New State Pension Guide

JohnB47

gfokchak said:

I was born in May 1944 and I have paid 35 years of national insurance. 

I got paid 4/5 of a full pension when I retired in 2009.

Do you think my pension is correct? Should I be receiving a full pension ?

Are you in receipt of a company pension too?

xylophone

I was born in May 1944 and I have paid 35 years of national insurance. 
I got paid 4/5 of a full pension when I retired in 2009.

You reached state pension age under the  old state pension system. A full Basic State Pension 2009/10 was £95.25.

Up to 6 April 2010, men needed 44 years paid or credited to be entitled to a full Basic State Pension.

jem16

gfokchak said:

I was born in May 1944 and I have paid 35 years of national insurance. 

I got paid 4/5 of a full pension when I retired in 2009.

Do you think my pension is correct? Should I be receiving a full pension ?

Are you male or female? If female you needed 39 years so you would receive 35/39ths. If male you needed 44 years so would receive 35/44ths. If you're saying 4/5ths I'd guess you were male and then yes it's near enough correct.

p00hsticks

gfokchak said:

I was born in May 1944 and I have paid 35 years of national insurance. 

I got paid 4/5 of a full pension when I retired in 2009.

Do you think my pension is correct? Should I be receiving a full pension ?

What do you mean by a 'full pension' ?

When you say you retired in 2009, do you mean you reached your state pension age then ?

Are you male or female ? (from your date of birth, I'm assuming male).

Until 2010, you needed 39 NI years (if female) or 44 years (if male) to qualify for the 'full' basic state pension amount - (now £125.95). So 35 years would not be sufficient to have got you that amount. Your entitllement would have been worked out as 35/44ths of the full basic amount (assuming you're male - 35/39ths if female).

However, this amount could be increased if you had any additonal state pension (SERPS/S2P) earnings from being 'contracted in'. Without knowing more details it's not possible to say if what you are receiving is correct.

molerat

Pre 2010 you needed 44 years for a man and 39 for a woman to get a full basic pension.  Neither the 2010 or 2016 changes are applicable to you.

Angielahaha

Hi, I’ve paid 40 full years NI. My retirement date is September 2027 under the new rules. On checking my state pension forecast, it says I need to pay in 7 more years worth of NI to get the max amount of c£175 pw otherwise I will receive c£153 pw. I was in a DB pension so would have been contracted out at some point. However, it still remains I have 40 years full contributions. Can anyone explain to me why I won’t receive the c£175??
🤷🏼‍♀️ 🤷🏼‍♀️🤷🏼‍♀️

jem16

Angielahaha said:

Hi, I’ve paid 40 full years NI. My retirement date is September 2027 under the new rules. On checking my state pension forecast, it says I need to pay in 7 more years worth of NI to get the max amount of c£175 pw otherwise I will receive c£153 pw. I was in a DB pension so would have been contracted out at some point. However, it still remains I have 40 years full contributions. Can anyone explain to me why I won’t receive the c£175??
🤷🏼‍♀️ 🤷🏼‍♀️🤷🏼‍♀️

You won't receive the full £175 as that is dependent on you having 35 non-contracted out years. When you were contracted out you paid less NI and your additional pension is basically being paid by your DB pension.

As it stands you are roughly £22 below the full rate which you can make up within 5 years assuming you still contribute NI. The 7 years quoted is the number of years you have until reaching SPA but not all of them will be required to reach full nSP.

johnpr98

I paid 2 years extra NI after 2016 to increase my Pension, even though I had 44 full years. It's not compulsory but worth it to me, I will break even after 3½  years and was a good investment imho.
I think I researched with this article at the time
https://www.thisismoney.co.uk/money/pensions/article-3535618/STEVE-WEBB-Buying-ups-paying-missing-NI-boost-state-pension.html

xylophone

Hi, I’ve paid 40 full years NI. My retirement date is September 2027 under the new rules. On checking my state pension forecast, it says I need to pay in 7 more years worth of NI to get the max amount of c£175 pw otherwise I will receive c£153 pw. I was in a DB pension so would have been contracted out at some point. However, it still remains I have 40 years full contributions. Can anyone explain to me why I won’t receive the c£175??

At 6/4/16 two calculations were done. By that time you had at least 35 years NI.

Old rules

30/30 x £119.30 + ( Additional State Pension - a deduction for contracting out)

New Rules

(35/35 x £155.65) - Contracted Out Pension Equivalent.

Your starting amount was the higher of the two. 

In 2016 your SA was short of a full NSP but you still had over ten years before SPA.

Your NI contributions/ credits after 6/4/16  up to your SPA  can increase tour SA up to a  full NSP.

See (adjusting the figures)

 https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/210299/single-tier-valuation-contracting-out.pdf 

GunJack

xylophone said:

Hi, I’ve paid 40 full years NI. My retirement date is September 2027 under the new rules. On checking my state pension forecast, it says I need to pay in 7 more years worth of NI to get the max amount of c£175 pw otherwise I will receive c£153 pw. I was in a DB pension so would have been contracted out at some point. However, it still remains I have 40 years full contributions. Can anyone explain to me why I won’t receive the c£175??

At 6/4/16 two calculations were done. By that time you had at least 35 years NI.

Old rules

30/30 x £119.30 + ( Additional State Pension - a deduction for contracting out)

New Rules

(35/35 x £155.65) - Contracted Out Pension Equivalent.

Your starting amount was the higher of the two. 

In 2016 your SA was short of a full NSP but you still had over ten years before SPA.

Your NI contributions/ credits after 6/4/16  up to your SPA  can increase tour SA up to a  full NSP.

See (adjusting the figures)

 https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/210299/single-tier-valuation-contracting-out.pdf 

@xylophone you deserve a medal for sticking with it and re-posting this time after time.... credit to you Sir/Madam/Other