Retiring early

Stewert1dn

Sorry if this has been asked before.
If I decide to retire early would it reduce my state pension payments.
I intend to live off savings and will not take my pension until qualifying age 67 in my case
As it stands I have over 40 years of NI contributions so qualify for full state pension.
Thanks in advance for any answers.

molerat

Having 40 years of NI contributions does not guarantee a full state pension, what exactly does your SP forecast show ?

You will get whatever your forecast states you currently have accrued, retiring early and not making future NI contributions cannot take away from that amount.  If your forecast does not show the full amount there are very cost effective ways of making that amount up.

Stubod

..have you been on the gov website and got a state pension statment?

They give you both the "current" amount, and the max amount if you continue to pay for "x" no. of years, and you can "buy" any missed years for around £700/yr...

Audaxer

Even with over 40 years of NI contributions, you might not yet qualify for the full new State Pension. If you have not already done so, you should check your State Pension Forecast online. That will show you whether you still need to make more contributions to get to the maximum forecast

I am retired and have 46 years of full NI contributions, but I still have a few more years of voluntary contributions to make to get to the maximum forecast.

Dazed_and_C0nfused

Retiring early won't "reduce" your State Pension.

But having 40 years contributions doesn't guarantee the standard new State Pension of £179.60/week.

Have you checked your State Pension forecast, reading past the headline figure to see what you have actually accrued to date?

Stewert1dn

Thanks for all the answers, my forecast says £179.60, so presume that's the full amount I can get???

TadleyBaggie

Does it say you need to contribute more years to get this?

Audaxer

Stewert1dn said:

Thanks for all the answers, my forecast says £179.60, so presume that's the full amount I can get???

That is the forecast, but what does it say under the sentence: Estimate based on your NI contributions up to 5 April 2021?

Stewert1dn

Audaxer said:

Stewert1dn said:

Thanks for all the answers, my forecast says £179.60, so presume that's the full amount I can get???

That is the forecast, but what does it say under the sentence: Estimate based on your NI contributions up to 5 April 2021?

Yes that is exactly what it says.

Stewert1dn

Your forecast

• is not a guarantee and is based on the current law
• is based on your National Insurance record up to 5 April 2021
• does not include any increase due to inflation

£179.60 is the most you can get

You cannot improve your forecast any more

Taken from the Gov website.

molerat

All good then.

The reason you were asked the probing questions is that many see that number at the top of the forecast and think that is what they will get and don't read the other 2 numbers below which clarify.  In your case there is only one figure and that is what you will get.