I am a 30 year old British expat living and working in the Netherlands. I worked in the UK for 5 years (2010-2015), but it was at the start of my career and to my knowledge I did not have a work pension of any sort. I've been working in the Netherlands for the last 4 years, and again have no pension (my company does not provide anything).
I'm getting increasingly worried about my future retirement and my lack of any kind of pension.
Firstly, I am not sure what - if any - state pension I could receive (either from UK or Netherlands) but I assume not much.
Secondly, I'm ready to start investing on a monthly basis into a private pension fund, but I have no idea what the best option for me would be. I'm definitely turned on by the likes of Nutmeg and Wealthify, but given these are all UK based, I am not sure tying my assets into GBP is the best decision given Brexit. Furthermore I wouldn't benefit from UK government contributions anyway so maybe it's not the best idea.
The only silver lining to my situation is that I bought a flat this year, and I have some stock options in my company which is a very large and fast growth tech company.
Really lost and confused, and would really appreciate any advice you might have.
Good to see that you’re focusing on your retirement planning - your thirties are a great time to get on top of this, as it can be a bit late to catch up if left to one’s forties!
I can’t advise as to the Dutch state pension, but you will have earned some National Insurance “credits” towards the UK state pension from your 5 years of employed work. However you do need a minimum of 10 years to qualify for the minimum pension, so they’ll be wasted if you don’t work in the UK again.
Paying into a UK pension is almost certainly not advisable, as you wouldn’t qualify for tax-relief which is the main benefit.
Equally you cannot contribute to a UK ISA unless you are tax-resident, so that option is out also.
I think your two options are either to;
- Look at a regular premium offshore investment to create a “pseudo-pension”.
Although the offshore market is not as highly regulated as the UK so I would suggest you take advice as to which provider to go with.
- The other option is to seek out advice in the Netherlands.
They may well have the local equivalent to a UK pension, that could prove suitable for your needs if you plan to remain resident there for some time to come - but to be honest, its all Dutch to me! 😉
Great news on the flat and stock options though. Best of luck with your future!