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

molerat

There is a line stating you have been contracted out, click on it and it shows your COPE amount. It does not show which years or how much NI you did not pay.

molerat

Jack_Itin wrote: »

A very useful thread indeed...!!!8230;.I still can't understand why my weekly SP is £147 and a few pence......I have 48 full years NI contributions and one year not full (2015/16)!!!8230;!!!8230;.I know I won't get the maximum amount, because I was contracted out.....I took early retirement in 2015, hence the not full year.....2016/17 and 2017/18 were made up with NI cedits and I am told that the not full year should make no difference......ringing DWP has so far proved a fruitless exercise.....I would just like to know WHY ?

Being contracted out means your calculation at April 2016 will be based on the old system so can only use 30 years of contributions. As you already have well in excess of that adding another will not make any difference.

fifeken

molerat wrote: »

There is a line stating you have been contracted out, click on it and it shows your COPE amount. It does not show which years or how much NI you did not pay.

Yes, got that and as you say it doesn't show details.

Is it safe to say that the forecast amount on the first page takes these contracted out periods into account, and where the NI record says I don't have any gaps and "Full Year" next to every entry, that my contracted out periods haven't resulted in me needing to buy years to maximise what I get?

molerat

Your contracted out periods have already been taken into account in those figures.

humptydumptybits

fifeken wrote: »

I think I'm one of the lucky ones who despite being contracted out for many years will get more than the £164 per week NSP. My question is, how is it displayed on the Gov website when you haven't made sufficient contributions due to being contracted out? All my years show as full years and I want to check I'm not missing something somewhere on the site.

I am as well. £167 plus a few pence. I was relieved to get the confirmation and only a few weeks to wait for the first payment.

Yorkshire_Pud

Two years later lol.

I am wondering about paying some VNIC for the 2016 onwards tax years already have 35 qualifying years pre 2016. Shortfall due to contracting out some years. 

I know about the two year and six year deadlines to pay but once I take my pension does that mean I couldn’t pay any more VNIC even if the six years overruns the start date of my pension?

How do you pay HMRC for SPECIFIC years so they don’t muck it up and say use the money to pay for 2014/15 tax year which I don’t need but was ‘invited’ to pay. Should I get them to send an invoice for specific years that I choose to pay VNIC for, or should I send a payment with a reference, e.g. 2018/19 VNIC £761.80 but separately for each year I’m buying?

Also wonder if the one thirtyfifths uplift £5 a week of full state pension amount is applied for each year bought or of my lower COPE state pension before the uplift from VNICs?

JGB1955

You need to speak to the Future Pensions Centre.  They will ask if you have obtained a Pension Forecast and then talk through which years are worth paying for, how much, and how. https://www.gov.uk/future-pension-centre

Yorkshire_Pud

Thanks I will be doing that Monday but still interested in any experience, answers anyone has.

molerat

Yorkshire_Pud said:

Also wonder if the one thirtyfifths uplift £5 a week of full state pension amount is applied for each year bought or of my lower COPE state pension before the uplift from VNICs?

Don't understand what you are asking ?

Each post 2016 year purchased adds £5 to your current pension amount.

jem16

Yorkshire_Pud said:

Two years later lol.

I am wondering about paying some VNIC for the 2016 onwards tax years already have 35 qualifying years pre 2016. Shortfall due to contracting out some years. 

I know about the two year and six year deadlines to pay but once I take my pension does that mean I couldn’t pay any more VNIC even if the six years overruns the start date of my pension?

How do you pay HMRC for SPECIFIC years so they don’t muck it up and say use the money to pay for 2014/15 tax year which I don’t need but was ‘invited’ to pay. Should I get them to send an invoice for specific years that I choose to pay VNIC for, or should I send a payment with a reference, e.g. 2018/19 VNIC £761.80 but separately for each year I’m buying?

Also wonder if the one thirtyfifths uplift £5 a week of full state pension amount is applied for each year bought or of my lower COPE state pension before the uplift from VNICs?

Ok - the 2 year deadline is basically that you have 2 years after the end of the tax year to pay at the original price before it goes up to whatever the price is when you pay. The 6 year deadline means that you can pay after you reach State Pension Age but it won't be backdated and the extra payment would only be from when you paid.

As to paying for specific years you have 2 options. You either phone HMRC and ask to pay for the specific year/s in question. They will then give you the amount and ask if you want to pay by bank transfer - this is their preferred option just now. If you choose that option then they will give you an 18 digit reference number to use when you pay. They will also make a note on your account that you're paying for that year. The other way is to send a letter with a cheque stating precisely which year/s you want to pay for.

Each year you buy will uplift your pension by 1/35th of the full nSP - at the moment that's £5pw. COPE has nothing to do with this part.