State pension in addition to NHS pension query

Dr_Wu

Hi

I realise that something like this question has already been discussed elsewhere but I'm struggling to work out exactly how the issue will impact on myself so please bear with me.

I was born in 1962 and have been in the NHS pension scheme (currently 1995 section) since Jan 1985. I will retire on the occassion of my 55th birthday (MHO/Special Classes).

I understand my NHS pension and know that it will rise in line with CPI...so far so good! I've also recently begun to understand that in terms of state pension I have been 'contracted out' since Jan 1985 (student before that) which translates to me having paid a lower rate of NI contributions, resulting in me standing to get the basic state pension of approx £115 p/w as it stands (from age 67) plus a little bit of the new scheme (from Apl 2016 to when I retire in Dec 2017). Does this all seem accurate so far?

What I'm puzzled about is what I can expect my state pension to increase by when I start to claim it? I had thought it would be the 'triple lock' for the whole amount i.e. highest of ave earnings or CPI or 2.5%. Now, having read other threads it seems as if different parts of my state pension will be treated differently with regards to inflation linking?

Could anyone spell it out for me as to what is likely to happen to my state pension year on year with inflation?

Thanks in advance

molerat

In April 2016 you will be given a starting amount based on the higher of your old or new scheme figures. As you have been contracted out and the deductions are quite swinging the old scheme amount will be used. Any post 2016 years, either earned or purchased, will be added to that figure (up to the new maximum). The whole amount will be upgraded annually by the triple lock.

You are probably being confused by uprating under the old scheme where the basic pension is upgraded by the triple lock and any additional pension by CPI and the post 2016 scheme where the full "new" pension amount will be upgraded by the triple lock and anything above that (protected amounts under the transitional arrangements) will use CPI

Dr_Wu

great, that explains and simplifies things, thanks molerat