Pension Boosting article discussion

dejavou

Thanks for the phone number Jancee :beer:

antenna

If a retired woman with 35 qualifying years now receiving (not the full 39 year full pension) but a reduced pension,when the qualifying years are reduced to 30,will the woman then get a full pension?

joannie

Hi

No, the state pension is caculated at the date you retire and would not be increased. Sorry.

Moggles_2

antenna wrote: »

If a retired woman with 35 qualifying years (not the full 39 years) now receiving a reduced pension, when the qualifying years are reduced to 30, will the woman then get a full pension?

As above, unfortunately not.

Have you checked whether you're entitled to pension credit?
http://www.moneysavingexpert.com/reclaim/state-pension#credit

SnowMan

antenna wrote: »

If a retired woman with 35 qualifying years now receiving (not the full 39 year full pension) but a reduced pension,when the qualifying years are reduced to 30,will the woman then get a full pension?

As has already been stated the change to 30 years is not retrospective I'm afraid.

I take it you are past SPA and in receipt of your state pension now?

If you (or the person you are referring to here) don’t qualify for pension credit worth considering paying class 3 voluntary contributions as per the pension boosting article. If there are any tax years between 96/97 and you reaching SPA where you have missed credits you should be able to buy them back. Doesn’t matter that you are over SPA now.

And if you reached SPA after 6 April 2008 then there is an option to buy back years right back to 1975 (albeit at the higher 2009/2010 cost)

With 35 qualifying years currently you should be getting 90% of the full basic state pension. With an extra year you would qualify for 93% of the full basic state pension. So an extra year credit would mean an increase of £148.59 per annum (4,953 x 0.03) which could cost you as little as £309.40 if it was the 96/97 tax year.

You need to get a move on if you are able and intend to buy credits because of the 6 April 2009 deadline.

When did you reach SPA and do you know which tax years if any on or after 6/4/96 you are missing the credits for? Could be more specific if I knew that.

Niggles

jancee wrote: »

People who reach pension age between April 6 2008 and April 5 2015 and who already have 20 qualifying years [including HRP] can buy up to six more years at £626.60 per year after April 6 this year. If you ever were entitled to pay the married women's small stamp those years are irretrievable.

Get a pension forecast.

My understanding is as you say with regard to the married womans stamp. One question however, if you gave up work on the MWS to have children in the late 70's, after two years you were automatically transferred to the full stamp and started earning HRP as a full stamp payer. With the new 30 year rule can you buy back the two "lost" years of assumed MWS at the new £626.60 rate?

jancee_2

Niggles wrote: »

My understanding is as you say with regard to the married womans stamp. One question however, if you gave up work on the MWS to have children in the late 70's, after two years you were automatically transferred to the full stamp and started earning HRP as a full stamp payer. With the new 30 year rule can you buy back the two "lost" years of assumed MWS at the new £626.60 rate?

Sadly, no. Years in which you were 'entitled' to pay married woman's stamp are irretrievable. As you say, it would lapse after two years when you stopped work unless you actively elected to go back into the full stamp, even if you had stopped working.

kokma_nick

RichOxon wrote: »

Only 30 years count, so the additional 18 years don't get you anything extra as far as the basic pension is concerned. I'm not sure how any additional pension credit might be affected.

Your contributions go towards other things as well as your pension, and even after you've accumulated 30 years worth, you need to continue to pay them if you're self-employed, and earning more than a certain (quite small) amount.

Although 30 years contributions will ensure a full state pension if you reach 65 + after 6th April 2010, I believe 44 years contributions will still be required after 2010 to receive full bereavement benefits.

kokma_nick

SnowMan wrote: »

And if you reached SPA after 6 April 2008 then there is an option to buy back years right back to 1975 (albeit at the higher 2009/2010 cost)

With 35 qualifying years currently you should be getting 90% of the full basic state pension. With an extra year you would qualify for 93% of the full basic state pension. So an extra year credit would mean an increase of £148.59 per annum (4,953 x 0.03) which could cost you as little as £309.40 if it was the 96/97 tax year.

You need to get a move on if you are able and intend to buy credits because of the 6 April 2009 deadline.

Have today received a letter from HM Rev and Customs with regard to paying additional NI contributions right back to 1975

"This will require an amendment to the pensions Bill 2007 and it is planned that this legislation will be implemented from April 2009" - until that time customers will not be able to make additional Class3 contributions They go on to say "the legislative changes proposed require the approval of Parliament and Royal Assent and so could be subject to change"

If it does become law in April then the class 3 voluntary contribution will be £626.60 per year

joannie

jancee wrote: »

You can claim on ex's contributions and remarry the day after pension age is reached.

Oh well, only 9 years left to wait to get re married!!!!!