Deferring State Pension

brewerdave

teamgb wrote: »

Try 0800 731 7898 (DWP Pension Service) I found them very helpful.

...thats who I contacted originally -and they suggested that they couldn't tell me how much I would have got UNLESS I withdrew my deferrment:rotfl:
I got hold of Future Pensions Centre -but they can't help because I'm actually too close to my due pension date !!!

kidmugsy

I suggest you simply defer it, then after a month or two ring them to say you are considering starting it. They will, I think, write to you telling you how much to expect, and asking whether you want to go ahead. Or if you wait for more than a year, they'll offer you the choice of extra pension or lump sum.

atush

I do believe, that they have to know the correct figure, as your deferment payment is made on the back of it?

brewerdave

atush wrote: »

I do believe, that they have to know the correct figure, as your deferment payment is made on the back of it?

..yup, but they SEEM to be saying that they won't calculate my initial entitlement until I actually make the claim !

summerholiday

Have received the annual pension forecast yet - it is usually sent out with the offer of making extra payments to bring your contributions up-to-date. This at least will give you an indication of the sum, although not exact.

You may like to try tel: 0345 606 0265.

You do not have to advise the pension office of your intention to defer, simply do not request its commencement until you are ready and complete each full year of deferrment.

I made this mistake, originally, by telephoning to ask how much I would be due were I to take the state pension and was paid a lump sum by mistake. I have now deferred again and will not be making the same error, particularly when speaking with people who are keen to pay out and not have you as a drain on their own future pension pots.

Luckily you are deferring in the best time period before the pension benefit reduces from 10.4% to 5.8% from April 2016.

jamesd

The benefit from deferring is fixed based on when a person reaches their state pension age, not when deferring is started. 10.4% and mostly inheritable if before the flat rate starts, 5.8% not inheritable after.

It's also not necessary to defer in full year increments, It's done with a few weeks of granularity so you can effectively stop deferring whenever you want and just get a pro-rated part of a year for the last bit

summerholiday

Thanks for that Jamesd. Yes my post applies to those reaching the retirement age by 5 April 2016 or before.

It is simply that it is easier to calculate 10.4% on a full year because the state pensions are set from 6 April.

Do you mean inevitable or inheritance related?

jamesd

When the person who defers dies, their spouse inherits most of their increase from deferring. Provided the deceased was in the 10.4% group.