Guide discussion: Voluntary national insurance contributions

Dazed_and_C0nfused

Janie2008 said:

You could always tell HMRC that your wife has spoken to the future pension centre and get the code. Just be sure what years exactly you want to buy. 

I'm not sure HMRC could be persuaded to dabble with data security issues quite that easily 😳

cozzer

molerat said:

cozzer said:

Hi all
been on hold with NIC for 1hr15 today, then they just cut me off saying they couldn't take my call. I phoned at 14:30 hrs. Really annoyed with all that wasted time.
How is everyone getting their quotes for what they owe to complete a year?
I have this info on mine:

"2013 to 2014

Year is not full.We are checking this year to see if it counts towards your pension. We’ll update your record when this is finished, you do not need to do anything."

No amount stated on what I already have in contributions for that year, or what I need to pay to complete the year.
Am I missing a trick?
Thanks

You need to speak to the HMRC NI desk for that as something is wrong with your record but as it is pre 2016 will it make any difference to your forecast ?

If you are not sure post up all the details and someone will help

Current amount accrued up to April 2022
Number of pre 2016 years full
Number of post 2016 years full
Financial year you reach state retirement
Any COPE amount shown
Years which show not full and prices

Thanks, there is no price unfortunately. 2013-14 was a year when I switched between employed and SE.
If anyone can give me some direction on what to do re the 2013-14 year (how to obtain price, and if it is worth it for me) I would appreciate any guidance.
The 2017-18 year, again no price stated but I feel i would need to pay the full amount for that year as I did not pay the voluntary NIC due to low earnings as SE, so I've ruled that one out already. It's the 2013-14 one I'm unsure about.

 

Dazed_and_C0nfused

cozzer said:

molerat said:

cozzer said:

Hi all
been on hold with NIC for 1hr15 today, then they just cut me off saying they couldn't take my call. I phoned at 14:30 hrs. Really annoyed with all that wasted time.
How is everyone getting their quotes for what they owe to complete a year?
I have this info on mine:

"2013 to 2014

Year is not full.We are checking this year to see if it counts towards your pension. We’ll update your record when this is finished, you do not need to do anything."

No amount stated on what I already have in contributions for that year, or what I need to pay to complete the year.
Am I missing a trick?
Thanks

You need to speak to the HMRC NI desk for that as something is wrong with your record but as it is pre 2016 will it make any difference to your forecast ?

If you are not sure post up all the details and someone will help

Current amount accrued up to April 2022
Number of pre 2016 years full
Number of post 2016 years full
Financial year you reach state retirement
Any COPE amount shown
Years which show not full and prices

Thanks, there is no price unfortunately. 2013-14 was a year when I switched between employed and SE.
If anyone can give me some direction on what to do re the 2013-14 year (how to obtain price, and if it is worth it for me) I would appreciate any guidance.
The 2017-18 year, again no price stated but I feel i would need to pay the full amount for that year as I did not pay the voluntary NIC due to low earnings as SE, so I've ruled that one out already. It's the 2013-14 one I'm unsure about.

 

I may have missed this on an earlier post but as you have 24 more year to contribute and only need to add another 11 do you really need to worry about older years?

Or do you know you definitely won't add another 11 years in the future?

molerat

cozzer said:

molerat said:

cozzer said:

Hi all
been on hold with NIC for 1hr15 today, then they just cut me off saying they couldn't take my call. I phoned at 14:30 hrs. Really annoyed with all that wasted time.
How is everyone getting their quotes for what they owe to complete a year?
I have this info on mine:

"2013 to 2014

Year is not full.We are checking this year to see if it counts towards your pension. We’ll update your record when this is finished, you do not need to do anything."

No amount stated on what I already have in contributions for that year, or what I need to pay to complete the year.
Am I missing a trick?
Thanks

You need to speak to the HMRC NI desk for that as something is wrong with your record but as it is pre 2016 will it make any difference to your forecast ?

If you are not sure post up all the details and someone will help

Current amount accrued up to April 2022
Number of pre 2016 years full
Number of post 2016 years full
Financial year you reach state retirement
Any COPE amount shown
Years which show not full and prices

Thanks, there is no price unfortunately. 2013-14 was a year when I switched between employed and SE.
If anyone can give me some direction on what to do re the 2013-14 year (how to obtain price, and if it is worth it for me) I would appreciate any guidance.
The 2017-18 year, again no price stated but I feel i would need to pay the full amount for that year as I did not pay the voluntary NIC due to low earnings as SE, so I've ruled that one out already. It's the 2013-14 one I'm unsure about.

 

I would assume both those years are the same, SE with no class 2 paid.  You have 24 years to get the necessary 11 years to reach the max.  What are you intending doing for the next 11 years ?  How much effort do you want to put into sorting it out ?  You would likely be able to contact HMRC and pay voluntary class 2 for those years but if you are earning enough to pay compulsory class 2 going forward is it worth the effort ?

lameire

https://forums.moneysavingexpert.com/discussion/6359429/voluntary-ni-contributions-no-brainer/p13

Hi,

I'm new to this forum and this is my first post.

I sent a letter to HMRC in January requesting NIC's to be re-classified as Class 2 because

I worked in the UK for 24 years (all full) until I moved permanently abroad & have worked abroad ever since.

 I havent heard a thing from HMRC and have been cut off after waiting up to an hour. Crazy.

SO, IF I dont hear back in time, what are my options? Do I calculate (with some help) on the basis of Class 2 and just send them a money transfer or decide to proceed with filling gaps as Class3, and if so, what is the most economic way of doing this for me?

IF I have to pay as Class 3, can I pay for pre2016 years and say even 2 years post 2016.

I'd plan to pay any remaining years after 4/23 t but  before 4/24 tax. Would I be reimbursed if at a later date I'm told some years were approved for class 2?

I was in touch with DWP and Future Pension Centre last year before April and they told me to write iro class 2/3 BUT they also gave me 2 different ways of paying back the years I owe.

1. pay 6 years from 2010 to 2015/16  OR (from 2006 through to 2011/12)

THEN pay 5 years from 2016 to 2021 

THEN set up direct debit for remaining 3 years.

TOTAL COST  £9037.60 plus 3years direct debit

TO ATTAIN  £185.15

Thats out of date now and I wonder if someone can help re-calculate  for CLASS 3 AND CLASS 2.Thanks

UP TO DATE FORECAST

24 years full and 21 years when you didnt contribute enough (2000 to present day)

6yrs to contribute before april 2027.

Your forecast is £139.98 a week, £608.66 a month, £7,303.96 a year

Estimate based on your National Insurance record up to 5 April 2022

£113.53 a week

Forecast if you contribute until 5 April 2027

£139.98 a week

 

COPE estimate £43.03 pw

 

Many Thanks

cozzer

molerat said:

cozzer said:

molerat said:

cozzer said:

Hi all
been on hold with NIC for 1hr15 today, then they just cut me off saying they couldn't take my call. I phoned at 14:30 hrs. Really annoyed with all that wasted time.
How is everyone getting their quotes for what they owe to complete a year?
I have this info on mine:

"2013 to 2014

Year is not full.We are checking this year to see if it counts towards your pension. We’ll update your record when this is finished, you do not need to do anything."

No amount stated on what I already have in contributions for that year, or what I need to pay to complete the year.
Am I missing a trick?
Thanks

You need to speak to the HMRC NI desk for that as something is wrong with your record but as it is pre 2016 will it make any difference to your forecast ?

If you are not sure post up all the details and someone will help

Current amount accrued up to April 2022
Number of pre 2016 years full
Number of post 2016 years full
Financial year you reach state retirement
Any COPE amount shown
Years which show not full and prices

Thanks, there is no price unfortunately. 2013-14 was a year when I switched between employed and SE.
If anyone can give me some direction on what to do re the 2013-14 year (how to obtain price, and if it is worth it for me) I would appreciate any guidance.
The 2017-18 year, again no price stated but I feel i would need to pay the full amount for that year as I did not pay the voluntary NIC due to low earnings as SE, so I've ruled that one out already. It's the 2013-14 one I'm unsure about.

 

I would assume both those years are the same, SE with no class 2 paid.  You have 24 years to get the necessary 11 years to reach the max.  What are you intending doing for the next 11 years ?  How much effort do you want to put into sorting it out ?  You would likely be able to contact HMRC and pay voluntary class 2 for those years but if you are earning enough to pay compulsory class 2 going forward is it worth the effort ?

Thanks Molerat. I'm pretty sure there are some employed contributions from 2013-14 as I found 2 out of the 3 p45s from my 3 employments. The NIC paid were fairly low on those 2. I just couldn't find the 3rd one, but I feel it will also be low. I think I will probably have to pay compulsory class 2 for at least 11 years, so I'll probably just leave it. Many thanks for your help.

baldpaul

Hi. I am confident that it would be worthwhile to purchase additional NI years but, like many others, have found it impossible to get through to the Future Pensions people to get confirmation, so am hoping those in the know here can put my mind at rest before I ring HMRC. 

My forecast stands at £154.32 with 41 years of full contributions. Pension due 9/28 and 6 years still to contribute. I retired from paid work in Jan 2018, so have 4 completed years without contributions (2018-9 to 2021-2) . The two jobs I held during my working life both had DB pension schemes, and I was opted out. My COPE is £84.31. It seems to me a no-brainer to pay up the 4 years I can and do the same for 2022/3 and 2023/4 when available. 

Am I ok to plough ahead without the phone call?

molerat

baldpaul said:

Hi. I am confident that it would be worthwhile to purchase additional NI years but, like many others, have found it impossible to get through to the Future Pensions people to get confirmation, so am hoping those in the know here can put my mind at rest before I ring HMRC. 

My forecast stands at £154.32 with 41 years of full contributions. Pension due 9/28 and 6 years still to contribute. I retired from paid work in Jan 2018, so have 4 completed years without contributions (2018-9 to 2021-2) . The two jobs I held during my working life both had DB pension schemes, and I was opted out. My COPE is £84.31. It seems to me a no-brainer to pay up the 4 years I can and do the same for 2022/3 and 2023/4 when available. 

Am I ok to plough ahead without the phone call?

Assuming that £154.32 is your forecast up to April 2022

Yes you are on the right track. You need 6 years to reach the max £185.15 and have 6 years going forward and 4 gaps looking back.  You have enough time going forward but of course prices are on the increase.

Those 4 gap years will take you to £175.48 and a further 2 later years will take you to the full £185.15

18-19 & 19-20 will cost £824.20 each, 20-21 £795.60,& 21-22 £800.80.  The first 3 will increase to £907.40 after April.  So the cheapest option is to pay for those 4 now (21-22 can be left until just before April 2024 if you wish) and pick up 22-23 for £824.80 before April 2025 and 23-24 for £907.40 before April 2026. 

Tiz_world

Afternoon all,

I've read all 44 pages on this topic and its such a useful place to discover that things are so much more complicated than I initially thought!

 

As a first time poster, may I ask for some help with my SP forecast, please?

State Pension available in 2029

Forecast for April 2028 is 145.27

At April 2022 its  113.53

24 yrs full contributions (up to 2000/2001)

21yrs didn't contribute ( from 2001/2 onwards)

6 yrs left to contribute

COPE 19.40

From that info and from reading earlier examples, I'm not sure how many years of contributions I need, but I know I need to buy some years.

The Future Pensions Centre are overwhelmed and the calls just ring out engaged or don't connect. 

HMRC have been charming but unable to help.

Which years would be beneficial? 

I calculate I need about 14

molerat

Tiz_world said:

Afternoon all,

I've read all 44 pages on this topic and its such a useful place to discover that things are so much more complicated than I initially thought!

 

As a first time poster, may I ask for some help with my SP forecast, please?

State Pension available in 2029

Forecast for April 2028 is 145.27

At April 2022 its  113.53

24 yrs full contributions (up to 2000/2001)

21yrs didn't contribute ( from 2001/2 onwards)

6 yrs left to contribute

COPE 19.40

From that info and from reading earlier examples, I'm not sure how many years of contributions I need, but I know I need to buy some years.

The Future Pensions Centre are overwhelmed and the calls just ring out engaged or don't connect. 

HMRC have been charming but unable to help.

Which years would be beneficial? 

I calculate I need about 14

You need 14 years to reach the max with 6 years going forward and 21 gaps so to reach the full £185.15 you need at least 8 of those back gaps.

You can only add a maximum of 6 years from 2015-16 and earlier, those years will add £4.73 each to your current amount.  Years 2016-17 and later will add £5.29 each.  Years from 2016-17 and earlier cease to be available from April 6th.