UK State Pension Guide For Expats In Poland

UK State Pension

Are you a British expat looking to secure a steady source of income for your retirement? The UK State Pension is one of the most cost-effective ways to do so.

However, many expats often forget about the State Pension or simply write it off. This is a costly mistake.

New State Pension

The UK government reformed the basic State Pension on April 6, 2016. Those who reach State Pension age after that date will receive the new State Pension, which is designed to be simpler than the previous system.

In tax year 2023/2024, those who receive the maximum new State Pension will get £203.85 per week.

How Do I Qualify for UK State Pension in Poland?

If you have ten years of relevant UK National Insurance Contributions, you qualify.

Even if you are permanently resident in Poland, you can still claim for any State Pension you are eligible for.

To get the maximum State Pension, you need to have 35 years of qualifying UK National Insurance Contributions.

To find out your current State Pension entitlement, you can obtain a statement here.

How Do I Continue To Build UK State Pension Entitlement While Living In Poland?

You can continue building your UK State Pension entitlement as an expat in Poland by making voluntary National Insurance Contributions.

To do so, you need to complete form CF83.

If you are employed or self-employed, you should be able to make Class 2 contributions, which are £3.45 per week in tax year 2023/2024.

If you are not working, you can pay Class 3 voluntary contributions, which are £17.45 per week for the tax year 2023/2024.

Can I go back and make up gaps in my National Insurance record?

Yes. You can normally pay up to 6 years of arrears.

When can I start receiving State Pension?

State Pension age was 65 for men born before 6 December 1953 and between 60 and 65 for women born after 5 April 1950 and before 6 December 1953.

This is changing though. Going forward, State Pension age will increase to:

• 66 for men and women retiring in 2020
• 67 for men and women retiring in 2028
• 68 for men and women retiring in 2046

Find out when you can receive State Pension here

Will My State Pension Rise With Inflation?

As a resident of Poland, your State Pension will be protected by the “triple lock’, in the same way as it would be if you were resident in the UK.

The triple lock ensures that State Pension payments increase annually in line with whichever of the following is the highest: price inflation, average wage growth, or 2.5 percent.

How Is State Pension Taxed In Poland?

If you live in Poland, your UK State Pension will be taxed in Poland too. This means that you will not benefit from the UK nil rate tax band.

How Do I Claim UK State Pension While Living In Poland?

If you have been contributing to the social security system in Poland (ZUS), then you need to claim your UK State Pension here too.

Here is what you need to do:

1. Complete the ZUS Rp-1E form (Application for retirement) and submit it to the ZUS office. Make sure to include all employment periods, both in Poland and in the UK.

• Provide the relevant P45 (issued by your UK employer) and P60 (final tax declaration) documents. If these documents are not available, you should provide detailed information about your past UK employers, including addresses, working dates, and your UK National Insurance Number.

• Having made ZUS contributions, you will also be entitled to the Polish state pension.

To claim it, you must complete the E207 form (Information on the insured person’s insurance record) and include information on your employment periods in Poland.

Additionally, you must provide documents confirming your employment in Poland, such as a Work Certificate (Świadectwo Pracy) and form Rp-7 (issued by your employer upon request).

It’s important to note that although all documents are submitted at the ZUS office, there are two separate decisions made regarding your pension – one for the Polish part and one for the UK part. Retirement benefits will ultimately be paid as two separate transfers.

What Do I Do If I Have Not Made Social Security Contributions In Poland?

If you have not made social security payments in Poland, you should claim your pension through the International Pensions Centre in the UK.

You can contact them by phone at +44 191 218 77 77 or through their online enquiry form.

Conclusion

Most British expats should be looking at making voluntary National Insurance payments if they don’t already have 35 years’ worth of qualifying contributions.

It could be one of the best investments you make. 

As your financial adviser, we’re here to help you navigate the complexities of pension payments and ensure you receive the retirement income you deserve. If you have any questions or concerns, please don’t hesitate to reach out to us.

Read our article: Is it possible to transfer a UK pension to Poland?