The majority of people under the age of about 50 switch off when they see an article about pensions as they think it doesn't apply to them. In the case of Brits migrating to Australia, this is a BIG mistake. By taking a few simple steps before leaving the UK, migrants can qualify for a guaranteed income in retirement payable by the UK government.
The UK and Australia cancelled their Social Security agreement back in 2001. Many people see this as a bad thing, but I think it is brilliant. It means that you can now claim both the UK state pension AND the Australian Age Pension when you retire in Australia. Both of these pensions combined could provide you with enough income to fully fund your retirement, meaning you can get on with your life and stop worrying about the future.
The new rate of state pension has just been announced by the government. Single pensioners will receive £97.65 per week with effect from April 2010. This is an increase of 2.5% from the current rate. In view of current economic problems, this is a substantial increase and is probably greater than the increase offered by the majority of private pension schemes. If you haven't yet reached retirement age, the amount of pension you receive will contrinue to increase each year until you do reach retirement age.
For a single person living in Australia, this new rate of state pension would provide a guaranteed income of about $170 per week using current exchange rates - the figure is even better for a married couple. What a great start to acheiving your retirement income goals!
To see whether you can qualify for the maximum amount of UK state pension, click here
to complete a free, no obligation state pension assessment.