Why pay NI?

Easypd

Can i please ask and this is not meant to sound like 'why should i bother paying' more like 'what was the point?'

My wife did about 18 months self employed a few years back before starting employment. We paid all NI bills (monthly if i remember)

She is a grafter and has not been out of work for longer than 12 hours in the last 20 years, apart rom maternity of approx 18 months

She has lost her job and we went through hoops and degradation in the jobcentre, spoken down to an generally treated like rubbish

She has now been told she cannot recieve any help, as she has not paid enough NI.

We now live on about £150 a month to feed a family of 4.

If this is the case, then fine- we can budget, but what was the advantage of paying the NI bills when she was self employed?

Aginoth

Suggest you get down to your local CAB and have a full Benefits Check done, see what you are entitled too.

NASA_2

What benefit is she claiming?

Caz3121

jamiepullen wrote: »

My wife did about 18 months self employed a few years back before starting employment. We paid all NI bills (monthly if i remember)

how many years back?
The key dates for contributions based benefits currently are Apr 08-Apr 10. If she was self employed during this period then it is likely that the issue is due to the category of stamp that is payed by self employed people that does not count towards benefits (but does towards basic state pension)

http://www.hmrc.gov.uk/ni/intro/benefits.htm

NASA_2

Class 2 NIC's do count toward ESA but not JSA hence my question above.

I believe the theory is that a self-employed person should be planning ahead for periods where business is slow or where it stops altogether and make plans accordingly while illness/injury isnt something that can be expected and therefore ESA can be paid.

Easypd

We have never been in this situation, so just went for help. I believe it was jobseekers and she would have been approved were it not for this. the period included 2009 according to the letter declining us. (actually 4 letters from different departments- Another huge waste of time and money)

To be honest, i think we may just struggle on. We seem to be adjusting our lifestyle and doing ok and are looking at starting a business from scratch. the degradation she was put through by the lady was soul destroying for both of us and not worth any money. I just wondered what we paid the NI for, as i believe it is optional to pay if you are self employed.

One thing for sure, i really feel like i owe the country nothing right now. Never broken the law, worked every day of my 17 year working life and kicked in the teeth when we really needed help.

One good thing, you do really notice and appreciate what you have that matters and on that side, i am very wealthy!!

The lady i work with has a son who has more money that he knows what to do with and the lady in the job centre actually advised him to get two cats so he can claim an extra £30 per week!!

I always thought a jobcentre was there to help find jobs. seemed to me it was geared up to just being a benefits office.

All very wrong to me, but that is just my opinion and i dont want to start a rant...

paddedjohn

jamiepullen wrote: »

We have never been in this situation, so just went for help. I believe it was jobseekers and she would have been approved were it not for this. the period included 2009 according to the letter declining us. (actually 4 letters from different departments- Another huge waste of time and money)

To be honest, i think we may just struggle on. We seem to be adjusting our lifestyle and doing ok and are looking at starting a business from scratch. the degradation she was put through by the lady was soul destroying for both of us and not worth any money. I just wondered what we paid the NI for, as i believe it is optional to pay if you are self employed.

One thing for sure, i really feel like i owe the country nothing right now. Never broken the law, worked every day of my 17 year working life and kicked in the teeth when we really needed help.

One good thing, you do really notice and appreciate what you have that matters and on that side, i am very wealthy!!

The lady i work with has a son who has more money that he knows what to do with and the lady in the job centre actually advised him to get two cats so he can claim an extra £30 per week!!

I always thought a jobcentre was there to help find jobs. seemed to me it was geared up to just being a benefits office.

All very wrong to me, but that is just my opinion and i dont want to start a rant...

this has got to be a load of bull !!!!!!

Adereterial

There is no premium for pets on JSA - you were lied to, sorry.

Marisco

jamiepullen wrote: »

the lady in the job centre actually advised him to get two cats so he can claim an extra £30 per week!!

What??? WHAT????? I've got two cats, where do I claim?

Easypd

i was told one cat no, but two gets extra help by her. Perhaps she was trying to get a rise out of me. Doh! apologies for that one.

So am i right that the NI she paid effectively was for her state pension and thats it? If so, at least there was some reason to paying it....

Kalia

jamiepullen wrote: »

I just wondered what we paid the NI for, as i believe it is optional to pay if you are self employed.

It contributes towards state pension, maternity allowance but not statutory sick pay or JSA. If her earnings were under a certain threshold then she didn't have to pay them and should perhaps have researched to see if it was worth her paying it.

jamiepullen wrote: »

One thing for sure, i really feel like i owe the country nothing right now. Never broken the law, worked every day of my 17 year working life and kicked in the teeth when we really needed help.

Perhaps you would feel better if you considered the amounts involved. 18 months of class 2 NI is £195. JSA is £67.50 a week so in 3 weeks she would have got more in JSA than she paid in NI. I know it's not a bank and doesn't work exactly like that but it may help you to resent the fact it doesn't contribute to JSA less.

You mention having £150 for a family of 4 - are you claiming tax credits? Depending on your earnings that would considerably boost your income.