New State Pension Guide

bigfreddiel

Ian, I was contracted out for about twenty years, and my sp is £152/wk, stated a few weeks ago.

And yes they work it out under the old and current rules and you get whichever is the bigger amount, so no one is missing out. It's quite fair really. I think DWP have done a good job on this. Maybe not explained it properly.

Cheers fj

Silvertabby

I have just retired at 60, having been contracted out since 1978. I won't get my State pension until 66, and haven't requested a forecast yet - will do that later this year once the 2016 figures are on record. However, I'm working on the assumption that I will get £119 per week (in today's money) plus a £ or 2 of graduated pension. Any more than that will be a bonus.

xylophone

You might wish to consider voluntary contributions.

http://citywire.co.uk/new-model-adviser/news/steve-webb-how-to-boost-new-state-pension-payments/a827032

The figures are slightly out as the article is from last tax year.

Silvertabby

You might wish to consider voluntary contributions.

Hmm - thanks for that. I did think about it but discounted it as all of my State pension will be taxed (20%). I'll get my estimate and then do some sums.

molerat

A one off payment of £748.80 gives £231.40 (£185.12 after tax) increasing with inflation a year for the rest of your life equivalent to an annuity rate of around 30%. How does that affect your view ? We are planning to buy about £5K of class 3s.

Silvertabby

A one off payment of £748.80 gives £231.40 (£185.12 after tax) increasing with inflation a year for the rest of your life equivalent to an annuity rate of around 30%. How does that affect your view ? We are planning to buy about £5K of class 3s.

Sounds good to me!

weezie7

I have read all the above posts and wanted to check - I am 61, retired, taking NHS pension, not due to get SP till 66 in 2021.
I have 39 years of NI contributions.
I got a 'Gateway' forecast today (not the first!), and found that it predicts that under my current contributions, which ceased when I stopped work in 2010, my SP is £177.40 per week. Bit more than I expected! However, if I pay £722.80 now, for missing 4 years, (2010 to 2015) I would get £179.17.
Question - is it worth adding in extra, which I understand I must do before April 2019?
Also, will/can I have to keep contributing to NI after that date too? (In which case, I assume pension will go up even more...?).
Is it worth doing?

molerat

No, there is no way of increasing the current amount because it is above the maximum new pension figure of £155.65.

xylophone

my SP is £177.40 per week.

You are sure that this is your "starting amount"?

See example on page 26

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/512799/your-state-pension-statement-explained-dwp042.pdf

weezie7

Thanks molerat and xylophone, for the replies, yes, sure about the figures, the prediction did confuse me as I thought the pension would be £155 ish. Having read page 26, it makes it clearer. That is unless they change the rules again!
So, thanks, do not need to contribute any more.