Wife & Deferring State Pension

benz

I'll be 65 next month and entitled to a full state pension.

My wife is a little older than me and is already in receipt of a reduced state pension, (due to not enough contributions), so when I reach 65 her pension should increase due to my contributions. However if I were to defer taking the state pension would she still receive a pension increase when I'm 65? If so, is it done automatically or does she need to inform them?

SnowMan

Yes your wife can claim an increase when you reach SPA, even if you defer your pension. I am guessing she has to actually claim the increase and it doesn't happen automatically, but I don't really know. See page 36 of

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/372517/dwp024-102014.pdf

You can still claim a Category B pension even if your husband, wife or civil partner decides not to claim their own State Pension

Note this didn't used to be the case. Before 6th April 2010, you would have had to have claimed your own state pension also for your wife to claim an increase based on your contributions.

Froglet

Will this still be possible when I get my pension in 2 years time,owing to the fact I too have a much reduced pension.Hubby is entitled in Jan 2016,so he has the old state pension and I have the new.

I am sure I read somewhere it won't be possible under the new scheme but can't find the info now.

xylophone

Will this still be possible when I get my pension in 2 years time,owing to the fact I too have a much reduced pension.Hubby is entitled in Jan 2016,so he has the old state pension and I have the new.

See https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/181235/derived-inherited-entitlement.pdf

page 12.

Froglet

I have the forecast in front of me now,and have read right through the link you provided,thank you.

It amounts to exactly 60 % of hubby basic pension,as would happen under current rules if no entitlement in my own right.Yet it states on my forecast it is based on 16 qualifying years of contributions,with a reduction due to being contracted out.

On reading the details,it seems to state I will not be entitled to the 60% because the rules change with the new scheme.So I assume it is merely coincidence that it amounts to the same percentage ?

Or am I missing something ? I thought I understood pension rules but they seem to make it harder to understand the more you get into it !!

xylophone

See https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/452011/dwp040b-jun-2015.pdf

Froglet

Thanks for that,I am finally understanding how they have worked it out.