Top up your state pension now

EdInvestor

http://www.thisismoney.co.uk/retirement/article.html?in_article_id=458471&in_page_id=6

Class 3 NI contributions for missing years to rise by 50% from April.

MiM

Hi Ed,

Any chance you could have a look at my updated figures on the Pension question I asked the other week? Would this topping up be a good diea in my case?

Thanks

SilverScooby

1 years contribution buys 1/30th of the basic pension for anyone retiring from April 2010.

I make that £421.20 buys £165pa, index linked, for life, based on 1/30 of the 2009\10 pension of £95pw.

Loads of caveats of course about individual circumstances, potential loss of means-tested benefits, no point if it doesn't increase pension over that based on husband's contributions, etc etc

A good place to start is getting a Pension Forecast from http://www.thepensionservice.gov.uk/state-pension/forecast/home.asp

jamesd

"the price increases will pay for more generous rules, allowing those with at least 20 years of NI contributions to buy back an extra six missing years going back to 1975-76."

So now we know how much that will cost.

dweep

Would I be right in assuming that this buying up of missing years does not include the recently presented plan for some women to buy upto a further 6 years of nic's going back as far as 1975 ??

I thought all that was going through Parliament next April....and we wouldn't be able to buy back those years until after April 2009 (so therefor we would automatically be charged at the new inflated price)

EdInvestor

dweep wrote: »

I thought all that was going through Parliament next April....and we wouldn't be able to buy back those years until after April 2009 (so therefor we would automatically be charged at the new inflated price)

That's correct.This thread is really meant for people who need to buy back normal years (up to 1997/8 is currently allowed) as the price for them will be rising too.

Dithering_Dad

Thanks for the 'heads up' EdInvestor. My missus has one year she can buy back and we keep forgetting to sort it out.

Although the threshold has now dropped from 44 to 30 years, due to child birth she may still struggle to get the full 30, so it's worth a couple of hundred just for piece of mind.