Another NI question

sanfly

CIS wrote: »

Men working after 60 will be credited if they are earning but dont earn enough to accrue a qualifying year.

Not sure where this comes from, i was told by the pensions help line that a man was credited for the 5 years after 60, whether working or not.......

CIS

Not sure where this comes from, i was told by the pensions help line that a man was credited for the 5 years after 60, whether working or not.......

Technically yes, you gain an underlying entitlement, but the credit only comes in to play where you don't earn enough to gain a qualifying year through earnings. (I used to work for the state pension forecasting complex section)

sanfly

CIS wrote: »

Technically yes, you gain an underlying entitlement, but the credit only comes in to play where you don't earn enough to gain a qualifying year through earnings. (I used to work for the state pension forecasting complex section)

technically confused, so lets use a scenario...man retires early at 58, he does not work anymore, but he needs the 5 years credit from 60 to make up his full pension at 65,will he be credited with these 5 years to enable a full pension....

CIS

He will get the auto credits for each year between 60 and 65 that he meets the qualifying conditions for the auto credits.

nelliebag

Hi
I was just wondering if anyone can help me. I retired 4 yrs ago on a full occupational pension aged 48 after working for a company for 30 years. I paid NI contributions during that time. I didnt work again until a few months ago when I got a part-time job. The firm's accountant told me that I need to pay NI contributions from the salary I get. Question is do I need to pay if I have 30 years credits as such. I have a really good pension from my ex-employer and anything I get from state pension will take me into higher tax bracket (at today's levels). Or can I opt out or anything like that? Would really appreciate some advice.
Thanks
nellie

keaskin

I have 14 years hrp and when I got forcast they say I will not get any pension as you need so many payed years I cant remember exact number for hrp to count,
I have the option of buying more years to acheive this.most women dont know this and think they will get some pension and there is a time limit for buying extra years but not sure what it is. does anyone know.
hope this helps some women reading this and they get a forcast in time

seven-day-weekend

nelliebag wrote: »

Hi
I was just wondering if anyone can help me. I retired 4 yrs ago on a full occupational pension aged 48 after working for a company for 30 years. I paid NI contributions during that time. I didnt work again until a few months ago when I got a part-time job. The firm's accountant told me that I need to pay NI contributions from the salary I get. Question is do I need to pay if I have 30 years credits as such. I have a really good pension from my ex-employer and anything I get from state pension will take me into higher tax bracket (at today's levels). Or can I opt out or anything like that? Would really appreciate some advice.
Thanks
nellie

If you are working and earn enough to pay NI, you have to pay it I'm afraid, even if you've got enough years already.

Mary_Hartnell

nelliebag wrote: »

Hi
I was just wondering if anyone can help me. I retired 4 yrs ago on a full occupational pension aged 48 after working for a company for 30 years. I paid NI contributions during that time. I didnt work again until a few months ago when I got a part-time job. The firm's accountant told me that I need to pay NI contributions from the salary I get. Question is do I need to pay if I have 30 years credits as such. I have a really good pension from my ex-employer and anything I get from state pension will take me into higher tax bracket (at today's levels). Or can I opt out or anything like that? Would really appreciate some advice.
Thanks
nellie

Hi Nellie,

Lucky you for being able to retire at 48.
I retired at 56 and had a conversation with the tax man that went like this:
- So what do I get for all this, in my case self employed, national insurance?
"Nothing".
- So it is just extra tax on my part time activity ?
"I think you understand the situation very well".

I find I am now working just to pay my car expenses etc. It is not really worth working to be taxed at 40% plus another 8 - 9 % in NI contributions.
This is a shame really, because we cannot be complete dumbos to have become so "rich" by the time we retired and we probably still have something to offer the economy.

You can defer your state pension and it gets bigger for each year, BUT you might die without getting it at all.

You can put your earnings and possibly roll over some of your pension income into another pension fund, which can be outside your estate until the age of 75.

A cousin of mine found herself as one of a team of a dozen nurses, whose job was to keep an elderly ga ga heiress alive as long as possible - that sort of prospect fills me with horror.

If you have got any tips for avoiding 40% IHT and nursing home fees, let me know!

Pollycat

If you reach State Retiremnet Age after April 5th 2010, the law is changing so that you only have to pay 30 years' worth of Contributions to receive full State Pension. (It hasn't changed yet).

seven-day-weekend
Is this true?

I was under the impression that it was a proposal that had not yet been agreed (according to the last communication I received from the Pension Forecast people)

I hope so anyway, as it will save me 3 year's worth of voluntary contributions.

Polly

seven-day-weekend

AFAIK the law is changing but hasn't done so yet.

If I am wrong, I hope someone will correct me.