Contracted Out Years and State Pension

welshgasman

Hi all,

I have just discovered that the State Pension Forecast which showed I would get a full state pension is incorrect as it does not take into account any contacted out years. COPE ?

I, like many others were contracted out by my employers in a few companies.
Is there any formula for calculating how much one would lose for each contracted out year.?

I have 44 years of contributions and the DWP have advised that topping up for 3 incomplete years would not make any difference.

Just trying to prepare myself for what I might now have to expect, after believing I would get a full state pension next year.

TIA

Linton

Why do you believe that the State Pension Forecast is wrong? If yours is, as far as I can remember, it would be the only one ever raised on this forum.

Years spent contracted out could well be covered by the SERPS/SSP/S2P gained whilst contracted in. There is no formula as it depends on which years you were contracted in or out and how much you were earning at the time. COPE is a figure used in the calculation of the forecast, it is not an extra you have to take account of.

JGB1955

You'll get whatever it says - COPE is not a deduction, merely an estimation of the amount included in your occupational pension.

AnotherJoe

OP have you assumed that the forecast you've got, with a COPE amount stated, means that the COPE amount will be deducted from the pension you've been forecast ? If so, it isn't. Regular topic here due to the misleading way the letter is laid out.

molerat

There have been posts here where someone knew they had been contracted out but no COPE amount was shown. That is the only scenario that could make OP's concern a possibility.



OP, if your pension statement shows a COPE amount then the pension figure shown on that statement is what you will get.


The making up part years comment is likely because they are pre 2016 years so, with the number of years you already have, would not make a difference.


More clarification of your concerns is needed, mainly the actual figures from your forecast.

xylophone

What exactly does your pension forecast say?

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

See post 2 here

https://forums.moneysavingexpert.com/discussion/comment/75837120#Comment_75837120

waveydavey48

I posted separately on this subject recently. After too much Vivaldi hold music I eventually managed to speak to a very helpful lady at the DWP who confirmed that my COPE figure is NOT deducted from the state pension forecast. She conceded that the wording of the forecast letters is misleading and they get a lot of calls from baffled people.

Parking_Trouble

I've just raised this question in another thread.

On first reading of my SP forecast I did scare myself by thinking that COPE figure would be deducted from my SP.

However, if your work pension scheme contracted out it says it only affected 'Additional State Pension' not your ''Basic State Pension'.

Gave me palpitations for a few minutes but I don't think it is anything to worry about.

molerat

Parking_Trouble wrote: »

I've just raised this question in another thread.

On first reading of my SP forecast I did scare myself by thinking that COPE figure would be deducted from my SP.

However, if your work pension scheme contracted out it says it only affected 'Additional State Pension' not your ''Basic State Pension'.

Gave me palpitations for a few minutes but I don't think it is anything to worry about.

The Contracted Out Deduction is deducted from your total additional pension under the pre 2016 scheme. It was never shown as a separate deduction.
COPE is a specified amount and is deducted from the new pension calculation which has no "basic" or "additional" pension amounts.
The good news is that both deductions are irrelevant as they were only used in 2016 to decide which pension calculation was used for your starting amount.