Change Country of Residence under Two Track

If you are not on the two-track system, then you can move to any country you chose and all you have to do is notify the Fund of your change in address. If you are already on the two-track system, you need to submit a series of documents to the Fund every time you change your country of residence. Please provide the Fund with proof of residence in your current country with an official certificate of residence, proof of your arrival date with an official passport stamp, and an E.11 form for a change in country of residence. Please note, the E.11 form is necessary for a change in country of residence while the E.10 form is necessary only for those initially entering the two-track system.

For more information:

For detailed information about the two-track system, which is a feature of the Pension Adjustment System whereby your pension is calculated and maintained both in US dollars and in the currency of the country where you actually reside, please see the Fund’s informative page on Two Track.

In essence, the Two Track is an option made available by the Fund so that beneficiaries living in high cost of living countries can receive a periodic benefit that can adapt to the local cost-of-living changes. It has little to do with the choice of currency in which you wish to receive your periodic benefit and is more dependent on the differences in the cost of living between your preferred country of residence and the cost of living in the United States.

The following should provide you with, hopefully, a better understanding of the Two Track System.

What is it?

The Two Track system is composed of two elements, the dollar track and the local track.

Dollar Track:

All pensions are initially calculated in the dollar track which is based on the cost of living of the United States. Therefore, should you decide NOT TO switch to the Two Track, your benefit shall be based on the cost of living of the United States (U.S.), regardless of where you choose to live or whatever currency you would like to receive your benefit. The adjustments made to the amount of your benefit shall be based on the CPI (consumer price index) of the U.S. and if you choose to receive it in a currency other than the dollar, it would simply be converted on the basis of the average UN conversion rate of the preceding quarter.

Local Track:

The local track pension is calculated by converting the value of your dollar track (see above) on the first day of your retirement, at an average exchange rate between the United States Dollar and the currency of your country of residence (this average is computed over the 36 consecutive calendar months up to and including the month of your separation from service). Once established, it will be adjusted, based on the cost of living of your country of residence.

How does it work?

Once you elect to switch to the Two Track, you would now have two pension values, i.e., Dollar Track and Local Track. Each quarter, the Fund shall compare these two values and pay you the higher amount, subject to a maximum amount (which is 110% of the value of the Local Track value) and a minimum (which is 80% of your Dollar Track Value). Such feature provides stability as it avoids fluctuation of the monthly pension in local currency terms.

How to apply?

Before you decide to switch to the Two Track, we strongly recommend that you request for an estimate of your benefit under the Two Track, providing us with your preferred country of residence. This will give you an idea as to whether switching to the Two Track would, indeed, be advantageous. We should be able to run an estimate once the processing of your benefit is complete, following submission of your payment instruction form upon your separation from service.

Once you have decided to switch to the Two Track, you must fill out UNJSPF form PENS.E10 (Declaration of Country of Residence) form and return the same duly completed, date and signed with your signature in original ink, along with a certificate of residence dated no more than 3 months prior to submission. This certificate of residence must be in a form of a statement from a local government officer or local police, confirming that you indeed reside in the declared residence, contained in their letterhead and signed with their seal of office.

Where to submit?

Please mail the original form PENS.E10 affixed with your signature in original ink along with the original certificate of residence via certified mail with receipt confirmation and tracking information to the Fund at the address available at this link.