Voluntary NICS - worksheet to know if it's worth it?

debydiver

Hubby and I have both been working overseas for 13 years now.
We got pension forecasts a couple of years back and just recently received a statement of the years for which we can pay back NIC, both pre and post 2016.
But we're struggling to know which years to pay for.

The future pensions center can give us a forecast based on NICS already paid, tell us which years NIC are missing and how much they cost, but aren't able to advise us on which years we should pay to maximise the benefits. We were both contracted out while we were in the UK.
I've tried making up a spreadsheet from the examples in the booklet, but I'm going round and round and just can't work it out properly.

Does anyone know of any kind of online worksheet were we can plug in the numbers and see what years need paying for and which won't gain us anything. Someone somewhere must have made up something like this for all of us in the same situation.

xylophone

What is said on your state pension statements?

https://www.gov.uk/check-state-pension

Are the "starting amounts" based on the old or new systems?

See also post 14 here

https://forums.moneysavingexpert.com/discussion/5834975/sp-question-for-mum-paying-voluntary-ni

and

https://www.royallondon.com/siteassets/site-docs/media-centre/good-with-your-money-guides/topping-up-your-state-pension-guide.pdf

Linton

If you want a definitive answer based on your precise circumstances talk to the future pensions centre: https://www.gov.uk/future-pension-centre.


You wont get a simple spreadsheet because it can be complex depending on which years you were contracted out, and how much you had earned in SERPS (or S2P or SSP) when you were contracted in.

debydiver

Linton wrote: »

If you want a definitive answer based on your precise circumstances talk to the future pensions centre: https://www.gov.uk/future-pension-centre.

We spoke to them today and they weren't able to advise us. Only tell us which years we could pay, not which years we should pay. They arent able to give 'financial advice' and said we should ask a financial adviser for help. But I don't have much faith that any pensions salesman would be able to work out these sort of state pension questions for us.

debydiver

xylophone wrote: »

What is said on your state pension statements?
Are the "starting amounts" based on the old or new systems?
See also post 14 here
https://forums.moneysavingexpert.com/discussion/5834975/sp-question-for-mum-paying-voluntary-ni
and
https://www.royallondon.com/siteassets/site-docs/media-centre/good-with-your-money-guides/topping-up-your-state-pension-guide.pdf

I'm not sure if the current amount is on the old or new basis. The forecast doesn't say. See pic. And yes I read that thread but its pretty complicated. I'll keep going over it nd hopefully it will start to sink in.
The Royal London stuff looks good but it asks again about the old and new basis. I think I'll have to give the pensions center another call and see what they say.

debydiver

Hmm, can't work out how to upload an image of the forecast screen. Just asks for a http: address.

Bimbly

debydiver wrote: »

Hmm, can't work out how to upload an image of the forecast screen. Just asks for a http: address.

I believe the image has to be on the web. The software then pulls in the image, so it can't be uploaded to MSE. Such as:



If it's your own image not already on the web then you'd have to upload it to something like photobucket or pinterest.

Linton

debydiver wrote: »

We spoke to them today and they weren't able to advise us. Only tell us which years we could pay, not which years we should pay. They arent able to give 'financial advice' and said we should ask a financial adviser for help. But I don't have much faith that any pensions salesman would be able to work out these sort of state pension questions for us.

They will tell you paying which years, or part of years, will increase your SP and which years wont give you any benefit if you did pay - pre 2016 years may or may not lead to an increase in SP. Whether you personally should take up the options is financial advice since it depends on your full financial circumstances.

Tom99

debydiver wrote: »

Hmm, can't work out how to upload an image of the forecast screen. Just asks for a http: address.

Upload the image to say https://imgbb.com/
Then post the link in the forum thread. As a new user you may have to insert a gap in the link you post or drop the https: bit.

xylophone

I'm not sure if the current amount is on the old or new basis.

Ask The Future Pension Centre (see page 6 of above) whether your starting amount was based on the old or new system.

debydiver

OK I'll do that. I'm still not sure how that affects anything though, how I know what years I should 'buy'.
I know that hubby and I can buy extra years, but not if we should and whether we should buy pre 2016 or post 2016 years. I wish there was a some simple system to work it out.

I have 21 years and he has 25 years, so I suppose I'll buy 9 years of pre 2016 and 5 years of post 2016. For hubby, we'll buy 5 years of pre and 5 years of post. It seems the logical answer but whether its the right one I just can't make up my mind.