Navigating the complexities of pension management can become challenging for expats as they approach retirement age. Pensions from previous employments can become difficult to track due to employer changes or updates within the schemes themselves. Locating all the benefits you’re entitled to becomes increasingly difficult if you happen to move frequently, too.
Whether you intend to transfer your current pensions abroad, consolidate multiple pensions for easier management, or plan your inheritance more efficiently, expat pension tracing is essential for ensuring that you don’t leave portions of your retirement savings unaccounted for.
In this guide, we’ll provide practical tips to help you trace your lost pension plans, regain your benefits, and reduce the chances of losing your pensions in the future.
What You Will Learn
- What is expat pension tracing?
- Why do pensions get lost or forgotten?
- What happens when pensions remain unclaimed?
- How can you locate lost or forgotten pensions?
What Is Expat Pension Tracing?
Expat pension tracing is the process of locating and reclaiming a pension account that an expat has lost track of. When a lost pension is found, it is usually relocated to either a new pension plan or an existing one that is under your control.
This also allows you to take advantage of benefits and options that may not have been available within the old pension plan, such as better allocation rates and reduced costs.
According to the Pension Policy Institute (PPI), lost and unclaimed UK pension pots have risen by 60% since 2018 and equal around £31.1 billion in 2024.
Why Do Pensions Get Lost?
Knowing why pensions get lost can help you assess your situation and determine the best approach towards reclaiming your funds. Some of the most common reasons for lost pensions include:
| Reason | Description |
|---|---|
| Job Changes | Regularly moving between employers can leave you with multiple pension pots that can become difficult to track if you don’t consolidate them on time. |
| Corporate Transformations | When pension provider companies merge or restructure, their schemes may be renamed, rebranded, or closed, making them difficult to locate. |
| Administrative Errors | Errors in data processing or record-keeping can create significant gaps in pension tracking. |
| International Relocations | Moving between countries can disrupt the continuity of your financial planning, especially if you haven’t taken the steps to transfer your pension or update your contact details. |
| Overlooked Schemes | Short-term or low-contribution pension schemes can be easily overlooked and eventually forgotten. This is more likely to happen if you aren’t aware that the employer opened an account in your name within the short period you worked for them. |
| Name Changes | If you get married, divorced, or change your name for some other reason, not updating your records makes it harder for pension providers to contact you (and for you to track your pensions later on). |
What Happens to Unclaimed Pensions?
In the UK, unclaimed pensions usually stay with the original pension provider. If the provider cannot contact you or locate you for an extended period of time (usually 15 years), and your assets remain untouched, your pension may be classified as dormant.
The cash value of your pension can then be transferred to the Dormant Assets Scheme, which was recently expanded to include:
- Pensions
- Life insurance policies
- Investments
- Unclaimed funds from security sectors
Pension providers are legally required to make every reasonable effort to reach you before transferring your funds to the Dormant Assets Scheme. However, the process can be finalised without your knowledge if your contact information is missing or outdated.
The funds from the Dormant Assets Scheme are then used to support various charities and other environmental or social initiatives across the UK.
However, your assets are not permanently lost, and they are still considered your property. The scheme allocates up to 60% of dormant funds to government causes, but the remaining 40% is reserved to ensure that account holders can reclaim their money at any time.
How To Find Your Pension
If you’re looking to reclaim your lost pension savings, there are a few approaches you can try:
- Gather all the information about your pension
- Reach out to former employers
- Use the pension tracing service
- Work with an expat pension specialist
Gather All the Information About Your Pension
To make your pension inquiries more effective, try to gather as many relevant details as you can recall about your pension scheme, including:
- Your address at the time of the employment
- The start and end dates of your employment
- Your National Insurance Number
- Your employer’s contact details
- Your pension scheme name and policy number
If you’re not sure what your National Insurance Number is, you can typically find it on payslips, P60s, and tax-related correspondence. You can also use the UK government website to find your National Insurance Number.
You should also look through your records while paying special attention to the following documentation:
| Documents | Why They Are Important |
|---|---|
| Pension statements | Most pension providers will send monthly or annual statements that contain details about the pension scheme, such as your contributions, fees deducted from the account, and potential retirement income. |
| Old payslips and P60s | These documents can provide details about total earnings and pension contributions made that tax year. |
| Work contracts or benefit documents | These documents often outline the terms of your pension contributions and other pension-related information. |
| Bank statements | Bank statements may also reference pension contributions. |
Some of these documents may have been sent to you in the form of email, so make sure to check your online correspondence with old employers and financial institutions, too.
Reach Out to Former Employers
If you can remember specific employers you worked for, reach out to their HR department directly. Write a clear and concise letter of inquiry to request information about any pension schemes you may have been part of. Keep your communication professional and clear to speed up the process.
For the best results, include these details in your inquiry:
- A brief description of your employment history with them
- Any relevant personal and financial details
- A request for confirmation of your enrolment in a pension scheme
Once you have the relevant information, you should contact the pension provider and ask for further assistance to locate your pension benefits.
If your employer is no longer in business and is not able to meet the pension obligations, you can verify whether your pension has been transferred to the list of pensions managed by the Pension Protection Fund (PPF). PPF can compensate you if the pension you are entitled to is a defined benefit type.
Use the Pension Tracing Service
Resources like the Pension Tracing Service provide an excellent starting point for tracing UK-based schemes. The Pension Tracing Service is a free, government-backed program with a large database of workplace and personal pensions. You can search for your lost workplace pensions using either your employer’s or the pension provider’s name.
The service provides details of pension providers or administrators, but you’ll still need to contact the provider to verify your pension and find out its value.
If you suspect that your pension provider has changed its name in the meantime, merged with another company, or been taken over, visit the Association of British Insurers’ “Keep Track of your Pension” page. There, you will find a list of pension providers and their relevant contact information.
Work With an Experienced Offshore UK Qualified Financial Adviser
If your expat pension tracing efforts stall or if your situation is particularly complex, seeking professional assistance is the most efficient way to start making significant progress. Pension advisers who specialise in tracking lost pensions can:
- Use pension-tracing tools and networks you don’t have access to, including international records
- Serve as an intermediary between you and pension providers
- Help you gather the necessary paperwork
- Offer pension advice on the best course of action after finding your schemes
Working with experienced firms like Titan Wealth International offers additional benefits. Beyond tracing pensions, our advisers can help consolidate your recovered pensions into one pot and develop a comprehensive financial strategy to optimise your retirement portfolio.
How To Prevent Pension Loss
Some of the practices you can adopt to prevent lost or forgotten pensions include:
| Reason | Description |
|---|---|
| Consolidating Your Pension Pots | If you’ve contributed to multiple pension schemes, consolidating your pensions into one pot can help you manage it more easily and minimise fees. |
| Keeping Your Contact Details Up-to-date | Your pension providers should have your up-to-date contact information at all times. This includes your current address, email, and phone number. |
| Staying Organised | You can use various pension tracking apps and financial management platforms to organise all your pension-related documents and monitor your retirement savings more efficiently. Some services offer notifications, reminders, and even helpful tips. |
| Scheduling Regular Pension Reviews | Reviewing your pension statements once or twice a year and checking the accuracy of your records and contributions can help you spot inconsistencies and react on time. |
| Seeking Professional Advice When Needed | In particularly complex cases, seeking expat pension advice is advisable. Financial advisers familiar with cross-border regulations can guide you on pension consolidation, tax implications, estate planning, and management strategies tailored to your circumstances. |
Key Takeaway
Tracing your lost pension is essential for maximising your retirement benefits and improving your overall financial planning strategy.
In this guide, we explained why pensions get lost, what happens to pensions if they remain unclaimed, and what you can do to find your lost pensions. We also provided a few tips to prevent pension loss, including maintaining updated contact details, consolidating your pension accounts, and using technology to stay organised.
At Titan Wealth International, our expat pension tracing services are tailor-made to help you locate and reclaim your retirement savings. Thanks to years of experience in cross-border financial management, we are well-equipped to guide you through even the most complex situations.
So, whether you’re managing multiple pension schemes across borders or need expat financial advice, our team is here to guide you every step of the way.
