Kodak Pension Scheme

Eastman Kodak is in trouble, there is no disputing this fact.  Kodak Limited is the UK entity, and has its pension funded by How does this affect employees, and ex employees when considering pension benefits which are of increasing concern.

Many Kodak pensions are 'final salary', giving members a fixed percentage of their final salary whilst working at the company with an inflation linked increase.  This is extemely expensive for the company to run.

For members of the pension scheme who are no longer UK resident a QROP transfer of their pension benefits may be worth consideration.  This entails taking a lump sum from Kodak and transferring to a qualifying recognised offshore pension scheme.  This gives security of the principle amount and will remove any concerns over Kodak's ability in the future to fund pension income.

Every case needs to be considered individually so I advise members to contact me individually for an initial consultation and discussion on the best action to take to protect your future pension income.

Contact me at;

Mark Paine
Meyado Singapore
www.meyado.com.sg
markpaine@meyado.com.sg

12/12/12 UPDATE

Apple have agreed a deal with Kodak to buy a number of their patents.  This is good news for Kodak as it helps fulfill the capital raising requirement to come out of Chapter 11. 

QROP jurisdictions

There are now a number of options for QROPS placement - mainly Malta, New Zealand and Isle of Man.

Before deciding on where to place your valuable pension funds though it is vital to decide whether QROPS will be in your interests - there are other options available, including leaving well alone, or SIPPS in the UK.

For an impartial review of what would be best for you, and have the best chance of securing your future income, arrange a meeting with one of our advisers in Singapore.  Meyado is here to help you through this difficult and important decision making process.

Contact us at our website http://www.meyado.com.sg/

Mark Paine
Meyado
Singapore

Guernsey hard hit by HMRC ruling

Guernsey is in turmoil following the delisting of the majority of its QROP pension providers by HMRC.  One trust company informed me that 500 pending cases had automatically fallen of their books overnight.

Malta is currently being inundated with transfer requests and looks set to profit from the HMRC ruling. 

The British Government has taken a hard line regards QROPS in an effort to avoid the outflow of monies from UK pensions which has vastly exceeded their expectation since the introduction of QNUPS rules.

Mark Paine
Meyado
www.meyado.com.sg

HMRC Review QROPS Legislation

In moves set to take tighter control of QROPS transfers, the UK made some significant changes to the handling of QROPS in its budget last week.

There is now a reporting requirement for a period of 10 years post transfer, removing the temptation of QROP providers allowing non permissable transfers out to beneficiaries.  Our experience however shows that our clients are not seeking to evade HMRC, but more to take control of their pensions, and thus this requirement does not appear to have much of a material affect at present.

Equalising taxation treatment of scheme members in their own jurisdiction as opposed to non resident members, would seem to be fair.  Guernsey, our current preferred provider location, has already set moves in place to bring its QROPS offerings in line with the new legislation.

For more information how this could affect you, please contact me.

Mark Paine
Meyado
www.meyado.com.sg