Pension Boosting article discussion

RiponJohn

I retired 2 years ago aged 61, and being male do not qualify for a state pension until 2102 I have only accrued 24 qualifying years, having worked overseas until I was 38. I am eligible for a few extra qualifying years having worked in Australia and Papua New Guinea at a time when the reciprocal arrangement was in place.

I have been on a company pension since retiring and someone mentioned I may get extra qualifying years for the years since retiring up to age 65.
Is that an option or is it simply the case that I can buy NI contributions to cover those years.

SoHopeful

Martin says, 'You also get them if you are a full-time parent who claims Child Benefit for someone under 16, or a full-time carer who claims Income Support. However, foster carers and others may have to claim it ( find out more ). Until 5 April 2010, these were called Home Responsibilities Protection (HRP). Years of HRP built up before then will count as qualifying NI credit'.

HOWEVER, be aware that any years in which you elected to pay the (reduced) 'Married Woman's NI contribution', like me (because we were both low-paid and I relied on my much older husband's pension), You are NOT entitled to HRP. So the woman across the road who refused to work when her kids were growing up, relying completely on benefits, IS entitled to full State Pension, while I, who struggled to stay in the workplace, often no better off, am not. Did someone say something about 'Fairness'?

hugheskevi

I retired 2 years ago aged 61, and being male do not qualify for a state pension until 2102

Crumbs, State Pension age really has increased a lot

I have only accrued 24 qualifying years, having worked overseas until I was 38. I am eligible for a few extra qualifying years having worked in Australia and Papua New Guinea at a time when the reciprocal arrangement was in place.

You only need a total of 30 for the full pension - it sounds like you might already have that.

I have been on a company pension since retiring and someone mentioned I may get extra qualifying years for the years since retiring up to age 65. Is that an option or is it simply the case that I can buy NI contributions to cover those years.

It certainly used to be the case that men got credits between the age of 60 and 65. I just tried looking for a reference, but DWP have withdrawn their most detailed guide (NP46) for updating, and nowhere else seems to reference it. I am not aware of changes, but there could have been, as a lot changed this year.

I think you need to prove those years in Australia and PNG when you claim State Pension, so make sure you have all the evidence and be aware that they probably don't show up in your State Pension forecasts.

I'd start by confirming exactly how many years you have (it sounds like 3 years of starter credits, 21 years of work between aged 38-59 plus some more to come from the overseas qualification). Then research about the 60-65 auto-credits.

andygodwin

hi
i really dont get this basic SP and Boosting at all.

i'm 44, and from my PensionService letter i have 14 qualifying years for the BasicSP. i'm planning to work till 60ish so will add another 20 odd years to this.

i also have a stakeholder pension.

Do i need to boost anything??

regards A

SnowMan

andygodwin wrote: »

hi
i really dont get this basic SP and Boosting at all.

i'm 44, and from my PensionService letter i have 14 qualifying years for the BasicSP. i'm planning to work till 60ish so will add another 20 odd years to this.

i also have a stakeholder pension.

Do i need to boost anything??

regards A

By the time you have reached State Pension Age you should have around 34 qualifying years (14 + 20). As you need 30 years to qualify for a full basic state pension there is no need for boosting in your case.

Pension boosting is only really relevant now for people who won't have achieved 30 qualifying years by the time they reach SPA.

Always worth getting a state pension forecast every now and then to check qualifying years.

andygodwin

i thought for a while that boosting applied to the "additional SP",
but now i dont know what applies to the Add'SP

and is it corrrect that if i move my stakeholder to a sipp i automatically contract back in??

A

dunstonh

and is it corrrect that if i move my stakeholder to a sipp i automatically contract back in??

Only if you contract back in at the same time.

carolemum2boys

Hi i have been at home looking after my children for the last 20yrs, five of those i spent looking after my partners business from home but have discovered now we've split that he didn't pay NI for me. I think I have about 13yrs contributions and wondered if anyone can tell me what I should do for the best now to ensure I qualify for state pension when i reach retirement age. I have never been on benefits.

patanne

You would be best getting a state pension forecast which will tell you how many years contributions you already have plus how many years home responsibilities you have ( I believe the max is now 12 but I'm sure someone will correct me). When you get this see how easily you will be able to get in the total of thirty you need for a full pension.

For example

5 years contributions before your children + 12 years caring for children totally 17 years contributions. Meaning that you need another 13 years contributions for a full pension. Very rough but it gives you an idea.

s12

A year or two before the rules were changed for males to require only 30 years NI contributions ( 5 April 2010) I had a pension forecast and as a result paid for one additional year - I had 38 years and will reach 65 this year. The rules then changed and so I did not need that 39th year. I wrote to my tax office asking for a refund since the law had changed but they stated that no refund would be forthcoming. Seems rather unfair since on quoting the cost of that extra year they had stated that a delay in payment was likely to lead to an increase in cost if paid at a later date. Anyone else had the same experience?