Making payments to top up shortfall in NI contributions (ref. State Pension)

Maz1963

I have a couple of recent years where I was employed for part of the year only, so have gaps in my NI contributions, but can see on the State Pension website the amounts needed to plug the gaps in those years. As I'm planning to give up work soonish, it seems sensible to pay the shortfall to add another two years eligibility towards my State Pension, when the time comes. I've tried to do this on line but it only seems to give an option to do a regular direct debit, or pay by BACS with a UTR reference (which I understand you only have if you've ever been self employed, which I haven't).  The phone lines are so busy it's hard to get through at the moment (and I'm not even sure you can do it over the phone).  Has anyone managed to successfully make part contributions on line, and if so, how?  Thanks.

molerat

The only way really is on the phone and they will give you a reference to pay it on line.  I called HMRC last week and it took around 40 minutes to get through, should be less this week as we are past the self assessment deadline.  They may require that you have spoken to the future pension centre first to ensure that what you are paying will add to your pension but if you are sure .......

xylophone

What exactly does your state pension forecast say?

Silvertabby

molerat said:

The only way really is on the phone and they will give you a reference to pay it on line.  I called HMRC last week and it took around 40 minutes to get through, should be less this week as we are past the self assessment deadline.  They may require that you have spoken to the future pension centre first to ensure that what you are paying will add to your pension but if you are sure .......

I paid for 2 full years a week or so ago, and the only faff was the time it took to reach a real person so I could request my 18 digit payment reference number.  I started by saying which years I wanted to buy (both post 2016/17) and I wasn't asked if I had spoken to the Future Pensions Centre first. 

Maz1963

Thanks everyone. Like a lot of people, a previous, long term employer contracted us out, so although I have enough qualifying years of employment, it's not enough to have the qualifying NI contributions. The Pensions website says I need five more full years to qualify for the full State Pension.

I can still top up for 2018/19, where I have 35 weeks of NI credits (when I was caring full time). The amount to complete the NI record for that year is £249, which I think is worth paying. The website warns me that after April this year, that amount could increase.  The other recent gap is for 2019/20, when I worked part time for part of that year.  Amount to fill the gaps is £390, but may leave that payment until this time next year. I'll have a full record for this tax year as am still in a part time role. That leaves two years. I plan to stay in the current job for as long as I can, but at 57 I don't plan to work for many more years. I am already in receipt of a company pension, which is reasonable, but not huge, hence my eagerness to make sure I'll qualify for as much State Pension as possible. 

I haven't sought any financial advice, but perhaps it's a good idea to chat to someone at the Pensions Service first to make sure that any top up payments will actually achieve what I think they will.