New State Pension starting amount and full record of qualifying years- trial service

coyrls

GunJack wrote: »

should have 3 years credit for the years containing 16th 17th and 18th birthdays. I got that in mid-80s

That fits, those three years plus a year working.

bigfreddiel

Well it won't be long till we know what people are "actually" getting, roll on 6th April.

fj

SnowMan

onzey wrote: »

Well I rang the number and have put in a claim and await final calculations and then my entitlement will be posted to me. They can't tell me my SP until they receive the contracted out deduction figure from HMRC.

I've seen some cases where the amount doesn't get finalised until after state pension has actually started.

All the chap could tell me is what is on the system as of 07/01/16 which is

Basic pension £119.30 + £2.53 (Graduated Retirement Benefit).

Graduated Retirement Benefit (GRB) relates to additional pension for the period April 61 to April 1975.

Additional state pension is made up of three elements GRB, SERPS (1978 to 2002), and S2P (from 2002)

It looks like they haven't finalised your SERPS and S2P amounts and so can only tell you about your GRB. So with SERPS, S2P added in that might get you to the £130.66pw ish figure (?)

It seems I wouldn't get to the £132.43 figure because, according to him, the NI auto-credit I receive for 2015/2016 won't make any difference. He said NI contribution for 2015/2016 would only make a difference if I was working.

We are talking about you potentially getting some additional state pension for 2015/2016 year.

To get some additional pension you either (to summarise the main categories) in 2015/2016 have to be working earning more than £5,824, caring for a child under 12, caring for a sick or disabled person (and getting credits) or in receipt of certain sickness or disability benefits.

Auto-credits because you are above the SPA for a women born on the same day as you don't count towards additional pension; they can give you a Qualifying Year for basic state pension purposes (and the new rules calculation for your starting amount) but as you already have 35 Qualifying Years this is irrelevant.

So if you don't come under one of these main categories either you won't get any additional pension for 2015/2016

onzey

Thanks for your reply.

"Auto-credits because you are above the SPA for a women born on the same day as you"

Well that's me, so no additional pension from my final year.

Anyway, at least I know what the minimum should be.

SnowMan

The trial online service is now linked to from the gov.uk 'Get a state pension statement' page

https://www.gov.uk/check-state-pension

In the section headed Online it says

You can apply online to get your State Pension statement faster. This new service is currently in beta - it’s being tested and improved. You can also get a forecast of how much you could get when you reach State Pension age and find out how to increase this amount.

You’ll need to sign in using GOV.UK Verify. This service is also in beta.

Previn

Hi,

My current forecast is for £144 if I stopped contributing.
I've been contracted out for over half of the 33 years so far so I'm assuming that £144 must be based on old state pension.
If so, then around £29 must come from serps/s2p, does that seem about correct for an average earner as its more than I expected?

Thanks

greenglide

It is possible, depending especially on your definition of "average earner".

The more you earned in the days of SERPS not contracted out the more AP you would accrue. If the contracting out was during periods of relatively low pay the deduction would be less.

It varies hugely based on earnings.

I have been probably 50 / 50 contracted out / not contracted out but am looking at around £160 under the old rules, I always expected that.

Previn

greenglide wrote: »

It is possible, depending especially on your definition of "average earner".

The more you earned in the days of SERPS not contracted out the more AP you would accrue. If the contracting out was during periods of relatively low pay the deduction would be less.

It varies hugely based on earnings.

I have been probably 50 / 50 contracted out / not contracted out but am looking at around £160 under the old rules, I always expected that.

Thats useful to know thanks. I just didn't realise it would be that much, trying to work it out is impossible but I'll get a statement once we get in to new FY.

Ta

fcandmp

I plan to retire during the next tax year and wondered how many months NI contributions would be required for it to be counted as another qualifying year? Is it affected by my salary?

If for example I worked for four months after April, would I get a full credit for the year and if not could I top it up via a payment?

Many thanks

SnowMan

fcandmp wrote: »

I plan to retire during the next tax year and wondered how many months NI contributions would be required for it to be counted as another qualifying year? Is it affected by my salary?

If for example I worked for four months after April, would I get a full credit for the year and if not could I top it up via a payment?

Many thanks

Assuming you reach State Pension Age after 5th April 2017, then provided you earn enough during those four months in 2016/2017 you should get a full Qualifying Year for 2016/2017.

If your earnings total above about £5,824 for those 4 months (so monthly earnings of above about £1,456pm) you should get a full Qualifying Year.

If you earn marginally below £5,824 over those 4 months you might only need to buy a few missing weeks or so to get you up to a full year.

If you earned £4,000 say that would give you credit for about 35 weeks (= 4000/5824 x 52) leaving you about 17 missing weeks, purchasable at a cost of perhaps £240 to get you a Qualifying Year (= 17 weeks x 14.10 per week).

That assumes the class 3 rates and bands aren't changed in the budget next month.