<45 is it worth paying to top up Ni contributions?

PollySouthend

Just had my statement through and I can pay for a couple of years to get fullni credits.

However really not sure if I should bother as I'm in my 30s and don't expect the state pension to exist when I'm in my 80s.

Has anyone else faced this problem?

SeekTruth

PollySouthend wrote: »

Just had my statement through and I can pay for a couple of years to get fullni credits.

However really not sure if I should bother as I'm in my 30s and don't expect the state pension to exist when I'm in my 80s.

Has anyone else faced this problem?

See this link. Particularly the section headed "Extended time limits for the tax years 2006 to 2007 to 2015 to 2016". Suggest that you should wait until after April 2016, when hopefully you'll know the calculation being performed for transition to Single Tier Pension, before making up your mind.

grey_gym_sock

IMO, state pension is very likely to exist when you're old enough to get it (i.e. 70 or so).

however, on the current rules, you can have a few missing years and still get the full state pension. the number of years needed is set to rise from 30 to 35, but that leaves room for a few gaps. unless you're missing many years, i wouldn't consider buying years at this stage. it can make sense for ppl nearer state pension age to buy years, when they have a clearer idea how many years they are missing; and when the pay-out for buying years starts much sooner.

SeekTruth

grey_gym_sock wrote: »

... the number of years needed [for a full state pension] is set to rise from 30 to 35, ...

For people affected by the transition from the current scheme to the Single Tier scheme the number of years required will depend on their particular situation and could be less or more than 35.

PollySouthend

grey_gym_sock wrote: »

IMO, state pension is very likely to exist when you're old enough to get it (i.e. 70 or so).

however, on the current rules, you can have a few missing years and still get the full state pension. the number of years needed is set to rise from 30 to 35, but that leaves room for a few gaps. unless you're missing many years, i wouldn't consider buying years at this stage. it can make sense for ppl nearer state pension age to buy years, when they have a clearer idea how many years they are missing; and when the pay-out for buying years starts much sooner.

Thanks. My concern is that in 40 years time they might raise the number of years needed to 50 or higher

grey_gym_sock

PollySouthend wrote: »

Thanks. My concern is that in 40 years time they might raise the number of years needed to 50 or higher

i could imagine them, each time the state pension age rises by 1 year, adding 1 year onto how many years you need. i doubt it would be any worse than that.

that would leave time to the add extra years needed (either by working, or voluntary contributions later on).