Any disadvantages in a UK citizen becoming a US citizen?

[Nich-Nick 3,353]

He may not want to draw his UK pension.

Because your husband is no spring chicken (like mine so this is not an insult), he won't ever contribute to the US Social Security system for 30 years. But he probably will work long enough in the US (40 quarters of work) to draw US Social Security.

I appreciate your post RJ. We haven't really looked into the pension aspects and I've learned some concepts to research. (I think it was you who made a post along these lines recently too.) Private pension, state pension, and Social security-- Will have to see how they all work together. Are people with private pensions allowed to have the state pension? My husband has no clue if he has a state pension he can collect. He has 30 years work in the UK.

[Rebecca Jo 1,962]

I appreciate your post RJ. We haven't really looked into the pension aspects and I've learned some concepts to research. (I think it was you who made a post along these lines recently too.) Private pension, state pension, and Social security-- Will have to see how they all work together. Are people with private pensions allowed to have the state pension? My husband has no clue if he has a state pension he can collect. He has 30 years work in the UK.

Go here for how to get a pension forecast from HRMC:

http://www.direct.gov.uk/en/Pensionsandretirementplanning/StatePension/StatePensionforecast/DG_10014008

If he worked thirty years I'm sure he can draw a full pension. British citizens can draw a partial pension too. We went for a pension forecast at his local tax office before he moved over. He had sixteen years of work and they told him he would be eligible for a little over half a normal pension if he never contributed again.

As far as I am aware, private pensions don't affect a UK state pension. My BIL has a private pension from his work and draws a full UK state pension. I don't imagine a private pension in the US would affect this rule.

[Rebecca Jo 1,962]

Shari - My comments are in bold.

(When it says "an employerin another country", doesn't this mean if you are living in the U.S. nowand work for an employer in another country rather than if you lived and workedin the UK and qualified for UK pension?)

Yes, but don't the two things essentially mean the same thing?

. (Again, sounds like it is if you lived the U.S. but received a workpension where SS taxes were not taken out. It does not sound like if you livedin the UK, worked in the UK, and qualified for UK pension you were have your USSS reduced).

I don't think it sounds that way.

(And my last comment: Again, it makes sense if you lived in the U.S. and earned a pensionthat did not take out SS taxes while living in the U.S.)

If you earn a UK pension, they didn't take any SS taxes out of it, did they?

[Shari 6]

Ok Rebecca, so you think that he will only get HALF of his US Social Security then if these all refer to having a UK pension (that obviously did NOT take out US socal security taxes)?

He does have hiis 30 years in the UK state pension and he will meet his credits at the end of this tax year (2012) to get US Social Security. Also, he has a private shipyard pension through the UK when he worked at a shipyard for over 20 years. Can US SS deduct that private pension too from his US Social Security? This is a BUMMER!

[DiZZyLoX 114]

My husband will be US citizen in less than 18 hours from now!!

(Can ya tell I'm so excited?? Even using that dorky dancing smilie. Hahahaha)

woooooooohoooo! Did you have to convince him or wha??

[Rebecca Jo 1,962]

Ok Rebecca, so you think that he will only get HALF of his US Social Security then if these all refer to having a UK pension (that obviously did NOT take out US socal security taxes)?

He does have hiis 30 years in the UK state pension and he will meet his credits at the end of this tax year (2012) to get US Social Security. Also, he has a private shipyard pension through the UK when he worked at a shipyard for over 20 years. Can US SS deduct that private pension too from his US Social Security? This is a BUMMER!

If your husband draws his US Social Security AND his UK State Pension, they won't reduce his Social Security by half. They will reduce his Social Security by half the amount of his UK pension.

His private pension from the UK will not affect his Social Security. After all, you can draw a pension from a US company and it doesn't affect Social Security. Private pensions aren't funded with tax dollars, so they don't affect government pensions.

How can he have earned all his US credits for Social Security already? It takes 10 years of continuous employment to qualify for SS. I know when he came over cause it was about the same time as my husband, which is coming up on 7 years..........

By the way, you can make an appointment with your local Social Security office to talk about your future options. Ask them if they have an expert on the Totalization Agreement - don't waste your time at an office that doesn't have one of these qualified people on staff. Make the appointment once you have received a paper state pension forecast from HMRC.

[Shari 6]

I

How can he have earned all his US credits for Social Security already? It takes 10 years of continuous employment to qualify for SS. I know when he came over cause it was about the same time as my husband, which is coming up on 7 years..........

Wow - just went back and checked this and I was wrong. I thought you had to have 32 "credits" of work (Keith has 28 now) for retirement but it says the 32 is for disability benefits. You are right, you have to have 40 credits of work, which I assume is 10 years as you said, since you get 4 credits a year. Guess I didn't read right so glad you pointed that out. Well, since Keith is about to turn 54 he will definitely have at least 10 MORE years of working. I just wonder what amount of SS he will get then to try to calculate it out. Gee, why can't they just get the money they are due and have paid into? Darn!