State Pension Shortfall??

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NorthernGeezer_2
NorthernGeezer_2 Posts: 153 Forumite
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in Pensions, annuities & retirement planning
I intend to retire at the end of April this year aged 62 and my state pension isn't due until November 2021.
A recent state pension forecast gives me a full pension with 45 qualifying years.
Will the fact I will no longer be making national insurance contributions effect this?

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  • Silvertabby
    Silvertabby Posts: 9,023 Forumite
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    NorthernGeezer wrote: »
    I intend to retire at the end of April this year aged 62 and my state pension isn't due until November 2021.
    A recent state pension forecast gives me a full pension with 45 qualifying years.
    Will the fact I will no longer be making national insurance contributions effect this?

    No - you will get what you have accrued, plus cost of living increases between now and 2021.

    Just a point - have you ever been contracted out? When the DWP says 'full years', they actually mean 'full financial years' and not 'full not contracted out years'.
  • Paul_Herring
    Paul_Herring Posts: 7,481 Forumite
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    Silvertabby wrote: »
    No - you will get what you have accrued, plus cost of living increases between now and 2021.

    Just a point - have you ever been contracted out? When the DWP says 'full years', they actually mean 'full financial years' and not 'full not contracted out years'.

    .. don't you mean 'contracted in'?
    Conjugating the verb 'to be":
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  • GibbsRule_No3
    GibbsRule_No3 Posts: 610 Forumite
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    NG does it not give two amounts if you are not going to pay NI up to 2021? I was playing with my forecast yesterday on the .GOV site, I am a female and a year older than you but it gave me the amount I can get if I pay NI until April 2019 (SP kicks in March 2020, so cannot get that year, miss it by a month!!) £144 but if I went now and did not work anymore it would be £135 when it starts on March 6th 2020. That is with 47 years. Plus a COPE amount. So I'd check the NI payment to make sure you will get the full SP.
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  • NorthernGeezer_2
    NorthernGeezer_2 Posts: 153 Forumite
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    Need to get a new forecast I think, this ones dated March 2015
  • Silvertabby
    Silvertabby Posts: 9,023 Forumite
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    Paul_Herring wrote: »
    .. don't you mean 'contracted in'?

    'Full not contracted out' means the same as 'Full contracted in'.

    Ie, has not contracted out of SERPS/SP2 (by joining a contracted out occupational or personal pension), so all years count towards the new single tier pension.
  • GibbsRule_No3
    GibbsRule_No3 Posts: 610 Forumite
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    NorthernGeezer wrote: »
    Need to get a new forecast I think, this ones dated March 2015

    My old paper one just had £123 so I was pleased with my new amount, I did know I would get the extra for the post 2016 years, just not sure how much it was going to be, if RPI/CPI goes up it will be more than the £144 by the time I get to March 2020. I do benefit by the new SP as I was contracted out/in. Just sign up and do it online, very easy. A P60, Passport or Payslips were asked for.
    Paddle No 21 :wave:
  • NorthernGeezer_2
    NorthernGeezer_2 Posts: 153 Forumite
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    I read somewhere that your NI contributions from 2016 are taken in to account when calculating the amount.
  • molerat
    molerat Posts: 31,855 Forumite
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    NorthernGeezer wrote: »
    I read somewhere that your NI contributions from 2016 are taken in to account when calculating the amount.
    Only if your 2016 figure was less than £155.65.
  • NorthernGeezer_2
    NorthernGeezer_2 Posts: 153 Forumite
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    Mine was above that, so it seems I've nothing to worry about.
    I've filled the form in for an update anyway.
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