Voluntary Class 2 Ni Contributions

retroham

I have been self-employed for over 30 years. I wish to fill in gaps in my national insurance record. I retire next year, and due to changes in the state pension, can top up gaps up to 2006/07.  I have contacted National Insurance Helpline to fill in gaps with Class 2 contributions. I have been told that usually an individual can only top up past 6 years as Class 2 Ni contributions. Beyond that one has to top up with Class 3 contributions. 

I think this is wrong as the information I read on the "Pension Advisory Service" website, clearly says that self-employed people can top up to 2006/07 with Class 2 contributions. 

Does anyone know the exact position regarding this?  I don't know how to action the top up with Class 2 contributions as I am being told that I have to top up with Class 3 contributions.

Any information on how to go forward greatly appreciated.

xylophone

https://www.pensionsadvisoryservice.org.uk/content/spotlights-files/uploads/Spotlight_Paying_Voluntary_National_Insurance_Contributions.pdf

https://www.gov.uk/voluntary-national-insurance-contributions/deadlines

I think you'll need to clarify with FPC as below assuming that you are within six months of SPA.

1. Once you have received your State Pension forecast we suggest you speak to a Voluntary National Insurance Contributions (VNICs) Specialist at the Future Pension Centre (Tel: 0800 731 0175) to discuss your options and the cost of making voluntary NI contributions.

retroham

Thank you xcylophone .  I have received my pension forecast so I phoned up as you suggested.  However Future Pension Centre cannot tell me if I can pay Class 2 contributions to fill up gap years.  They have told me to contact HMRC, who state that usually they only go back 6 years to fill up gaps with Class 2.  Do you know the legal position here?  As I am able to top up gaps from 2006-7 due to changes in the State Pension with Class 2. I feel like this is a technicality and it seems wrong that I have to top up with Class 3 when I was liable for Class 2 contributions.

Dazed_and_C0nfused

Why didn't you pay Class 2 NIC at the time?

xylophone

This Guide  (which suggests that Class 2 may be a possibility in certain circumstances) may be helpful https://www.royallondon.com/siteassets/site-docs/media-centre/good-with-your-money-guides/topping-up-your-state-pension-guide.pdf

but note that it relates to 2018/19 so figures out of date - for example, full NSP is £175.20 (2020/21) and full basic £134.25 and Class 2 contributions now cost £3.05.

See  also https://www.gov.uk/voluntary-national-insurance-contributions/rates

However, you are advised to check with HMRC which you have done......

They have told me to contact HMRC, who state that usually they only go back 6 years to fill up gaps with Class 2.  

Did you specifically ask about the 2007-2016 concession described in Royal London link?