Inheritance of Additional State Pension

Please can someone help me to understand how my state pension has been re-calculated?
My husband died at the end of September and my pension was increased by £40.73 per week.
My husband was born in 1945 and the GOV.co.uk website indicates I should inherit 60% of his ASP on his death.  On that basis  does it seem they are now paying me too much or one or both of us have not been receiving the correct amount of ASP since we qualified?

I have phoned the DWP 3 times and had the same experience as penny9 has described in her thread on this subject, except for this last time when I did receive a communication. But it is simply a shorter version of the notification received in October and not the full explanation requested each time.

The inherited Graduated Pension is quite clearly the 50% as the website says it should be.

Prior to my husband's death he was receiving £190.62 made up as follows:
Basic State Pension                                   £137.60
Pre 97 additional SP              £127.15
Less Contracted-Out Ded      £110.24
                                    Total payable          £16.91
Post  97 additional SP                                £31.04
Graduated Ret Benefit                               £5.07
                                Amount each week   £190.62

I was receiving £149.02 as below:
Basic SP                                                    £137.60
Pre 97 additional SP               £60.60
less Contracted-Out Ded        £51.36
                                   Total payable           £9.24
Graduated Ret Benefit                               £2.18
                                 Amount each week   £149.02

The new amount calculation is:
Basic State Pension                                                                £137.60
ASP
based on your earnings between 6.4.1978
and 5.4.1997                                                        £136.89
Less COD of                                                        £106.49.
you earned from an employers or personal
scheme between 6.4.1978 and 5.04.1997           
ASP to 5.4.1997 is                                                                   £30.40
ASP based on your earnings between 6.4.97 and 5.4.2002    £9.04
ASP based on your earnings from 6.4.2002                             £7.99
Graduated Ret Ben - based on grad cont paid between 1961
and 1975 and any extra SP for not getting it earlier                  £4.72 
                                 Amount each week                                   £189.75 

Am I misunderstanding something?

.

Comments

  • broju
    broju Posts: 45
    First Anniversary First Post
    Forumite
    xylophone said:
    Your Basic remains the same.

    With regard to pre 97 ASP, yours was £60.60 and his was £127.15.

    60% of £127.15 = £76.29

    £76.29 + £60.60 = £136.89  on your post bereavement statement.

    Your COD was £51.36.  His was £110. 24.

    The COD represents the minimum pension due from his occupational pension. As his widow, you are entitled to 50% of this.

    The COD on your post bereavement statement comprises £51.36 + (50% x £110.24)

    Thus your pre 97 ASP becomes £30.40.

    You had no post 97 ASP - his (earned between 1997/2002 and post 2002) was £31.04.

    You are entitled to 60% of the pre 2002 ASP and 50% of the post 2002 ASP = this totals

    £17.03.

    You are also entitled to 50 % of his Grad = this gives you £2.54.

    Thus your post bereavement SP becomes

    £137.60 + total pre 97 ASP (after COD) of £30.40 +  a proportion of post 97 ASP totalling £17.03  + total Grad of £4.72

    This gives you 

    £189. 75.





    Thank you very much for this, xylophone.  Based on the website and what I was told when I called DWP I would never have applied  50%!!
    I am now wondering why I did not qualify for ASP  post 97 as I was certainly working full time.  Was I 'contracted out' because I was contributing to the LGPS?  But then so was my husband albeit the TPS? 
     
  • xylophone
    xylophone Posts: 44,138
    Name Dropper First Anniversary First Post
    Forumite
    Yes, both you and your husband were contracted out while you were members of LGPS/TPS.

    See (concerning ASP 1997/2002 and 2003/2016)

    https://www.gov.uk/government/publications/new-state-pension-if-youve-been-contracted-out-of-additional-state-pension/the-new-state-pension-transition-and-contracting-out-fact-sheet

    Presumably you had no contracted in employment 1997/2002?  Did your husband?

    With regard to post 2002, you were a higher earner and so not entitled to the  S2P top up?

    Your husband was a low/moderate earner/had some contracted in employment and so accrued some S2P?

    Otherwise, if you think that there has been some error in your record, you would have to check with HMRC.
Meet your Ambassadors

Categories

  • All Categories
  • 342.4K Banking & Borrowing
  • 249.9K Reduce Debt & Boost Income
  • 449.4K Spending & Discounts
  • 234.6K Work, Benefits & Business
  • 607K Mortgages, Homes & Bills
  • 172.8K Life & Family
  • 247.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards