New Flat Rate Pension

Dukie63

I have just done the Beta pension forcast and it returned the following

Breakdown

Amount based on your latest National Insurance record (5 April 2015)

• £135.11 a week

which is £587.49 a month, £7,049.85 a year (entitlement under current rules)


Amount you may get to if you continue to contribute

• £155.65 a week

which is £676.80 a month, £8,121.59 a year


Does this mean my starting amount will be £135.11 plus any additions from this tax year (if any)

I am quite confused with all this

neilvw

Yes you are correct.

bigfreddiel

Dukie63 wrote: »

I have just done the Beta pension forcast and it returned the following

Breakdown

Amount based on your latest National Insurance record (5 April 2015)

• £135.11 a week

which is £587.49 a month, £7,049.85 a year (entitlement under current rules)


Amount you may get to if you continue to contribute

• £155.65 a week

which is £676.80 a month, £8,121.59 a year


Does this mean my starting amount will be £135.11 plus any additions from this tax year (if any)

I am quite confused with all this

Just out of interest how old are you?

And secondly how does £135.11 equate to £7,049.85 per year?

Cheers fj

noh

bigfreddiel wrote: »

Just out of interest how old are you?

And secondly how does £135.11 equate to £7,049.85 per year?

Cheers fj

Looks like what they have done is divided the weekly rate by 7 to give a daily rate then multiplied by 365.25 to give a yearly rate.
365.25 being the average number of days in a year.

bigfreddiel

noh wrote: »

Looks like what they have done is divided the weekly rate by 7 to give a daily rate then multiplied by 365.25 to give a yearly rate.
365.25 being the average number of days in a year.

Well, I guess that's a more accurate way, I multiplied by 52 which gave a slightly different result.

Cheers fj

greenglide

Well, I guess that's a more accurate way, I multiplied by 52 which gave a slightly different result.

Since State Pension is a weekly benefit paid weekly, four weekly, 13 weekly or annually then this isn't "more accurate".

HMRC do know this, the online self assessment prefills the state pension received field correctly with the annual amount which it receives as a weekly rate from DWP.

Using 365.25 days in a year is well over the top.

Dukie63

Reply to fj

Im 52 and the breakdown was returned by the Beta Pension Forcast

My NI Record returned the following results i know 2 years are in correct and have the option to pay contributions on 2 of the in complete years but not sure if i would benefit by doing that as i am struggling to understand what all the changes mean

Your National Insurance record Summary You have:

• 31 years of full contributions
• 15 years to contribute before 2030
• 5 years when you did not contribute enough

All years.


2015-16 Your record for this year is not available yet

2014-15 Full year

2013-14 Full year

2012-13 Full year

2011-12 Full year

2010-11 Full year

2009-10 Full year

2008-09 Full year

2007-08 Year is not full
2006-07 Year is not full

2005-06 Year is not full

2004-05 Full year

2003-04 Full year

2002-03 Full year

2001-02 Full year

2000-01 Full year

1999-00 Full year

1998-99 Full year

1997-98 Full year

1996-97 Full year

1995-96 Full year

1994-95 Year is not full


1993-93 Full year


1992-93 Full year

1991-92 Full year

1990-91 Full year

1989-90 Full year

1988-89 Full year

1987-88 Full year

1986-87 Full year

1985-86 Full year

1984-85 Year is not full
1983-84 Full year


1982-83 Full year

1981-82 Full year

1980-81 Full year

1979-80 Full year

p00hsticks

Dukie63 wrote: »

Reply to fj

Im 52 and the breakdown was returned by the Beta Pension Forcast

My NI Record returned the following results i know 2 years are in correct and have the option to pay contributions on 2 of the in complete years but not sure if i would benefit by doing that as i am struggling to understand what all the changes mean

A key question is how much longer you plan to go on working ?

The maximum new State Pension you will be able to build up to is £155.65 (this will rise each year). your current forecast is £135 (which may rise when this current year is taken into account).

Each NI year you clock up by working after April 2016 will add around £4.45 to you pension amount, until you reach the maximum. So if you plan on working for four or five further years there is on point in making up any missing years.

Dukie63

Thank you pOOhsticks

I intend to finish at 55.

I sort of assumed what you have said but want to ensure i receive the full flat rate pension if i can.

If i work to April 2019 that adds 3 further years and puts me at approx £135.11 plus £13.20 = £148.31 per week

If i pay the 2 x missing years i am permitted to would this make me up to the full rate ? i was not paying into any pension scheme during the missing 2 years as i wasnt working due to health issues. Unfortunately i was too proud to sign off sick and lived off savings or these years would have been covered by contributions

Would i benifit if i paid these 2 years ?