State Pension Payment Date Ripoff

Jennifer_Jane

Plebeian wrote: »

How many millions is the [STRIKE]government[/STRIKE] taxpayer saving from all retirees in a year.

Changed that for you.

noh

As david39 said you can get it back at the other end if you arrange the date of your death effectively.

from
Amendment of the Social Security (Claims and Payments) Regulations 1987


"(1D) Except in a case where regulation 22D(1) or (2) applies, for the purpose only of determining the day from which retirement pension payable in arrears under regulation 22C is to become payable, where entitlement would otherwise begin on a day which is not the first day of the benefit week, entitlement shall begin on the first day of the benefit week next following.";
(b)after paragraph (2C)(4) insert—
"(2D) Where a retirement pension is paid in arrears under regulation 22C and the award is terminated due to the death of the beneficiary, the termination shall take effect on the first day of the benefit week next following the date of death.

noh

Plebeian wrote: »

How many millions is the government saving from all retirees in a year.

Overall there is no saving because at death the pension payment is terminated from the first day of the payment week following the day of death.
Those payments made for up to 6 days after death cancel out the payments that may not be made up to 6 days after retirement age.

antrobus

Plebeian wrote: »

I seem to have stirred up a hornets nest with the users of this site.

No not really. You're not the first to have posted a thread here about this Great Pension Scam.

Plebeian wrote: »

How many millions is the government saving from all retirees in a year.

Zero millions.

The government doesn't have any money. No government has any money, they simply act as a middleman; what they collect in taxes on the one hand, they dispense in spending on the other.

antrobus

Loughton_Monkey wrote: »

You have not "lost" anything. In the same way as when you take a job and work for a month before being paid. You don't always get things in advance.

Your entitlement started on your 65th birthday, and if all you have to worry about is the day of the week that actual entitlement is paid, then you will not find a lot of sympathy.

That's actually a good point. If the government wrote to every single new pensioner, and told them that their entitlement began on their 65th birthday, but they would be paid so much on the xth of the month, being so many days in arrears and so many days in advance (as applicable), what difference would that make to anything?

CLAPTON

I've no idea what the history behind this, probably dates back to all being done by hand; but it would be trivial to alter this with a few lines of computer code

ffacoffipawb

Plebeian wrote: »

Hi all,

Don`t know if this has been discussed before but thought I`d mention it here anyway.

just turned 65 and looking forward to boosting my income with my forthcoming State pension.

Received my Award Notice Details and was puzzled to find the first payment start date was 5 days after my 65th birthday.

Phoned the Pension Service to query this to be told by a very apologetic young lady that depending on the last 2 characters of your National Insurance number you could lose up to 6 days pension as they have to get you into the pension payment cycle.

Surely it`s not beyond the wit of the Mandarins in the DWP to pay the shortfall.

I calculate I will lose in excess of £100 pounds.

Nowhere in the Statement or Notes about State Pension does it inform you that this will happen.

Thanks a bunch DWP.

Plebeian

Plebeian by name ....

noh

CLAPTON wrote: »

I've no idea what the history behind this, probably dates back to all being done by hand; but it would be trivial to alter this with a few lines of computer code

No it is a deliberate decision it was done to align the pay dates of all social security benefits.
See my post above linking to the Amendment of the Social Security (Claims and Payments) Regulations 1987

patanne

It gives the date mine will be paid as part of the state pension forecast so I have known for 6 years now that I would "lose" 6 days pension. Over £200. It is also on the direct.gov (or was as I checked the info given was correct at the time) website too. A lot of the "I didn't know" seems to come from what people have assumed to be true or heard down the pub and never looked into for themselves. A bit like - I'm a woman and assumed that I could retire at 60. My family have been discussing for years (as in around 20) that my sister was lucky to have only just missed that. So the motto should be assume nothing & check everything. It is your money/financial future at stake after all.

anmarj

Its nothing new, it has always been that even before the new rules, were introduced, if your birthday did not fall on your payday, you were not entitled to any extra payment inbetween

here is the new rules on directgov

Benefit payment changes that start from April 2010

The changes also affect the payment of State Pensions. If you reach State Pension age on or after 6 April 2010 you'll be paid in arrears on a day linked to your NI number. This means you will be paid at the end of your pay week, not from the start. Your payday is the day you normally receive your payment (sometimes called your ‘pay week-ending day’).
National Insurance number

Your National Insurance number (NINO) is the number you get when you first start work or claim a benefit. It is normally shown on the letters The Pension Service sends you.
The Pension Service uses the last two numbers of your NINO to work out your new pay week-ending day. This is shown in the following table.
Last two numbers of National Insurance number Pay week-ending day 00 to 19 Monday 20 to 39 Tuesday 40 to 59 Wednesday 60 to 79 Thursday 80 to 99 Friday
For example, if your National Insurance number is QQ 12 34 56 A, your pay week-ending day will be Wednesday.