Spouses State Pension on Death

jerrysimon · 13 February 2018 at 2:27PM

This is something I may have over looked re provision for my wife should I die.

At the moment I have a DB pension (currently drawing) which my wife will get half of should I die first. We both have almost full NI contributions and my wife also has a small local council pension due at 60.

Both of us get our state pensions in 10 years time. Am I correct in that on death of either of us the surviving one will get 50% of the others state pension on top of their own ?

westv · 13 February 2018 at 2:33PM

jerrysimon wrote: »

Both of us get our state pensions in 10 years time. Am I correct in that on death of either of us the surviving one will get 50% of the others state pension on top of their own ?

No, I think that benefit disappeared in April 16.

xylophone · 13 February 2018 at 3:26PM

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/181235/derived-inherited-entitlement.pdf

Scenario 3: a. Dependant reaches SPa in single tier
b. Contributor reaches SPa / Dies / Divorces under SPa
in single tier

on page 15.

jerrysimon · 13 February 2018 at 3:39PM

I think it disappeared if you were married "after 2016"

https://www.gov.uk/additional-state-pension/inheriting

I am still not sure after reading the link xylophone posted though :question:

Silvertabby · 13 February 2018 at 4:45PM

jerrysimon wrote: »

I think it disappeared if you were married "after 2016"

https://www.gov.uk/additional-state-pension/inheriting

I am still not sure after reading the link xylophone posted though :question:

It's if you reach State pension age after 2016, which appears to be the case here.

If it softens the blow, if the old rules still applied then each of you would have only received a percentage of any additional pension, such as SERPS/SP2 and not half of the others full State pension.

xylophone · 13 February 2018 at 5:02PM

Individuals in the scenario where both the Dependant and Contributor reach SPA in single tier, will not be able to derive entitlement to Category A or B pensions.

When starting ("foundation") amounts were calculated at 6/4/16, some people's were more than the full new state pension of £155.65 (not the £144 mentioned in the link which was an estimate of what full NSP would be at introduction).

The amount over and above the full NSP was known as a "protected payment".

The link goes on to explain:

A Dependant will be able to inherit 50% of the Contributor’s Protected Payment. The total State Pension cap, set out in box 1 above, will also apply, such that the Dependant’s total state pension (Foundation Amount plus extra pension gained through further qualifying years or protected payment plus any inherited protected payment) cannot be more than the cap.

Inheritance of the Protected Payment amount is conditional on the marriage or civil partnership having been existent prior to the introduction of single tier. In cases where a marriage is formed after the introduction of single tier, and where the Contributor has a Protected Payment, there will be no provisions for the Dependant to inherit the Protected Payment.

xylophone · 13 February 2018 at 5:08PM

Another link here

https://www.gov.uk/new-state-pension/how-its-calculated

margaretclare · 13 February 2018 at 5:35PM

What happens to SERPS? It has been my understanding that that was inheritable by the survivor, depending on year of birth,

Mnd · 13 February 2018 at 5:37PM

You are in exactly the same position as us, if my wife were to die before me I have occupational pension plus enhanced state pension
She will have her full state pension (deferred probably ) plus part of my works pension , so we are trying to build a separate pension to cover this eventuality

xylophone · 13 February 2018 at 5:51PM

What happens to SERPS? It has been my understanding that that was inheritable by the survivor, depending on year of birth,

https://www.gov.uk/additional-state-pension/inheriting

The OP and his spouse both reach SPA in the new system.

Transitional arrangements described in link in post 4.

margaretclare · 13 February 2018 at 6:43PM

xylophone wrote: »

https://www.gov.uk/additional-state-pension/inheriting

The OP and his spouse both reach SPA in the new system.

Transitional arrangements described in link in post 4.

Thanks for the link. I'm pleased to note that the arrangements for DH and me are still the same because of the year/s we were born.

Sorry, OP, thinking of self and not of you!

Spouses State Pension on Death

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