When R U Officially Classed as Retired?

Audaxer

Brynsam wrote: »

Not quite accurate - see https://www.gov.uk/voluntary-national-insurance-contributions/deadlines

I've only got one minor gap in one tax year, but I can get up to the maximum £159 per week not by filling this gap, but by paying voluntary contributions for the next few years until I reach State Pension age.

GSP

I suppose in the same area. I am 55 and on drawdown with no other "income" and no intention of going back to work.
My SPA will be 67. Am I a pensioner then, or now.

Edit: I class myself as retired.

JezR

Deneb wrote: »

If you use the category "Having independent means" you will attract a much higher premium than simply being "Retired" in my experience of trying these categories on house and car insurance quotes with different insurers.

I suspect they assume that you spend all day knocking back the Bolly and are at higher risk of drinking and driving or burning the house down whilst p*****d or similar!

My insurers are under no illusion that I am living some kind of debauched highlife. More interested in the fact that there is someone around the house and premiums were significantly reduced when circumstances were discussed. Mind you I do the odd piece of minor work now and again to suit myself which they are aware of, so couldn't be more than 'semi-retired' I suppose.

The people they don't seem to favour so well are those that call themselves 'unemployed'. Although insurers might vary, particularly with their categories and flexibility.

Terron

AnotherJoe wrote: »

What I will say from my personal experience is that financial institutions haven't yet caught up with how people run their lives and do insist on classifications that make no sense, and cannot understand Things like drawdown in terms of income. As I posted previously, I coudl be classified as having income anywhere from nothing to in excess of £100k a year depending how you'd like to measure it. (The £100k being entirely fictitious but if you just looked at incoming amounts to bank accounts that's what it would be)

As far as income goes there is an official definition - used by HMRC to determin income tax. I am pretty sure they woulf go for the higher figure unless you can prove a lower one.

I own some properties through a company I whokky own, As director I am considered to be employed by that company, though as yet it has not paid me anything except expenses. That will continue at least until I am in my 70s.

ArchBair

Audaxer wrote: »

I'm in a similar position, but as I recently found out that I am not forecast to get the maximum State Pension, so I'm now looking to start paying voluntary NI contributions until I reach State Pension age.

It would be worthwhile checking your State Pension forecast if you have not already done so, as I had wrongly assumed that with over 40 years of NI contributions I would get the maximum State Pension.

I thought you only had to pay NI contributions for 35 years to receive a full state pension?

Linton

Terron wrote: »

As far as income goes there is an official definition - used by HMRC to determin income tax. I am pretty sure they woulf go for the higher figure unless you can prove a lower one.

I own some properties through a company I whokky own, As director I am considered to be employed by that company, though as yet it has not paid me anything except expenses. That will continue at least until I am in my 70s.

What aspect of income tax depends on being "retired"? Various things are age related or income related but I cant think of anything dependent on being retired.

xylophone

I thought you only had to pay NI contributions for 35 years to receive a full state pension?

Not quite accurate.

https://www.litrg.org.uk/latest-news/news/170607-new-state-pension-%E2%80%93-did-you-pay-contracted-out-nic

Terron

Linton wrote: »

What aspect of income tax depends on being "retired"? Various things are age related or income related but I cant think of anything dependent on being retired.

I didn't say that anything was. Since nothing depends on it there is no need for an official definition, unlike income.

bostonerimus

AnotherJoe wrote: »

Agreed, there is no such thing as "officially" retired.

One possible definition of "officially retired" is the date you start getting pension payments from SP, BD or DC pensions, but that doesn't necessarily mean you stop working. Then there's the way you see your status yourself.....that's probably the most relevant. In my case here's how my status has changed.

I was employed until age 52. I left that job and thought of myself as retired as I wasn't going to work anymore. My employer classed me as a deferred retiree for benefits purposes and if I had signed on I would have added to the unemployment numbers. At age 55 the state officially designated me as retired and started paying me a pension. At age 56 I started some part time work, but I still think of myself as retired.

Audaxer

ArchBair wrote: »

I thought you only had to pay NI contributions for 35 years to receive a full state pension?

I had originally thought that as well, but I found out that because I have a Defined Benefit private pension, I was 'contracted out' for some of the time (as seems to been the case with many people on DB schemes), meaning my current State Pension forecast is about £30 per week short of the maximum.