National Insurance Contributions

Branchman

According to the Government website I have 49 years FULL NI contributions, whoever, my pension prediction says I will only get a weekly pension payment of £158.59 instead of the full flat rate of £175.20.  Even though I retired last May 2020 at aged 65 because my employment T&Cs wouldn’t let me work past 65 (MOD Fire Service - Civil Servant) and I don’t get my state pension until this May when I am 66; surely this prediction is wrong as I have over 35 years National Insurance contributions.  Your thoughts and comments please.

ewaste

As @jamesd commented on the other thread, the state pension changed in 2016. Furthermore as a member of a Defined Benefit pension scheme you would have been contracted out for the vast majority of those years therefore paying a reduced rate of National Insurance.

Silvertabby

When DWP say 'full years' of NI contributions they just mean 'full financial years' and not 'paid full rate of NI, not reduced rate due to being contracted out of SERPS/SP2'.

TVAS

You have part if your state pension paid by the schemes you were in this is called GMP, the residual is the basic state pension which is reduced because you paid less than the full rate NI contributions when you were a member of your DB schemes. 

xylophone

You say that you have 49 full NI years and that you have been a member of the civil service pension scheme.

This scheme was "contracted out" of the State Earnings Related Pension Scheme (SERPS) and the State Second Pension Scheme (S2P) until 2016 when "contracting out" ended.

See https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/210299/single-tier-valuation-contracting-out.pdf

On 6/4/16, (when the new state pension scheme came into being), two calculations were done for all  individuals who had not yet reached state pension age to check their entitlement under the old and new schemes.

Whichever calculation gave the higher amount became the individual's "starting (foundation) amount" for the new state pension.

In your case:-
Old Scheme
30/30  (maximum) x £119.30 (Full Basic SP) + (Additional State Pension - Deduction for Contracting Out).

New Scheme
(35/35 (maximum) x £155.65 {Full NSP} ) - Contracted Out Pension Equivalent.

In your case, the higher amount was given under the old rules calculation.

As it was less than a full NSP and you were under State Pension Age, there was the possibility of improving your starting amount (up to but not in excess of a full NSP) by making contributions (or receiving credits) for 2016/17 and succeeding years up to (but not including) the tax year in which  you reached your SPA.

You may be in a position to make a voluntary contribution for the year following your retirement from your CS job.

Your State Pension Forecast may clarify or check your position with the Future Pensions Centre.