National Insurance situation

aphid2aphid

I would appreciate any thoughts on my predicament which points to having no National Insurance paid if I accept a job offer.

After 5 years working overseas my contract expired in December 2012 and since returning to my house back in the UK I have been seeking employment. I have recently been offered a 10 hour part time post which would earn me just under £70.00 a week. From what I can see if I accept the job I will face an issue regarding National Insurance payments in that the amount I will be earning falls below a threshold I have read about on the Which? web site:

"If your earnings are below the earnings threshold (£149 per week) you pay no National Insurance contributions but still build up rights to benefits, provided you earn £109 a week or more – the lower earnings limit for 2013-14." http://goo.gl/2DGFu

My situation is more complicated because, having worked overseas for the previous 5 years, I get no benefits at all - no job seekers, tax credits...nothing. Even though I paid into the system for the preceding 26 years, all I get paid is my stamp for signing on every two weeks. Under normal circumstances I imagine benefits would meet the NI payments (?) but because I do not qualify for any benefits this seems unlikely. Is there a payment source that would take care of National Insurance payments in this situation?

molerat

It depends what you want to get from the contributions. http://www.hmrc.gov.uk/ni/intro/benefits.htm shows what type of contribution gives what type of benefit. The only way to get the majority is by paying or being credited with class 1 contributions from employment. You need to get a state pension statement to see how many years you have accrued to date and possibly get a statement of contributions. You can purchase class 3 contributions towards the state pension. How old are you and was your overseas contract in the EU ?

http://www.hmrc.gov.uk/ni/intro/check-record.htm
https://www.gov.uk/state-pension-statement

aphid2aphid

Thanks for your reply.

My work overseas was in Asia so clearly not an EU country. I am 52 and have 26 years NI contributions paid up until I started working overseas in 2007.

The idea of paying NI contributions myself is not an option given that the only income I have is the result of my wife's part time 30 hour min wage job which barely pays what bills we have. As I said previously, the only thing I get is my stamp paid for signing on and if I did accept the 10 hour a week min wage job offer, there would hardly be any money sloshing about to resume my NI payments, assuming that is the only way they would get paid in this situation. That is what I am trying to find out, if there is a funding source that would meet that cost as there would be if I earned £109 or more a week.

t0rt0ise

If you are only working 10 hours a week then you should still sign on and get your NI covered that way, as you are now.

aphid2aphid

I thought you only sign on when unemployed? Surely I would not be allowed to accept a 10 hour a week job and sign on at the same time?

molerat

To get Jobseeker’s Allowance (JSA) you must:

• be 18 or over but below State Pension age - there are some exceptions if you’re 16 or 17
• not be in full-time education
• be in England, Scotland or Wales
• be able and available for work
• be actively seeking work
• work on average less than 16 hours a week
• go to a JSA interview

aphid2aphid

...and have been paying NI contributions during the preceding 2 (or is it 3?) years. Because i have been working overseas for the last 5+ years I get nothing other than my stamp paid for signing on. My previous 26 years unbroken contributions count for nothing.