Reply With QuoteI have 27 full years, 4 where i didn't pay enoughOriginally Posted by Lammylee
My current estimate is £173.15 and a forecast of £185.15 if i contribute 3 more years over the next 20, so they only want 30 years from me?
That will be if you contribute 35 years before the retirement age, mine shows as around £150 a week if I stopped paying after my current contributions ( 28 years)
I have 27 full years, 4 where i didn't pay enough
My current estimate is £173.15 and a forecast of £185.15 if i contribute 3 more years over the next 20, so they only want 30 years from me?
Mine is 40 full years + 2 where I didn't pay enough, forcast is £217.21 p/week, the most I can get but I can't get it until 2031.
Not really. You have to keep paying NI unless you're below the payment threshold or you've reached state pension age.
Andy
Wanted - Damasko DC57
Thought maximum was £185, how are you getting more than this?
Confused here too, as I am in the £185 camp.
I have:
29 years of full contributions
21 years to contribute before 5 April 2043
1 year when you did not contribute enough
Which at 47 seems strange as never thought by part time / uni holiday jobs paid enough to qualify.
Missed a year when I was 19.
Don’t you get more if you weren’t previously contracted out before they did away with SERPS?
Sent from my iPhone using TZ-UK mobile app
Yes really. According to my forecast, I can contribute 3 more years, retire at 50 with only 30 full years, never pay NI again and still get the full £185 at state pension age, despite it supposedly needed 35 years, that's what I'm questioning. My forecast is clear, 31 years since I turned 16, 4 missing years because of uni, 27 full years of contributions/credits, yet it says I only need 3 more to hit the max £185
Last edited by Brighty; 26th January 2023 at 22:51.
FWIW I retired over 2 years ago , aged 60. Of course I won’t get my state pension until age 66.
according to the records I will be 4 years short of paying NI ..so I will get approx. £5.00 per week less for each year Im short of paid NI contributions, I do have the options of “ buying back”, it would cost me approx £800: for each year Im short….so, If I was to pay approx.£3,200… that would get me back £20: per week (; less 20% tax of course) .
I decided not to bother paying the £800 per year, I’ve also found out I can get about £30 per week from age 64 ( so next year) from NI contributions I have paid in the Channel Islands years ago…
I won’t bother paying back the 4 years of NI contributions , as in my view, for my case , it’s not worth it.I’d pay £3,200 to get an extra £16 per week state pension. Maths isn’t my forte! I think though IF I live until 70, it’s only then I’d see the benefit, and actually then the £3,200 would have been worth paying..
I’ve seen too many people die well before 70, plus I very much doubt an extra £16.00 per week will make a meaningful difference to my life when Im 70!
Horses for courses though…we all have different views opinions and lifestyles.
Also, way I see it, I’ve paid enough tax and National Insurance already! I don’t want to pay them £3,200, to get an extra £16 per week state pension ( after 20% tax that is).IF i live long enough to collect ANY state pension.
FWIW I retired over 2 years ago , aged 60. Of course I won’t get my state pension until age 66.
according to the records I will be 4 years short of paying NI ..so I will get approx. £5.00 per week less for each year Im short of paid NI contributions, I do have the options of “ buying back”, it would cost me approx £800: for each year Im short….so, If I was to pay approx.£3,200… that would get me back £20: per week (; less 20% tax of course) .
I decided not to bother paying the £800 per year, I’ve also found out I can get about £30 per week from age 64 ( so next year) from NI contributions I have paid in the Channel Islands years ago…
I won’t bother paying back the 4 years of NI contributions , as in my view, for my case , it’s not worth it.I’d pay £3,200 to get an extra £16 per week state pension. Maths isn’t my forte! I think though IF I live until 70, it’s only then I’d see the benefit, and actually then the £3,200 would have been worth paying..
I’ve seen too many people die well before 70, plus I very much doubt an extra £16.00 per week will make a meaningful difference to my life when Im 70!
Horses for courses though…we all have different views opinions and lifestyles.
Also, way I see it, I’ve paid enough tax and National Insurance already! I don’t want to pay them £3,200, to get an extra £16 per week state pension ( after 20% tax that is).IF i live long enough to collect ANY state pension.
And if you live to 90 the £3.2k will pay out £20k in todays money. And triple locked (at least for now).
Nobody knows when they are going to croak it, but assuming you make average age for a male in the U.K., I think paying the £3.2k is a no brainer.
I can see what you are saying…like I say though, we are all different.
I wouldnt be any better off, until about age 69-70, if I live that long!
As for living until 90, I know of only one guy, who is still in really good shape , I mean he walks a lot drives a car, blah blah blah, He is 94!
As for any other people over 90, I know not many, who are still sprightly have all their faculties and would be able to spend the extra £16 ( in todays money) a week, and that would really benefit them.
I’ve known many die young, I’ve known many taken into care, who lose their homes pensions , savings etc to pay for said care.
My personal aim is to keep on holidaying the winters in Thailand until I am physically unable to!!
When we are older, we tend to spend less anyway, plus add in the fact, unless we are mega lucky, the majority of us will end up frail etc, and things like foreign travel. Going out socialising etc etc are seriously curtailed.
I am by no means whatsoever well off! I live in a two bed terraced house!
My pension certainly isn’t a six figure number either!! Lol. Luckily it doesn’t start with a 1 though! Way I see it? I cam manage perfectly well now, with my pension, go away a lot etc. Then when and if! I reach 66 , I will be ( todays figures) be getting £165 a week state pension. Plus the £30 from jersey means by todays figures I will be getting an extra £200 per week , which is nice.
As it goes, I was planning on paying back a year or maybe two of NI contributions, then I found out about the Channel Islands thing,
Saying that? £2,400 for £20 a week until I pop my clogs? I guess it would make sense to sell a watch and pay it?!
Knowing my luck though, id pay the money and then die before I got any pension lol!!
Hmmn!
I think the selling a watch routine could well be worth it!
I use very twisted logic! In that I hate paying any extra tax etc, I was thinking ( todays money!) for the £3200, I’d be getting approx £20 a week more, or £16 after tax,
However, come April, with circa 10% pension rise, that £20 would be £22 per week or after tax £17.60..
You’ve got me thinking now!
Cheers!
( off to the swimming pool for a swim and sunbathe ,and to ponder on it now!).
Sorry, nothing useful on the NI chat. Just wanting to confirm you're somewhere other than South Wales (sunbathing in January), or you're hard as nails?
Nah I’m not as hard as nails.!
I’m away for a few months.
Obviously not in South Wales, hell it’s hard to sunbathe there even in the summer! It’s not the hottest part of the world, in the Rhondda valleys where I live, I’m currently in Thailand, hence the sun bathing bit!
Last edited by valleywatch; 27th January 2023 at 05:14.
I’m sure there is a retirement thread on here that would appreciate your contribution as to how you’re finding it, how you split your time etc if you haven’t shared already.
Mine says ...
__________________________________________________ _________
You can get your State Pension on xx xxxx 2034
Your forecast is £185.15 a week, £805.07 a month, £9,660.86 a year
Your forecast
is not a guarantee and is based on the current law
is based on your National Insurance record up to 5 April 2022
does not include any increase due to inflation
£185.15 is the most you can get
__________________________________________________ _________
What do you have to earn/do to get a qualifying year; asking for my wife ...
No idea why you only need 30 years to hit the full state pension. Maybe give then a ring just to check.
In terms of "never pay NI again" I think you might be confusing the amount of contributions you need to make to qualify for the full state pension with your legal obligation to continue to pay NI.
You have to pay NI if you earn above the threshold (circa £12k per year) until you reach state pension age. So if you retire early and live off your savings alone or have an income below the threshold, you'll have no further obligation to pay NI.
Many people have less years of full contributions to make than years to go before they reach state pension age, but at the risk of repetition, you're liable to pay NI until you reach state pension age unless your earnings are below the threshold.
Last edited by andy tims; 27th January 2023 at 10:32.
Andy
Wanted - Damasko DC57
This is my understanding.
What do you have to earn/do to get a qualifying year; asking for my wife ...?
I think NI is paid when earns hit £242 oer week. She may be eligible for credits if she receives cerain state benefits- that doesn’t mean you have qualify for benefit money. Some people claim credits for looking after their grandchildren.
Iirc the government quietly announced (10+ years ago) that 30 years equate to full pension only to reannounce some 3 years later that people would need 35 years. So it probably now depends on a given age bracket? The max state pension isnt the same for everyone
I think that if you are in full-time education after 16 you receive (free to you) NI credit for those years; they're not missing.
______
Jim.
My wife has several years of NI credits when she was not working at all (bringing up the kids) or working part time & earning less than the threshold.
Andy
Wanted - Damasko DC57
Precise wording is this :
You can get your State Pension on xxx 2031Your forecast
Your forecast is £217.21 a week, £944.48 a month, £11,333.71 a year
- is not a guarantee and is based on the current law
- is based on your National Insurance record up to 5 April 2022
- does not include any increase due to inflation
£217.21 is the most you can get
You cannot improve your forecast any more.
If you’re working you may still need to pay National Insurance contributions until xxxxx 2031 as they fund other state benefits and the NHS.
I don't know, precise wording is this:
Your forecast
- is not a guarantee and is based on the current law
- is based on your National Insurance record up to 5 April 2022
- does not include any increase due to inflation
£217.21 is the most you can get
You cannot improve your forecast any more.
If you’re working you may still need to pay National Insurance contributions until xx xxx 2031 as they fund other state benefits and the NHS.
Your £217 pension will be a transitional pension entitlement influenced by your historic SERPS additional contributions.
Those of us who didn’t opt for SERPS back in the 70s 80s or whenever it was cannot achieve more than the £185
It's very complicated & depends on her age. The first thing to do is get a Pension Forecast & see what her baseline is:
https://www.gov.uk/check-state-pension
Then contact the Future Pension Center & they should be able to tell her more information on eligibility for NI credit. Note the rules change this year limiting how far back you can go so you might want to check sooner rather than leaving it:
https://www.gov.uk/future-pension-centre
https://www.gov.uk/state-pension/eligibility
There's a lot of issues around the State Pension & women's eligibility:
https://www.which.co.uk/news/article...m-aknio1a5l8Hi
Thanks. She’s 48 and the system says she’s at £148 and needs to chip in another 9 years.
Retirees often discuss the best time to retire and how to avoid being skint because if you are skint as a pensioner, you are buggered for the rest of your life unless a rich relative dies on you.
The almost universal conclusion is that whilst a fat bank balance is desirable, a good pension that is indexed link is essential. If your pension does match your outgoings, you stand a high chance that your savings will disappear so you will end up living a second rate existence.
The £3200 will be recouped within 4 years which is a bloody good rate of return and if you die before you collect your pension, you are not going to worry about. Finally if you become skint because of a crap pension, your children will almost certainly start subsidising you and to be blunt, any parent who needs support from their kids isn't much of a parent. A retired parent should be making gifts to his kids, not the other way round.
Your final comment that you have paid enough tax and National Insurance already is incorrect. All of us who are drawing a state pension, myself included, are being subsidised by the younger generations. For many years your NI contributions were capped at 9% and in return you stand to receive £185 per week for about 15 years. We have royally screwed the system on that level of payment and we have no reason to moan but you really do need to boost your pension PDQ.
Last edited by Mick P; 27th January 2023 at 20:22.
Wouldn't surprise me at all if in the next 10 years or so state pension becomes means tested.
The reason why that won't happen is that pensioners are the most powerful pressure group within the voting group and woe betide any government who tries to do the dirty on them. They always vote through thick and thin and they hold the balance of power during elections and they know it.
Those pay the most tax get the biggest state pension
“ Ford... you're turning into a penguin. Stop it.” HHGTTG
It would be outrageous. Those who pay the most NI would be most at risk of getting no pension!
That's why it won't happen.
George Osborne introduced the triple lock during austerity and it made pensioners richer. He did it because it guaranteed that most pensioners would vote Tory and it worked.
Until Labour gets into power. Not long now.
If Labour did win the election they would fight tooth and nail to win the 2030 election. Labour will need every vote as does any outgoing party and they will continue to massage the tit (old political expression) of any power group and the pensioners are right up there at the top.
Shit on them and they will shit back on the party that does it.
Labour would keep the triple lock in order to boost their image of looking after pensioners and also to boost their vote count.
They call it Pork Barrel politics in the usa...the amusement and serendipity factors, that this cohort are popularly known as Gammons in GB is off the scale!
Can’t agree with much of what you say sorry.
As I said, we are all different, nobody has the same outgoings incomings lifestyle etc. etc.
I can assure you,I won’t become skint! I’m far from stupid, if you think I took my retirement plans lightly….you are very much mistaken mate.
My daughter won’t be looking after me at all…you don’t half spout some rubbish!
My pension now, more than takes care of my outgoings, thanks for asking,
My pension isn’t crap, I’m saving money from it too, as well as living the life I want…no need to touch my “savings”.
As I’ve said, the state pension IF I live long enough to collect it..is merely a bonus to me.
As for having fifteen years of state pension at £185 a week? As I say..nobody is guaranteed tomorrow.
As for you saying If you are skint as a pensioner, you will be skint for the rest of your life? Hate to break it to you Mick , but when you are a pensioner your days are becoming more and more numbered!the rest of your life isn’t long at all when you are a pensioner!
I’ve seen lots of your posts, where you think you are the fount of all wisdom…you ain’t though!
We can all have an opinion, my opinion is just that..my opinion…you on the other hand think you know everything…sadly you don’t !
Seriously Mick, there is a generation of underemployed people who can only get seasonal or part time work. Extremely judgemental to say they won’t be much of a parent when they retire. For many people, a Rolex is pie in the sky whilst they are too busy occupied with juggling which bill needs to be paid next and which bills will have to wait.
I find myself amongst a phalanx of would-be well-off retirees who through no fault of their own find their private pension pots to be worth in approximate terms one-third of what it would have been had the promises made at the inception of the plan come to fruition.
It is usually blamed on George Brown's interventions, but to be honest there were additional factors such as the stock market crashes.
Once it became obvious that I was paying in to a fund that would result in a miniscule annuity, I stopped paying, which didn't help.
Pick up the phone and ask those those know, the HMRC. Much less wasted time surely than asking random strangers on a watch forum.
G&D rule, simple: Friendly banter and clean jokes please and no politics or religion.
Quite right, mere personal opinion applies to all on here, even the apparent know-it-alls. That said, one might value some opinions over others (none is also an option).
She has about 19 or 20 years until she reaches SP age so is it likely she will work in the next 19 years & earn contributions? If she will then she could rely on earning enough that way. If she won't then call the the Future Pension Service & find out if she has any missing years or part missing years she could pay for; part years are obviously cheaper to buy than whole ones.
If she has no missing years & isn't going to work or doesn't claim some types of allowance then she will have to purchase the 9 years. As has already been said the rules change in April so she should check before it is too late.
She tried, they don’t answer the phone. I’m on her case.
Well, they have always answered when I've called. You need to expect a wait of 40 minutes or so though.
I think 40 minutes was beyond her tolerance at the time, she will try again. She has written them a letter, maybe that will get a response.
I imagine the HMRC phone lines are in meltdown this week as the self assessment deadline is 31st January, so you might have more luck getting through in a week or two
Major changes to retrospective NI payments starting 31st July 23. You can only go back 6 years for NI payments instead of back to the 2006-7 tax year.
https://youtu.be/EoEZn_cXkEQ
Really good video, thanks.
Reminds me - my parents have been bugging me to check theirs, so will do it this weekend!
What worries me about pensions, is the future is unknown and governments have been known to change the rules and regulations as they go. But certainly makes sense to top up in certain scenairos by the sounds of it.
I think it was approx 15 years ago that the gov announced that you would only need 30 year’s contributions for a full state pension only to very quietly row back some two years later to announce 35 years were required. Have always wondered if any people have been caught out…
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