New State Pension Guide

Mr_Jay

Newbie here :j

Hopefully a quick query - have just checked my State Pension summary on the gov website - it shows I have 37 years of FULL contributions - which is correct. However the estimate shows I will only receive £146.35 a week. My understanding is that 35 FULL years of contributions should qualify for the maximum of £164.35 a week. So am at a loss to understand why there is a shortfall.

Have I misunderstood something somewhere ? FWIW I am male and born in 1963, started work in Aug 1979; stopped working in Nov 2015.

Thanks !

molerat

35 years for a full pension only applies to those who start their NI contribution journey after April 2016. Anyone with a pre 2016 NI history is on a hybrid scheme where they may need more or less than 35 years and may receive more or less than the full new pension amount. At April 2016 you were given the better of the pre or post 2016 calculations applicable to you ensuring you received no less than you were already entitled to. Your forecast will show if you can increase your current amount which in your case can only be done with post 2016 contributions.

50Twuncle

Mr_Jay wrote: »

Newbie here :j

Hopefully a quick query - have just checked my State Pension summary on the gov website - it shows I have 37 years of FULL contributions - which is correct. However the estimate shows I will only receive £146.35 a week. My understanding is that 35 FULL years of contributions should qualify for the maximum of £164.35 a week. So am at a loss to understand why there is a shortfall.

Have I misunderstood something somewhere ? FWIW I am male and born in 1963, started work in Aug 1979; stopped working in Nov 2015.

Thanks !

I am in an almost identical position - aged 55 - started working in 1980 - stopped working full time in 2011 - with 33 years of NI credits with an estimated pension of £142..
I believe that, in my case - the reason is that most of my NI payments were "contracted out" due to my works pension being a"non-contributory" civil service one and they reckon that I was told at the point when I started the pension (I WAS NOT) - Anyway, I am lacking 7 years of credits to claim a full pension (a total of 40 years in my case !!) - I am currently in discussion with DWP via my MP to try to get this added over the next 7 years since I am now working part time (due to a disability) - and earning less than the minimum amount needed to make NI Contributions - using a little known rule that states that :


Non- claimants
105. A non-claimant is someone who, by choice, applies only for National Insurance credits. They may be customers who regardless of their entitlement do not wish to claim payment of Jobseeker’s Allowance or may have failed the habitual residency test (HRT) or not met the genuine prospect of work (GPoW) conditions.
106. The term non-claimant must not be used when speaking to the public. The correct term to use is ‘applying for credits without claiming Jobseeker’s Allowance’.
107. The rules for receiving National Insurance credits for a ‘non-claimant’, are broadly the same as for people claiming Jobseeker’s Allowance. The claimant must be:
· available for work and
· actively seeking work
Delivery of Jobcentre Plus services
108. A non-claimant must still have an Initial Work Search Interview but it should be handled clerically.
109. There is no requirement for a non-claimant to enter into a Claimant Commitment but you should explain the benefits of having one in place.
110. Non-claimants are not subject to the HRT.
111. Non-claimants do not have access to any of the programmes funded by Jobcentre Plus, or external providers but they should still be signposted to any
appropriate help identified.
112. You should tell Non-claimants that days of jobsearch declared and recorded can never count for linking purposes, so if they make a later claim for Jobseeker’s
Allowance, waiting days would have to be served.
113. You must note on all clerical and IT-based information that a claimant is a ‘non-claimant’.
114. You must ask Non-claimants to read and sign the Labour Market declaration on CR2 not ES24.


This document was found on "Whatdotheyknow" - It is an "internal" DWP document - not available to the general public !

jem16

50Twuncle wrote: »

I believe that, in my case - the reason is that most of my NI payments were "contracted out" due to my works pension being a"non-contributory" civil service one and they reckon that I was told at the point when I started the pension (I WAS NOT) -

Any scheme which was contracted out was required to inform its members by law. This would have been detailed in the scheme booklet which presumably you would have read?

107. The rules for receiving National Insurance credits for a ‘non-claimant’, are broadly the same as for people claiming Jobseeker’s Allowance. The claimant must be:

available for work and
actively seeking work

So are you actively seeking work? If you are then you would be entitled to credits. If you're not then you're not entitled.

50Twuncle

jem16 wrote: »

Any scheme which was contracted out was required to inform its members by law. This would have been detailed in the scheme booklet which presumably you would have read?

So are you actively seeking work? If you are then you would be entitled to credits. If you're not then you're not entitled.

I was 16 years old when I "signed on the dotted line" - so I very much doubt whether any importance was placed on pensions !!

I missed an important point - one requirement is to "sign on" which I am unable to do, easily - due to mobility problems - my local CAB class this as discrimination !

jem16

50Twuncle wrote: »

I was 16 years old when I "signed on the dotted line" - so I very much doubt whether any importance was placed on pensions !!

Perhaps not but it does show the importance of reading all information. However not signing on the dotted line would have been a much bigger mistake especially with such a good pension as the non-Contributory CS Pension.

As it stand you haven’t lost anything as your additional pension is being paid in your CS pension which you’re now drawing so your getting that part at least 12 years earlier than you would have been had you not joined the scheme.

You’re now getting the chance to do even better if you can pay voluntary NI from 2016 onwards. It’s excellent value and you would recoup the amount paid in less than 4 years.

I missed an important point - one requirement is to "sign on" which I am unable to do, easily - due to mobility problems - my local CAB class this as discrimination !

Perhaps you can discuss how you can sign on, easily or otherwise, with the CAB or DWP?

It sounds like your biggest stumbling block will be having to ensure that you are actively seeking work though.

50Twuncle

jem16 wrote: »

Perhaps not but it does show the importance of reading all information. However not signing on the dotted line would have been a much bigger mistake especially with such a good pension as the non-Contributory CS Pension.

As it stand you haven’t lost anything as your additional pension is being paid in your CS pension which you’re now drawing so your getting that part at least 12 years earlier than you would have been had you not joined the scheme.

You’re now getting the chance to do even better if you can pay voluntary NI from 2016 onwards. It’s excellent value and you would recoup the amount paid in less than 4 years.
Perhaps you can discuss how you can sign on, easily or otherwise, with the CAB or DWP?

It sounds like your biggest stumbling block will be having to ensure that you are actively seeking work though.

Thanks - I believe that costs of buying NI credits is increasing (dramatically ?) after next tax year - so an trying to get it sorted out ASAP ..
I believe that I am being discriminated against - because my carer / wife can get her NI paid as can virtually everyone else (from mothers to JS claimants to those off sick (SSP)) and I AM ACTUALLY WORKING !

minty777

50Twuncle wrote: »

I am in an almost identical position - aged 55 - started working in 1980 - stopped working full time in 2011 - with 33 years of NI credits with an estimated pension of £142..
I believe that, in my case - the reason is that most of my NI payments were "contracted out" due to my works pension being a"non-contributory" civil service one and they reckon that I was told at the point when I started the pension (I WAS NOT) - Anyway, I am lacking 7 years of credits to claim a full pension (a total of 40 years in my case !!) - I am currently in discussion with DWP via my MP to try to get this added over the next 7 years since I am now working part time (due to a disability) - and earning less than the minimum amount needed to make NI Contributions - using a little known rule that states that :


Non- claimants
105. A non-claimant is someone who, by choice, applies only for National Insurance credits. They may be customers who regardless of their entitlement do not wish to claim payment of Jobseeker’s Allowance or may have failed the habitual residency test (HRT) or not met the genuine prospect of work (GPoW) conditions.
106. The term non-claimant must not be used when speaking to the public. The correct term to use is ‘applying for credits without claiming Jobseeker’s Allowance’.
107. The rules for receiving National Insurance credits for a ‘non-claimant’, are broadly the same as for people claiming Jobseeker’s Allowance. The claimant must be:
· available for work and
· actively seeking work
Delivery of Jobcentre Plus services
108. A non-claimant must still have an Initial Work Search Interview but it should be handled clerically.
109. There is no requirement for a non-claimant to enter into a Claimant Commitment but you should explain the benefits of having one in place.
110. Non-claimants are not subject to the HRT.
111. Non-claimants do not have access to any of the programmes funded by Jobcentre Plus, or external providers but they should still be signposted to any
appropriate help identified.
112. You should tell Non-claimants that days of jobsearch declared and recorded can never count for linking purposes, so if they make a later claim for Jobseeker’s
Allowance, waiting days would have to be served.
113. You must note on all clerical and IT-based information that a claimant is a ‘non-claimant’.
114. You must ask Non-claimants to read and sign the Labour Market declaration on CR2 not ES24.


This document was found on "Whatdotheyknow" - It is an "internal" DWP document - not available to the general public !

Have you got a link to the whatdotheyknow document?

50Twuncle

minty777 wrote: »

Have you got a link to the whatdotheyknow document?

https://www.whatdotheyknow.com/request/312208/response/764313/attach/4/Credits.pdf?cookie_passthrough=1


From the response from DWP to https://www.whatdotheyknow.com/request/clarification_of_difference_betw
credits attachment !

jem16

50Twuncle wrote: »

Thanks - I believe that costs of buying NI credits is increasing (dramatically ?) after next tax year - so an trying to get it sorted out ASAP ..

Tax year 2016/17 will increase from 6th April from £733 approximately to £780 approximately. This is the only year that will increase.

You basically have 2 years from the end of the tax year to pay at the price for that year before it goes up to the current year’s price. So 2016/17 goes up April 2017, 2017/18 goes up April 2020 and so on.

I believe that I am being discriminated against - because my carer / wife can get her NI paid as can virtually everyone else (from mothers to JS claimants to those off sick (SSP)) and I AM ACTUALLY WORKING !

If you were eligible then you too would get your NI paid but as you’ve said earlier you’re not eligible so I’m not sure it would be classed as discrimination.

I think you said earlier that you earned about £113pw. Would it not be possible to get an extra hour’s work to take you to £116pw or more where your NI would be credited?