What Benefits at 60?

Bogof_Babe

xylophone wrote: »

I'll be interested to hear what happens about the Contracted Out Deduction.

I confess I haven't done any more about following that up, partly I forgot and partly it just seems beyond my comprehension .

I was given a figure this morning of £112.57 a week, so not that different from the basic rate I think. I was told that when they send the letter it will detail how it is made up.

Although my SRP date is 6th Jan, apparently I won't receive a payment until 16th. Good thing I'm not relying on it! However having experimented on the age calculator, I am lucky in that if I'd been born six days later I'd have had to wait another two months.

So glad I spotted this thread, it has explained the whole process in layman's terms so I now understand it a bit better.

gadgetmind

xylophone wrote: »

I'll be interested to hear what happens about the Contracted Out Deduction.

I assume you've read this?

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/210299/single-tier-valuation-contracting-out.pdf

gadgetmind

jem16 wrote: »

Have you ever done this? It seems not from your recent posts.

I guess some people like being confused so much that they aren't prepared to put in a few minutes of reading to clear the mists.

shezza2

John1993 wrote: »

I was born in a mining community in the North, and grew up amidst the miners strike, and the closing shipyards.

I decided that as a godo career in the North in a traditional industry looked to be a non-starter that I'd instead get a few degrees, and head off to try to make my fortune elsewhere.

People like you would of course have told me to acccept my lot in life, stick to what was right for me, and never to raise my sights.

People like you, thank god, are in the small minority now. Most people accept that we can change our stars, and find a new way in life when we want or need to.

Good for you making a choice early on. But like I say don't expect hard working miners or anyone else that do hard manual work, to retrain for a pen pushing job or florist after all their life down the pit. Which is quite different from someone who has pushed a pen or tapped on a keyboard all their life and probably retire at 55.

hugheskevi

Trouble is that what you get from the calculator is different to what HMRC/DWP tell you when you speak or write to them. And can be different depending on who you speak to when you get through.

If you speak to HMRC/DWP you will probably be speaking to someone in a very large call centre. Some employees will have been there years, know a lot about the system and can be very useful. Others may have worked there a week after only a little training. I wouldn't put any faith in what I am told by HMRC on the 'phone. (not dealt much with DWP). Also, there is a fair chance you will receive a scripted reply or a standard letter to a written query.

Written and online literature put out by Departments however will have been written by subject specialists, and scrutinised by many expert peers including lawyers and other professionals. Similarly, online calculators will have gone through detailed development.

Things like White and Green Papers,Gov.uk, Govt. Bills and Acts (at least the explanatory notes) might at first seem rather unapproachable, but they are fantastic sources of reliable information so well worth taking the time to understand.

xylophone

I assume you've read this?

I have but when I said I would be interested to know about the COD I meant in Bogof Babe's particular situation - she will draw her state pension in January 2014. The link refers to the single tier pension which does not start until 2016.

As I understand it from her previous posts, she has a deferred FS pension which was contracted out but the pension NRD is 65.

Although she is over 60 and female, she is not currently receiving that part of the pension that represents the GMP, although the GMP age for females is still 60.

The above being the case, I was just interested to know whether or not there will be a Contracted out Deduction on her pension statement.

Dimey

gadgetmind wrote: »

I thought we were talking about state pension age? Amount is different and for that you need to get a state pension statement.

Every part of that is wrong.

Try this fact sheet.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/181237/single-tier-pension-fact-sheet.pdf

This is a longer version.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/181231/single-tier-pension-executive-summary.pdf

There is another document with the whole blow by blow, but I doubt you want to plough through that.

Yes we were talking about state pension age. I kind of expanded :-)

Thanks for the links. I've been referred to them before by folk on MSE. I think I'll print off the relevant bits and send it back to HMRC/DWP to refute what they are saying.

I had just given up trying to get it sorted but I know I must pick it up again. Thanks

Dimey

jem16 wrote: »

Your thread on this matter back in April clarified ( or at least I thought it had ) all of this wrong information that you said you got from HRMC/DWP.

https://forums.moneysavingexpert.com/discussion/4546451

You were also advised on several occasions throughout that thread to obtain a state pension forecast which would tell you exactly what you would be entitled to. This would have taken away all of this "confusion". This amount would be your Foundation Amount as per the link I gave you yesterday.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/210299/single-tier-valuation-contracting-out.pdf

Have you ever done this? It seems not from your recent posts.

Thanks Jem 16. Yes after we spoke last time I got the forecast. They forecast less than the flat rate £145 and didn't include anything for Graduated/Serps/S2P. Also had only 40 years of NI contributions counted whereas I have more.

When I phoned to query/correct, they reiterated it was pointless requesting a forecast because by the time I am eligible for state pension it will be the flat rate and probably age 68. They said there was no point correcting the number of years contributing NI as you'll only need to have contributed 2 or more years so I'm eligible for the £145 flat rate anyway.

After this thread today, I've decided I'm going to print off the info in the links you've all provided and send it to them to ask them to re-visit what they are telling me.

I know this all sounds so frustrating when you professionals know everything so factually. I'm swayed by the latest person I speak to and don't have the confidence to insist when a person in authority tells me something that you guys have told me is wrong. I'll try harder! :-)

Dimey

gadgetmind wrote: »

I guess some people like being confused so much that they aren't prepared to put in a few minutes of reading to clear the mists.

On the contrary, I hate being confused and I like to be sure everything is correct which is why I've been trying to sort it out now rather than leave it till the pension is due.

I did read the links when I was given them a few times previously but they just don't match what I'm being told by the officials at HMRC/DWP.

I have plenty of time to read everything as I'm actually retired now although I don't have any pension income.

I think Hugheskevi hit the nail on the head. The staff who are dealing with me probably don't know much more than I do and just want to get me off the phone.

I also confess that I find the whole subject difficult to understand. I can never remember what the acronyms stand for and get confused by the jargon. Its completely alien to the work I used to do. However I will try again :-)

jem16

Dimey wrote: »

Thanks Jem 16. Yes after we spoke last time I got the forecast.

Did you use this link to get the forecast?

https://secure.thepensionservice.gov.uk/statepensionforecast/

They forecast less than the flat rate £145 and didn't include anything for Graduated/Serps/S2P. Also had only 40 years of NI contributions counted whereas I have more.

That is very strange if it is indeed the written forecast. Mine has an amount for Graduated Retirement - only about 42p mind you! It also told me that I have been contracted out of SERPS/S2P so have £0 there.

Have you definitely been building up SERPS/S2P? Have you paid the full stamp or the Married Woman's small stamp?

When I phoned to query/correct, they reiterated it was pointless requesting a forecast because by the time I am eligible for state pension it will be the flat rate and probably age 68. They said there was no point correcting the number of years contributing NI as you'll only need to have contributed 2 or more years so I'm eligible for the £145 flat rate anyway.

Never heard so much rubbish.

With your date of birth of 24/2/53 you will reach state pension age on 6th January 2016 which is before the flat rate comes into being. Your entitlement is based on 30 years of NI contributions as far as the basic state pension is concerned.