State Pension Forecast Query

Jack_Itin

O.k.....I have just joined the Gov. Gateway, and obtained my state pension forecast.......it says £148.06 per week if one short year is paid up......or £143 .49 per week if not.....I don't understand this as I have over 40 years fully paid NI contributions, the other thing I don't understand, is that although years 2015/16 are not full (I took early retirement in 2015).....years 2016/17 are full, but I wouldn't have paid anything.....can anyone explain please......Jack.

molerat

Re the the paid up 2016-17 year - how old are you ? https://www.gov.uk/automatic-pension-credits-for-men

At April 2016 a calculation was done to give you a new pension scheme starting amount of no less than your existing pension transitioning into the new system which made years a bit irrelevant and gave you the opportunity to top up your old system pension going forward. As you have more than 35 pre 2016 years do not be tempted to pay up any missing or part paid pre 2016 ones as they will not add to your pension.

Jack_Itin

Thanks for that, I will be 65 in April......that explains the years 2016/17 being paid up.....so what will I actually get , £148.05 or £143.49 ?.....Jack.

molerat

Your statement should give you a current amount "NI record up until April 2017" and a maximum you can achieve amount. If you are 65 after April 6th then you will also be credited with 2017-18 which will add the extra bringing you up to the £148.05.

Jack_Itin

Ahh, it makes sense now.......I will be 65 on April 30th.....thanks for your help, no doubt I will be back........Jack.

Jack_Itin

O.k.....I have seen somewhere that the state pension is nearly £160 a week......I have 47 full years of NI payments, how come my forecast is only £148.05 per week ?........Jack.

Dazed_and_confused

Only the "new" State Pension is nearly £160 and that amount only applies for certain to those who will have spent their whole NIC lifetime under the new system.

There are countless threads about this already. You aren't losing anything, you are guaranteed to get what you were already expecting under the old rules or more.

Linton

Jack_Itin wrote: »

O.k.....I have seen somewhere that the state pension is nearly £160 a week......I have 47 full years of NI payments, how come my forecast is only £148.05 per week ?........Jack.

Probably because you were contracted out of SERPS/S2P because of your employer's pension and paid lower NI contrinbutions.

Jack_Itin

Yes, I did wonder about being contracted out......so although we were encouraged to join private schemes back then , we are now to be penalized for doing so ?........Jack.

Linton

Jack_Itin wrote: »

Yes, I did wonder about being contracted out......so although we were encouraged to join private schemes back then , we are now to be penalized for doing so ?........Jack.

Not necessarily penalised - your private scheme could well be more valuable than the missing SP.

Jerben

Jack,
No. As D and C said,
'There are countless threads about this already. You aren't losing anything, you are guaranteed to get what you were already expecting under the old rules or more.'