New job with non contributory pension

13Kent

Dazed_and_C0nfused said:

13Kent said:

Is there a way of paying a regular top up contribution rather than paying it all in a lump sum? I have 33 full years so only need 2 more years to reach the full amount. I'll top up the £285 so presumably that will be 34 full years so I would only need one more year, I'm guessing might be about £800 for the year??

35 years aren't relevant for you as you are under transitional rules.

What does your State Pension forecast actually show, in full?

It may be you need 35 years but that is coincidence, not because you meet the new State Pension rules.

It says current amount £169 per week,  forecast if you contribute another 2 years before 2034.
£175.  It says that £175 is the most you can get you cannot improve your forecast any further unless you choose to put off claiming. 

Dazed_and_C0nfused

One post 2016 year will add £5/week.
A second will add a further £1.20/week taking you to £175.20.

13Kent

So it's definitely worth topping up the shortfall for last year then.

Dazed_and_C0nfused

13Kent said:

So it's definitely worth topping up the shortfall for last year then.

Unless you can find a better investment (and if so please tell us all 😊) or you will gain another year by working or getting childcare credits at some point in the next 13 years then yes it's a no brainer.

forecast if you contribute another 2 years before 2034.

Albermarle

It costs £285 to buy £5 a week , potentially for 20 years if you have an average lifespan + inflation linked 
If you wanted to buy an annuity in the open market that guaranteed this level of payment + inflation linked , it would probably cost maybe around £7,000. So quite a bargain !