Is it worth claiming state pension while working

Jenniefour

brewerdave wrote: »

I've deferred mine for a couple of years already .......and I'd be nowhere near a 40% tax payer (I wish!!):rotfl:
Why give more back to the Govt ??

Same here, just going into the third year. If I were claiming it now I would be giving more of it back in tax than in the future because I am still working, although gradually winding down.

A couple of years ago there was a link to a table on here showing exactly how much increase related to years or how much lump sum etc. under old system. Does anyone still have a link to that, please.

badmemory

I think that even the new deferral is a good deal, not as good but still good. I deferred mine for 2 reasons one of which was I would be a lot better off in retirement if I did & I didn't see the point of taking money I didn't need & paying tax on every penny of it when I couldn't see a way to getting anywhere near that much out of it if I took it & saved it.

If you defer for say 2 years you are at the moment going to get at the end of it, todays pension plus 2.5% uplift minimum per year plus 5.8% uplift per year. The extra is for life. The old lump sum option which they no longer offer was never that good unless you had a life limiting ailment. It is possilbe (stress possible) that some of the uplift could go to your spouse the new rules limit that somewhat.