Pension Boosting article discussion

harz99

Elines wrote: »

My wife phoned the pensions boosting number over a week ago and has not yet had a reply - is there an alternative phone number that has a real person on it that we can use instead? Time is running out ........

This may help you - my wife left her details on the answerphone number given by the Pension Service 0845.6042931 and duly received an acknowledgement letter from them about 10 days later confirming the criteria she must meet, and saying that they would write with the info but it may be some weeks due to high volume of business etc.

This morning I called the Gateshead number on the letter and was told that those people that now are registering on the answerphone number are in the system and will receive a similar letter, but one which advises that the April deadline will be extended for them and when the full details are finally sent applicants will have a period of one month to buy the missing years.

Those like my wife will receive the benefit of the same extension of deadline for payments to be made.

There is apparently not any official mention of this facility yet; so Martin Lewis, if you're listening you may wish to follow this up asap.

Elines

Thanks for that information - we will await the letter

harz99

harz99 wrote: »

This may help you - my wife left her details on the answerphone number given by the Pension Service 0845.6042931 and duly received an acknowledgement letter from them about 10 days later confirming the criteria she must meet, and saying that they would write with the info but it may be some weeks due to high volume of business etc.

This morning I called the Gateshead number on the letter and was told that those people that now are registering on the answerphone number are in the system and will receive a similar letter, but one which advises that the April deadline will be extended for them and when the full details are finally sent applicants will have a period of one month to buy the missing years.

Those like my wife will receive the benefit of the same extension of deadline for payments to be made.

There is apparently not any official mention of this facility yet; so Martin Lewis, if you're listening you may wish to follow this up asap.

Just in case anyone is still under the impression that they need to have PAID the voluntary contributions before the April deadline to boost their state pension, my info from the Pension Service is that provided you have registered on the answerphone number 0845.6042931 before the deadline you will eventually receive an offer letter with a month FROM the date of that letter in which to pay - so its not (yet) too late to start the process.

grecophile

After listening to Martin on the radio , I decided to contact the Pensions Agency.Unlike others, I managed to speak to a real person and my pensions forecast duly arrived last week. I have 28 qualifying years.I suppose I need to buy back 2 years credits in order to get a full pension. With the April 5th deadline approaching and the news about the pensions shake up, I am unsure about what to do! Do I buy back before the deadline or wait? ............what are others doing?

organic_farmer

My partner is in real difficulty because she has deferred her pension for two years and now needs to take it. That should top her up by 20%, or she can take a lump sum, which could be used to add a much lower amount to her income.

She has asked the DWP for advice because there is speculation fuelled by the government that all state pensions will be raised to £140 a week. DWP are particularly unhelpful. Should she take £120 a week now and risk losing the deferred value or should she take £100 a week and a lump sum?

Elines

My wife has now received a letter from The Pensions Service, saying they are getting the info from HMRC.

Whilst this is progress, it makes no mention of the offer letter giving you a month from the date of the offer letter in which to pay

hugheskevi

She has asked the DWP for advice because there is speculation fuelled by the government that all state pensions will be raised to £140 a week. DWP are particularly unhelpful. Should she take £120 a week now and risk losing the deferred value or should she take £100 a week and a lump sum?

All information so far has been that the £140 p/w would be only for those reaching State Pension age in the future, not for those currently of pension age.

harz99

Elines wrote: »

My wife has now received a letter from The Pensions Service, saying they are getting the info from HMRC.

Whilst this is progress, it makes no mention of the offer letter giving you a month from the date of the offer letter in which to pay

All I can suggest is you do what I did and ring the Gateshead office at the number on that letter, and ask the same questions I did about time running out etc.

gadgetmind

My understanding is that if you're self employer, and you pay a whole year of Class 2 NICs at £2.60 per week, then this is a qualifying year. If you then don't earn more than (from memory) £5075, then you don't have to pay any additional Class 4 contributions.

So, my wife could register as a self-employed busker, start paying £2.60 a week by direct debit, and then stick a few quid a week on her tax return, but not enough to hit Class 4 or exceed her personal allowance.

Is it really this easy? Would her savings and dividend income be taxed just as now?

harryhound

She would have to complete a self assessment tax return every year and might get investigated by HMRC who would want to check her business bank account and her record keeping..
However if she is (say) a not very successful Ebay trader every week, I cannot see a problem.
If she started getting into the tax zone she would have "expenses" (going to the post office on her bike at 20p a mile - charging the business 3 quid a week for the heating and lighting of the cupboard under the stairs, which is her place of work etc.)
The country needs more of its citizens to be engaged in commerce now that the oil is running out.