Things You Need To Do Before Leaving the UK as an Expat
Are you starting your new journey as an expatriate? It is exhilarating to begin embarking on your international adventure, but before you bid farewell to the United Kingdom, several essential tasks must be completed.
This international move is more complex than taking a holiday; planning and addressing these key matters will ensure a smooth transition and help you avoid potential issues.
Before you make your move, follow this checklist of the critical things you need to do before leaving the UK!
1. Inform HMRC
One of the first and most crucial steps before leaving the UK is to inform HMRC about your departure. This ensures that your tax affairs are in order while you are out of the country. This includes updating your address, providing a forwarding address for any outstanding correspondence, and settling any outstanding tax liabilities. Failure to inform HMRC may result in tax complications when you return, so make sure to handle this well in advance of your departure.
2. Notify Banks and Financial Institutions
Besides HMRC, you should also contact your bank and other financial institutions to inform them of your impending move. You can also provide them with your new address abroad or any other method they can use to contact you in case of emergencies.
Check for any pending transactions, direct debits, or standing orders and make arrangements accordingly. It's also advisable to open a local bank account in your new country ahead of time; this can help facilitate financial transactions once you move.
If you cannot retain your existing bank accounts, opening an international bank account designed for expats could be a good option. We can assist with this; more can be found on our International Banking page.
3. Healthcare Arrangements
Healthcare needs are one of the most essential factors that expats may overlook, and they must be addressed before leaving the UK. If you're moving to a country with a reciprocal healthcare agreement with the UK, you may be entitled to healthcare coverage in your new country. Before leaving, obtain a European Health Insurance Card (EHIC) or the latest UK Global Health Insurance Card (GHIC) to help you get medical coverage. If you're moving outside Europe, consider securing international health insurance or other options to cover medical expenses in your new destination.
4. Notify the Department for Work and Pensions (DWP)
If you receive benefits from the Department for Work and Pensions, such as state pension and other welfare benefits, inform them about your departure. They will advise you on how your benefits will be affected and whether there are any additional steps you need to take to continue receiving support in your new location.
5. Pension Considerations
If you are not receiving a government pension and have a private pension in the UK, consult with your pension provider to discuss the implications of your move. There are a few options: either leave your pension in the UK, transfer it to an international scheme, or make other arrangements, depending on if you intend to return to the UK. Pension regulations can be complex, so seeking professional advice is advisable to make informed decisions about your pension.
6. Tax Implications
Depending on your circumstances, you may be liable for taxes in both the UK and your new country of residence. This can depend on whether you are moving overseas for work, retirement, or even as a dependent. In this case, it may be beneficial to seek advice from a tax professional to ensure compliance with tax laws. A tax professional can also help explore applicable tax treaties that mitigate double taxation in your home and new country.
If you need assistance finding an expat specialist tax adviser, please contact us, as we have many contacts who might assist you.
7. Insurance Coverage
Besides health insurance, you should review your other insurance policies, including life and property insurance. This can include exploring options for international coverage and ensuring that your insurance coverage remains valid upon your return, if relevant. More information can be found on our Expat Life Insurance page.
8. Legal and Official Documents
Lastly, once everything is in order, organise important documents such as passports, visas, residence permits, academic qualifications, and other relevant paperwork. Ensure all documentation is current and get any certifications or translations required in your new country. Make sure you have digital copies available for easy access, as well as physical copies and any photocopies if necessary.
Leaving the UK to start a new chapter abroad is exciting, but meticulous planning is essential to ensure a smooth transition. You may even need to seek professional advice for any financial planning to ensure you are as well-prepared for your expatriate journey as possible!
Proctor Wealth provides expats with any comprehensive financial planning advice they need to navigate the complexities of expatriate finances. Want to learn more about our services and how we can help you? Reach out and schedule a call with our team today!
Will is an Independent Financial Adviser with over a decade of experience helping expats make the most of their international status.