Women, State Pension Age and NI Contributions

Krissie

I am one of the many thousands of women who are having to wait extra years to get their State Pension. I already have 35 years contributions but am now told that to get the full state pension when I am 66 I have to continue to pay Class II as I am self employed. Seems grossly unfair to me.

lisyloo

Have you obtained your state pension forecast?

What advice is it your after as I’m pretty sure there’s nothing that can be done about this (apart from making your own provision).

A lot of men might think it’s unfair they’ve had to wait longer than women - just saying.

Thrugelmir

Krissie wrote: »

Seems grossly unfair to me.

Isn't it unfair for men as well? I've already paid more full years NIC than I need to obtain a full pension. Though I don't complain as I accept that the full range of public services need to be paid for.

hyubh

Krissie wrote: »

I already have 35 years contributions but am now told that to get the full state pension when I am 66 I have to continue to pay Class II as I am self employed. Seems grossly unfair to me.

That's not quite right. Rather, an individual is liable for NI up to their state pension age - that's always been the case. NI is also (effectively) a hypothecated tax for more than just the state pension - and even for the latter, you and your employer's contributions do not pay for your own pension, but help pay for current state pensions in payment.

xylophone

What does your state pension forecast say?

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

Even if it says that you cannot improve your forecast because you have already reached your maximum, if you are under SPA, still working and earning the appropriate amount, you still have to pay NI.

https://www.moneyadviceservice.org.uk/en/articles/tax-and-national-insurance-when-youre-self-employed

nigelbb

Krissie wrote: »

I am one of the many thousands of women who are having to wait extra years to get their State Pension. I already have 35 years contributions but am now told that to get the full state pension when I am 66 I have to continue to pay Class II as I am self employed. Seems grossly unfair to me.

You aren't being so hard done by. If you had been able to retire at 60 your old basic state pension would have been about £120/week. Now that you are retiring at 66 the new single tier state pension is £168.60/week. You will have lost about £37,500 by the six year delay but on average you will be drawing the new pension for 20 years so will gain an extra £50,000 because of the higher pension.

lisyloo

Some women I.e. those born in part of 1953 and 1954 have been hard done by in terms of the notice they were given for the 2011 changes.
This is a accepted by some on here and even Steve Webb the pensions minister

https://citywire.co.uk/new-model-adviser/news/webb-we-made-a-bad-decision-on-state-pension-age-rises/a866283

The op might fall into that category.

Marcon

No point starting yet another thread on this topic - there's nothing new to say, as you'll see if you read some of the lengthy existing threads on it.

nigelbb

lisyloo wrote: »

Some women I.e. those born in part of 1953 and 1954 have been hard done by in terms of the notice they were given for the 2011 changes.
This is a accepted by some on here and even Steve Webb the pensions minister

https://citywire.co.uk/new-model-adviser/news/webb-we-made-a-bad-decision-on-state-pension-age-rises/a866283

The op might fall into that category.

They might not have had much notice but they will still be considerably better off retiring under the new single tier scheme with £168.60/week rather than with £120/week under the old basic pension. It could be as much as £12,500 better off.