Redundancy and National Insurance

Hello, I have been made redundant and plan on taking early retirement. I can claim my work pension as of now, but plan to do this next year as I can survive on my redundancy payment for 1 year.
I have paid 40 years full contributions of National Insurance without any gaps, but want to know if I need to continue to pay it or be registered in the system somehow before I start to collect my state pension, which will be in 10 years time. 
Am I eligible for any benefits?


  • molerat
    molerat Posts: 31,551
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    edited 26 April 2021 at 2:08PM
    You need to check your actual state pension forecast.  40 years is of little relevance to those of us with a pre and post 2016 NI record, the actual forecast is all that matters.  If you then post on the pension board with any questions you will get some excellent answers.
    As for benefits, are you looking for work ?

  • poppy12345
    poppy12345 Posts: 17,725
    First Anniversary First Post Name Dropper
    edited 27 April 2021 at 7:13AM
    If you're looking for work then you can can claim New style JSA which is based on your NI contributions in tax years April 2018 to March 2020. It's paid for 26 weeks @ £74.70 per week. (it's not means tested)

    You might want to check your entitlement to Universal Credit also. As it's a means tested benefit then savings/capital of more than £16,000 will exclude you from claiming. savings of more than £6,000 will reduce your UC by £4.35 per month for every £250 (or part there of) over that amount. If you live with a partner you claim as a couple.

    If you claim both of the above together then your JSA will be deducted in full from any UC entitlement.

    Do be aware also that any pension you receive will reduce your UC £1 for £1 so it's not always worth claiming that pension early.
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