If you’ve gathered a few pension pots from different jobs, chances are you’re wondering how to bring them together, or whether it even makes sense. You’re not alone. That’s one of the most common questions we hear at SJB Global.
How Do You Transfer a Pension?
Transferring a pension means moving your savings from one provider to another. People do this for a few key reasons:
- They might find lower fees with a new provider
- They want more control over their investments
- It’s easier to manage everything in one spot
This process is usually straightforward. Pick your new provider, and they often handle the transfer for you. But be sure to check if you could lose any guaranteed benefits or face penalties.
Keep in mind:
- Not every pension can be transferred
- Some include exit fees
- Defined benefit (DB) plans often have strict rules
- International transfers can involve delays and extra paperwork
Should You Combine Your Pensions?
Consolidating your pensions simply means moving all your separate pots into one place. It makes tracking your retirement savings easier and can reduce total fees.
But it’s not always the best move. Here’s what to consider:
- Tax implications – transfers and withdrawals can trigger different taxes.
- Investment choice – some pensions offer limited fund options compared to others.
- Future access – defined benefit schemes might have age or access limits.
- Currency exposure – vital for expats with savings in different currencies.
Your age, the type of pensions you hold, your residence and your retirement timeline all influence whether consolidation makes sense.
Examples to consider:
- A 40‑year‑old living in the UAE with three personal pensions may benefit from a SIPP.
- A 60‑year‑old in France with a defined benefit plan might be better off leaving it as is.
How to Transfer Your Pension to a SIPP
A SIPP, Self‑Invested Personal Pension, offers more control over your investments. It’s a good fit if you want to manage your money or work closely with an advisor.
Steps to transfer:
- Open a SIPP account
- Authorise your new SIPP provider to contact your current provider
- Review any transfer restrictions, fees, or losses of benefits
Keep in mind:
- Some pensions, especially defined benefit, may not qualify.
- You might lose guarantees or protections after a transfer.
- A SIPP gives flexibility, but also means you need to stay engaged and make investment decisions.
Why SJB Global Can Help
Transferring or combining pensions can feel overwhelming. But it doesn’t have to be. Our international financial advisors at SJB Global simplify the process. We’ll:
- Help you understand what each current pension offers.
- Compare options, including transfer or consolidation.
- Guide you through tax rules and currency considerations.
- To help make sure you don’t lose valuable benefits (like defined benefit guarantees or protected bonuses)
If you’re asking how to transfer your pension, combine pensions or whether a SIPP is right for you, we’re here to guide you, no jargon attached.
What You Should Question
Pensions are rarely simple. Before making a move, here’s what to keep an eye on:
- Some pensions come with hidden exit fees or offer guarantees you could lose
- Don’t forget tax treatment, investment performance, withdrawal options, and cross-border rules
- The right strategy depends on your age, pension types, country of residence and retirement goals
- Regulation is changing, UK plans face tighter transfer rules, cross-border transfers shift post‑Brexit, and international pension schemes are under greater scrutiny
Want to Take the Next Step?
If you’re curious about transferring your pension, combining pots or exploring a SIPP, let’s talk. We’ll walk you through your options and build a plan that works for your future, clearly, simply and with your best interests in mind.
