abroad. Are you planning to visit your chosen country any time soon to look for your dream home? I am planning a trip later on in the year and I was mulling over a few thoughts about my trip. Being a ‘list lady’, I jotted down a few trip planning priorities – you may like to have a look:

1. Timing: Decide on when to travel. Choosing to go at off-peak season can cut your costs (airlines/hotels) by as much as a third, and you may just find it far more pleasant without the crowds.

It also means that if you are using an estate agent they will be less busy. Do check that they are available while you are there: many take their holidays in the off-peak seasons.

In addition you will have the opportunity to assess how easy it is to get to and from your planned area of purchase out of season, plus give you a look at the area when tourists aren’t there, if indeed it is an area that tourists frequent in summer. Do all the shops and restaurants shut – and, if so, will the peace and quiet suit you or will it drive you crazy? Some places I know in Greece and Spain for instance become virtual ghost towns…

2. Flights: Tourism worldwide has plummeted, what with the economic squeeze, volcanic ash plus various things like BA strikes and strikes due to government cuts – certainly this applies in parts of Europe. All this however means that getting you-know-what on seats hasn’t been as easy as it usually is for the airlines. They are having to reduce prices and there are a few bargains around so have a good look before you book

3. Car Hire: Unless you know a really good and inexpensive local car hire company, compare prices between booking a car from home with one of the big international car hire companies before settling for a small local company. The results may just surprise you

4. Hotels: If you are booking direct with a hotel, don’t be afraid to ask if that is their ‘best price’. I have had my hotel accommodation price lowered when asking this…it’s worth a shot. Or go online and see what prices the hotel is showing there…it does sometimes vary

5. Travel Insurance: Now more than ever it is essential to take out travel insurance and to make sure what it covers you for – again witness the volcanic ash debacle and those pesky BA strikes

6. Travel from airport: Take a bus from the airport rather than a taxi. Find out from your hotel if there is a bus from the airport that will bring you into town or you could try Googling the information. Or a good guidebook may have the info…it can save quite a whack. What I have also done more than once is to get chatting to a fellow passenger and, if we were heading in the same direction, share the cost of a taxi. Needless to say, be careful…!

7. Travelling internally in the country: This is a holiday remember – try not to be like me and find yourself rushing along…”Why am I hurrying?” I ask myself? The reason I am saying this is that you may want to try taking a bus or a train if it is cheaper than flying…that’s if you are not hiring a car of course. If you are like me, I have often made some good friends on buses, trains or ferries, and you see so much more of the country too

And then, on a purely tourist note:

8. Free entrance to museums: We in the UK have become used to free museums but if you are going to be holidaying as well as house hunting while abroad, the costs can mount up. See if there are free admission days: find them out in advance and get there early

9. Combo Tickets: It’s worth looking to see if there are museums that offer combination tickets. I know this happens in Greece and in Washington (at the Smithsonian) for instance.

Given you some food for thought? I hope so…next week I want to continue with the buying aspect – but first we need to get you out there!

Have a great week and take care!

Carol.
http://www.emigrationguide.com

A Few Thoughts of Retiring Abroad

2010-06-04T03:17:00.000-07:00

Find a good and trustworthy developer!

2010-05-28T03:38:00.000-07:00

Owner of all you survey…!

2010-05-21T08:12:00.000-07:00

Hello there – how are you? Peering out of my window it is gloomy and overcast: I cannot get over how quickly the weather changes here. One moment it’s blue, clear skies and the next – rain! Oh well… I guess that’s why people buy homes abroad!

I have been working for the Overseas Guides Company for a number of years now – I must have spoken to hundreds of people buying property abroad; most of them have gone on to find the home of their dreams and have absolutely no regrets. However, I do sometimes hear of disasters and, on analysing the problem, it all comes down to one thing: they have not checked the property and its surroundings adequately before signing on the dotted line.

Two cases spring to mind here. I received an email a while back from a couple who had purchased a farm from an estate agent and were told that it was just over 2 hectares in size.
All the official paperwork confirmed this. To their enormous surprise, when measuring the land some while later, they found it was only 1 hectare. The estate agents deny liability, saying that the official papers confirm that the land is 2 hectares and that they go by the official figures. Needless to say, their query to me was how they should set about recovering half their money.

Hindsight is 20/20, but there is only one way to make sure that this does not happen to you and that is to get an independent surveyor, or an architect licensed to survey, to perform a survey and make their findings a condition of sale. You also need to make sure upfront exactly what will be included in the survey and demand a full report on all findings. A full structural survey should include the condition of all buildings, particularly the foundations, roofs, walls and woodwork; plumbing, electricity and heating systems; and anything else you want inspected such as a swimming pool plus its equipment…and the size of the land of course.

Sadly, the only route for this unfortunate buyer to go is probably to litigate, but this can take a very long time, may cost a lot of money and who knows if the owner is still around? And still has the money to reimburse? Or will even be found guilty - once all the contracts are signed you pretty much accept the property as is – ‘Voetstoets’ is the term used in South Africa. The seller may even have sold in good faith and not be aware of the discrepancy… a really thorny issue, isn’t it?

The second disaster I was made aware of was an apartment with spectacular sea views, bought by an older couple as a holiday bolthole for their grandchildren. Trouble was, when they arrived at their holiday apartment after an absence of a few months, an enormous block of flats had been erected, totally blocking their magnificent view of the sea.

Strangely enough, some months before I had planned a trip to Crete, in Greece, and one of the OGC readers had asked me to have a peep at a sea facing apartment he was thinking of buying. I asked the agent I happened to be travelling around the island with, and his immediate reply was that his company were building a huge block in front of it…Needless to say – one lucky escape!

Make sure you are not caught out in this way - a professional survey may cost a bit but it really is money well spent.

Let me know how your plans are coming along. Have you heard any stories where a survey saved the day – or perhaps the reverse, where disaster struck because no survey was completed?

Take care and see you next week. Best regards, Carol (and Kim)
http://www.emigrationguide.com

Information I hope you won’t need!

2010-05-14T03:07:00.000-07:00

Looking out of my window today, it is a lovely sunny day. Can it be that summer is finally on its way?

Chatting to people who are planning to relocate abroad I am frequently asked about the medical systems and how they compare to the NHS.

I strongly recommend that you look very carefully into the level of medical care when you are buying anywhere abroad. Make a concerted effort to pick an area that will fulfil certain requirements and don’t fall hopelessly in love with a home BEFORE you have made sure that there are certain necessary requirements that the area can provide you with. I am going to outline very briefly a number of options on offer in the most popular countries for emigration:

Spain
As with the UK, Spain has a national health system which provides free or low cost health care for those contributing to Spanish social security systems plus dependants. The system also caters for pensioners and this includes those from other EU countries. If, as a EU member country resident, you are visiting the country, you will be able to access emergency care on showing your EHIC (European Health Insurance Card - for details of the EHIC please see below). UK nationals over 60 and for some people who qualify for the invalidity benefit will need the appropriate form (E121 or E106) to access free health care.

France
The healthcare system is excellent in France. If you are simply going on holiday to France or have a home where you intend to go for short breaks, you will need a European Health Insurance (EHIC) which entitles you to necessary healthcare.

Before the new rules, anyone was eligible to join the French healthcare system. Nothing has changed for those who retired in the UK, in other words you can still affiliate to the system using an E121 form via the Caisse Primaire Assurance Maladie (CPAM). You can get this form from the Dept. for Work and Pensions (DWP) in Newcastle upon Tyne (take a look at www.dwp.gov.uk) As long as you are in receipt of the state pension here this form will be valid. Once you get to France you should take this form, along with proof of residence in France and a form of identity, to your local CPAM office. Once you are affiliated to the system you will be issued with a Carte Vitale (green card) which you have to take with you when you visit the doctor or hospital.

For those under retirement age, it is not possible to affiliate to the French system unless you have an E106 form, again available from the DWP. This is relevant for those who are not planning to work in France and is valid for up to 2 years, after which it is wise to take out private health insurance until you reach state retirement age or you are there for 5 years, after which you will be able to affiliate to the system.
In France treatment (whether private or public) is not free at the point of delivery. Even if you subscribe to the Sécurité sociale, on seeing a doctor or specialist (specialiste) you first pay the full bill (tarif) and are then reimbursed at a later date (about 10 days). Generally speaking, Sécurité sociale refunds 70 per cent of the cost of a visit to a médecin traitant (a GP or family doctor) and most specialistes.

USA
Unlike other developed countries, the US does not have a universal system of healthcare coverage - it is up to individuals to obtain health insurance. What that means to you as a new arrival or a part-time visitor/tourist is that it is absolutely essential to have medical insurance when in the USA. Those who work in the States obtain coverage through their employers, and others should sign up for private insurance schemes.

Greece
Greece has a national health care system that provides free or low cost health care to residents and, as a EU member country resident, you will be treated on the same basis as a resident of Greece. Non-EU citizens should arrange private health insurance before they leave their home country; however, emergency care is provided free of charge in public hospitals to anyone, regardless of nationality. You should obtain a European Health Insurance Card (EHIC) before leaving the UK – you have to present this to get free medical treatment – see more about the EHIC below.

South Africa
South Africa's health system consists of a large under-resourced and over-used public sector, under pressure to deliver services to about 80% of the population and a smaller but fast-growing private sector. This private sector is run largely on commercial lines and caters to middle- and high-income earners who tend to be members of medical schemes (18% of the population), and to foreigners looking for top-quality surgical procedures at relatively affordable prices.
It is virtually mandatory to have a private medical aid either through your employer, who shares the cost with you, or individually. State hospitals are appalling – take it from one who knows. As a tourist, visitor or émigré, you would be well advised to get medical insurance cover.

New Zealand
Under the public healthcare scheme in New Zealand, a certain degree of care is offered free to its residents and to those with work permits that allow them to temporarily reside in New Zealand. The hospitals are publicly run and treat citizens or permanent residents free of charge. Waiting times for non-urgent care can be fairly long and many patients are going private in order to be treated faster.

To benefit from the public health system in New Zealand, you must hold a permanent resident visa, be a resident of the country or hold a work permit for two years at the time of application. To check your eligibility, please take the test at http://www.moh.govt.nz/. If you meet the criteria, your partner and children aged 19 years or under will also be eligible for publicly funded healthcare. If you do not meet these requirements, you have to take out a private health insurance in New Zealand or before departure from your country of origin, either if you plan to stay or if you are just visiting.

The EHIC or European Health Insurance Card
Also called the EU Medical Card, it looks just like a small plastic ID card and gives details such as your name, date of birth and National Insurance number. The card lasts for 3-5 years and entitles you to receive free or reduced-cost emergency healthcare if you or any of your dependants are suddenly taken ill or have an accident when visiting countries with reciprocal health agreements with the UK (European Union countries plus Iceland, Liechtenstein, Norway and Switzerland).

You should obtain a EHIC before leaving the UK – you have to present this to get free or rebated medical expenses as mentioned above. The EHIC is available free of charge through most UK post offices or apply online at www.ehic.org.uk You can also contact them on 0845 606 2030 and get them to send you one.

Remember, your EHIC is not a substitute for travel insurance. It won't cover you for repatriation (return home) or losses due to crime or natural disasters. Only comprehensive travel health insurance cover, which you'll have to take out privately, would cover you for that.

I hope this helps – and that you won’t need to use the information! See you soon – have a great week.

Carol
http://www.emigrationguide.com

A ray of light in the gloom...

2010-05-07T03:26:00.000-07:00

The news from The Euro Zone is not good this week, to say the very least. In an assessment of the crisis gripping Greece and the eurozone, Moody's the international rating agency warned that banks in the UK and Ireland as well as those in Portugal, Spain and Italy all faced challenges if the countries suffered the same fate as Greece in being downgraded by the credit-rating agencies.

Moody’s warned on Wednesday it may downgrade Portugal’s government bonds in the next three months because of deteriorating public finances and “long-term growth challenges”. The warning came as the Lisbon Stock Market fell for a second consecutive day and the cost of government borrowing rose amid market fears that the Greek debt crisis could spread to Portugal and Spain.

Strike action against the new measures instituted at the insistence of the EU and the IMF (International Monetary Fund) has started in Greece, leading to three deaths. There have also been strikes in Portugal.

It does seem that there is a singular lack of forethought as to how strike action and protest marches will effect the economy – mind you, I suppose the same could be said about the BA strikes at a time when BA is struggling to keep afloat. Add to this the natural disaster of volcanic ash making travel to Europe less appealing and it really does seem a recipe for financial disaster that may well see holiday makers staying away in droves.

Many are predicting that the wealth of nations is shifting, with the new economic giants predicted to be China, India and Brazil. Who knows? But one thing is for sure – we are living in volatile times…

All this would seem to be unremittingly gloomy, but interestingly enough, if you are in the process of buying property abroad right now it may not be.

On Wednesday sterling hit €1.16/£1 against the euro. If there is one single thing that you can do right now to protect yourself, it is to sign up with a reputable currency company like Smart Currency and consider ‘forward buying’ your currency. As Smart mentioned in an email sent out to all clients, and I quote: ” Even though the European Central Bank and the IMF say they have agreed a debt rescue package for the Greeks the markets remain unconvinced. And problems are spreading to other European countries such as Spain and Portugal, whose debts are much greater than the Greeks.”

You can buy currency at today’s rate for up to a year in the future. This means effectively that you will know in advance exactly how much your currency transfers will cost you. You will not have to be in the hands of whatever financial disaster may arise, and that includes any problems that may hit the UK. Frankly, the wisest course of action would be to pick up the phone and have a chat to a currency expert about this. Right now! Go to www.smartcurrencyexchange.com

Let me know how your plans to emigrate are going. Times may be tough but perhaps this is a good time to really have a good think about where you want to be in a few years. Careful planning will get you where you want to be…it may just take a little longer than you thought.

Bye until next week,

Carol.
www.emigrationguide.com

UK pensions abroad

2010-04-30T06:17:00.000-07:00

Hello there.

It looks as though the economy is still floundering worldwide doesn’t it? Greece is in a really bad way, with Portugal also having a hard time of it too. Plus of course us here in the UK…

Are you still thinking of moving abroad? If you are, and you are of pensionable age, you need to bear in mind that some countries have reciprocal social security agreements with the UK and you will qualify for the annual rise in pension. However in other countries the government does not give cost-of-living increments to expats living there and your pension will be ‘frozen’ at the initial rate you received for your first pension payment.

It really is important to look at your pension status when making this decision to see how your country of choice handles this, and also how other countries stack up if you are wavering as to where to move. If you would like a complete list of a country’s pension status incidentally, I am able to let you have a comprehensive list on this: just phone Elaine on 0207 898 0549 and ask for it.

What I have found over the years that I have been working for The Overseas Guides Company is that many people start off intending to buy in one country and end up actually buying in another. The reasons for this are varied – it could be cost, input from a new partner, the cancellation of cheap airfares or simply a desire to be nearer the UK.

Many Brits living abroad are saying this is a moral rather than a financial issue. Over half a million British pensioners are currently having their pensions docked because they have chosen to live abroad - this applies mainly to Commonwealth countries, with almost half of affected pensioners living in Australia. What really outrages people is that any MPs now living overseas do not have their official pensions frozen – this in a time of enormous disenchantment with MPs generally, and with their financial shenanigans in particular!

What is so unfair is that the cost of unfreezing is not great, less than 1% of the annual cost of paying pensions. Says James Nelson of the British Australian Pensioner Association “This is not just a financial matter. The main argument for unfreezing is a moral issue, a question of justice. Pensioners in frozen countries have met the same conditions as those in unfrozen countries.”

This effectively means that thousands of pensioners who would love to be living nearer their family or friends abroad are unable to do afford to do so because of this and are forced to spend their old age alone in the UK. Of the Commonwealth’s 53 nations, 48 are adversely affected in this way. As someone who lived most of her life in South Africa, may I add that it seems an unworthy response to retirees living in countries that fought in two World Wars for Britain. Now folk are penalised for living there – go figure! We need to get Joanna Lumley on to this!

However, some are not going down without a fight - they have taken steps to have this very unfair system rectified. In November, a lower court of the ECHR rejected the applicants’ case in a 6-to-1 decision, but a referral subsequently was granted. A group of expat pensioners charged the British government with discrimination over its policy of "freezing" the state pensions. The case was heard on 2 September 2009 before the Grand Chamber of the European Court of Human Rights (ECHR) and was subsequently thrown out, but my guess is that we have not heard the last of this.

A spokesman for the UK's Department of Work and Pensions (DWP) said the decision whether or not to "uprate" UK pensions paid to expats has to do with the "reciprocal agreements" that Britain has with some other countries - including other EU members - but not with others. Pensioners who live in countries with which Britain does not have such reciprocal arrangements do not receive these upratings, he added.

Peter Kennan, chairman of the Canadian Alliance of British Pensioners, disputes the DWP argument, noting that some countries with which Britain does not have such agreements - such as Canada - nevertheless boost the pensions of their own nationals living in the UK. "It has nothing to do with reciprocal agreements, and everything to do with saving money," he added.

If you have any questions or queries about pensions abroad you can go to the link below for all information. http://www.direct.gov.uk/en/BritonsLivingAbroad/Moneyabroad/DG_4000013

The section dealing with pensions is:http://www.direct.gov.uk/en/Pensionsandretirementplanning/StatePension/Basicstatepension/DG_10026714

You can write to:
The Pension Service, International Pension Centre (IPC)
Payments - Room TD 111
Tyneview Park, Newcastle upon Tyne, NE98 1BA, England
and the email address is:
tvp.internationalqueries@thepensionservice.gsi.gov.uk
Telephone Number - 0191 21 87777
Fax Number - 0191 2183305
There is plenty of useful information on The Pension Service website at www.thepensionservice.gov.uk

You may be wise to consult an Independent Financial Advisor (IFA) before venturing abroad. If you need any help with finding someone perhaps try phoning the Overseas Guides Company Resource Team on 0207 898 0549 – there is no fee associated with their services yet and they do have people they may be able to recommend.

http://www.emigrationguide.com

My 10 Top Reasons To Emigrate...

2010-04-23T05:43:00.000-07:00

Planning...Before Rather Than After Your Move!

2010-04-16T02:57:00.000-07:00

Hello there.

What an erratic time it has been weather-wise hasn’t it? After a particularly warm day last week I set off for a long day out, only returning in the evening. I optimistically left my coat at home – MISTAKE! I have learnt the ‘umbrella lesson’ (never leave home without one…!) and I am now rapidly learning the coat one!

I was recently reminded of my move abroad in that a really good friend of mine has fallen into a trap that I narrowly avoided - he left South Africa without actually going through the emigration process. His wife has a British passport so there was no problem when it came to entering Britain, but the problem has arisen now that he wants to transfer the balance of his funds to the UK.

If he had officially emigrated this process would have been comparatively easy but since he did not do so it has become highly restricted and complex. Plus of course there is the added problem of trying to get things done from a distance. For myself, it took me a full month of visits and endless phone calls to tax and government offices before I finally had all the papers I needed to formally emigrate – I don’t want to think of the frustration and the cost of trying to do this from abroad. Quite apart from anything else, it was a personal relationship that I forged with one of the people in the tax office that finally ‘cracked the case’ – never lose sight of the personal touch and of being remorselessly pleasant and patient throughout! A few tantrums and ill temper can delay you by weeks as obstructive staff may decide that it’s payback time!

You obviously need to make sure in your own mind that you intend to remain abroad, but once you are absolutely sure of this – as I was – you need to go into all the tax implications of your move in order so that you get the most possible value from your savings.

For instance, British pensions – when paying out – are now deeply unattractive. One of the reasons for this is that the income generated by a pension is restricted by the fund it is invested in. Then only 25% of the fund value is available as a tax-free lump sum, plus of course the annual/monthly amount paid is taxed at source. And sadly the final proceeds on death often disappear back to the insurance company rather than going to loved ones.

Alternatives are available and benefits can be extremely advantageous - this is what you need to look into before rather than after your move. In 2006 new EU legislation opened up opportunities for UK pension holders to move their pension abroad, thus giving greater control to the pension holder. However, the scheme, called Qualifying Recognised Overseas Pension Scheme (QROPS – pronounced Crops) needs to meet certain criteria.

To get you started you can access a short guide that the Overseas Guides Company has put together which details exactly how this works. It's about what can be done about increasing the income you get, eliminating or reducing the tax you will pay and effectively ensuring that beneficiaries get ALL of the funds upon death rather than just a percentage plus lots more. This may be a good way to start the process - if you are interested in getting a copy of this guide, please go to: http://www.overseasguidescompany.com/downloads/OGCQROPSGuide.pdf

Also, Smart Currency has put out a brilliant FREE relocation report. One of the toughest lessons I learned was that I should have used a currency company to transfer my money abroad rather than my high street bank. Why? Well, this report will explain all that and tell you how to save money…always useful! Go to http://www.smartcurrencyexchange.com/emigrationreport.aspx if you want to access this.

Once again, it’s all down to planning and homework but seriously, not a minute of the planning I did was time wasted and, in the end, it allowed me to move seamlessly and with the minimum of trouble.

More next week! Please jump in and add anything that you feel may help or that you would like me to discuss won’t you?

Best,

Carol.
http://www.emigrationguide.com/

Emigrating Abroad

2010-04-09T06:39:00.000-07:00

Hello there!

My name is Carol. It was my birthday recently – the forth one since I immigrated to the UK (the land of my birth) after a lifetime spent in Africa. During my birthday party I had what Oprah Winfrey calls ‘a light bulb moment’ – one that I want to share with all who will listen!

This was the first birthday that I no longer felt like a ‘visitor’ – and it was such a great feeling! I was surrounded by friends and family - my son lives here in London but it also so happened that my son-in-law was over from Dubai to share the occasion too. Somehow I felt that I had lived here for ever; it took a while and, as I am sure all who move countries will agree, it does take time to make new friends and to get into a routine of life that is both enjoyable and practical.

But believe me, the day does come that your new country will feel like home. You just have to believe that and to actually work at it. I was fortunate at the time to have my daughter and her family living nearby. She had a friend who was moving to the States and who wanted to rent out her lovely little flat just a few blocks from my daughter and my adorable grandchildren – what a win! They moved to Dubai about a year later but at least they were there in the early days.

Then a friend of my daughter’s bore my CV off to her child’s school where it was picked up by my present boss’s wife…and here I have happily beavered away at The Overseas Guides Company for nearly four years!

Part of my job has been to travel abroad, to have a look at various property options and to meet all the property professionals that many of the OGC readers have come to use and rely upon.

I have talked to literally hundreds of folk who are taking the plunge and moving abroad and I have personally contributed to many of the Property Buying Guides that the OGC provides – you may want to look at them on www.emigrationguide.com. It struck me that it may just be useful for me to share with you what I have learnt, both from my own personal experiences and from listening to the many concerns, experiences and tales shared with me on a daily basis.

So do join me weekly as I chat about various aspects of moving abroad…You never know, there may just be something that will help you, inspire you or just plain bring a smile to your face!