Guide discussion: Voluntary national insurance contributions

p00hsticks

molerat said:

Cheque in the post with proof of posting is an alternative method, no reference number needed.

Although note that you need to provide the same bits of information in a letter to accompany the cheque as you would to get the 18-digit reference by phone 
Pay voluntary Class 3 National Insurance: By cheque through the post - GOV.UK (www.gov.uk)
(and write your NI number on the back of the cheque)

Aristotle67

HGC_Golfer said:

I have tried several times to contact the HMRC helpline (0300 200 3500) in order to obtain the 18 digit reference number that I need to make a payment for gap years (2020/21 and 2021/22). I go through the 4-5 minute automated service, giving my NI number, etc. but then get advised to check their website and get cut off! 

I didn’t think that giving HMRC money would be so difficult but is there another phone number that I should be trying or is there any other way of obtaining the 18 digit reference number? 

Thanks

May I ask, what time are you phoning up? 

I find phoning at bang on 8.00 a.m. gets me through. I have completed this three times in as many weeks and the respective waiting times were 25 minutes, 4 minutes and 15 minutes; the last two being this week. Each time I was able to achieve what I required, the first being to obtain the 18 digit number. 

I think if you are phoning at the busiest times then being cut off due to sheer call volume is more likely. 

Make sure you answer the questions so that it is clear that the information you require cannot be obtained from their website!

Aristotle67

drlabman said:

molerat said:

All years will add value.  2015-16 and earlier will add £4.73 each and 2016-17 onwards will add £5.29 each.

The top 6 will take her to £100.12.

It is as simple as how much money you want to spend.

She needs another 22 to reach the max.

Thanks for that.

Here's a question out of curiosity.  When you get your 18-digit reference number and pay by bank transfer, how does HMRC know which years you want that payment to cover.

I had six missing years to pay and so what happened was the agent gave me the 18 digit reference number and made a note on the file as to which years the payments were for. I then made one big payment of £4945.20 (£824.20 x 6). Clearly expecting it to be applied to the only six years that were missing would have been too much for them to work out!! (that last comment is just me being sarky!) The number began 609999 which I believe the 9s relate to the amount being over £1000, but I may have that wrong. 

What then happened was that a payment was applied to the most recent of the six years, but not the other five. I phoned up and the agent said she would apply the five payments appropriately as per the note on the file. She did this for four of these, probably just missed one out unintentionally, and a further phone call the following day sorted that out. 

For anyone in a similar boat, I suggest you make HMRC aware of which years the payment(s) are for, once you make the payment(s) give them time to apply these, then chase them up if they are not applied or not applied fully. It will get sorted out. 

Phoning at 8.00 am on the dot is the time to call. 

AlmereIan

Hello.
I'm hoping someone can guise me in the right direction with this.
I lived abroad for 15 years in the Netherlands and therefore I am short of the NI years i need for my state pension. I returned to the UK, and have remained here, in 2009. I can claim back 4 years from 2006 to 2009, by paying for them. After hours on the phone, I acquired an 18 digit code, so I can pay the contributions. After another long call with the Pensions advice line, they advised me to see if I can pay Class 2 contributions, rather than Class 3, as I was abroad and they are cheaper.
They advised me to fill in a NI38 form and send it in, but this can take around 26 weeks at the moment to be picked up. they did say though that the cut off time in July wouldn't apply, if I had sent in this form to be assessed.
My question is, am I likely to get to pay the cheaper class 2 contributions? Or is it just easier to avoid any extra hassle and pay the class 3 contributions?

molerat

AlmereIan said:

Hello.
I'm hoping someone can guise me in the right direction with this.
I lived abroad for 15 years in the Netherlands and therefore I am short of the NI years i need for my state pension. I returned to the UK, and have remained here, in 2009. I can claim back 4 years from 2006 to 2009, by paying for them. After hours on the phone, I acquired an 18 digit code, so I can pay the contributions. After another long call with the Pensions advice line, they advised me to see if I can pay Class 2 contributions, rather than Class 3, as I was abroad and they are cheaper.
They advised me to fill in a NI38 form and send it in, but this can take around 26 weeks at the moment to be picked up. they did say though that the cut off time in July wouldn't apply, if I had sent in this form to be assessed.
My question is, am I likely to get to pay the cheaper class 2 contributions? Or is it just easier to avoid any extra hassle and pay the class 3 contributions?

Do you meet the criteria for paying class 2 overseas ?

Class 2 - but only if you worked in the UK immediately before leaving, and you’ve previously lived in the UK for at least 3 years in a row or paid at least 3 years of contributions

Can you evidence your employment whilst overseas ?

If so then there should be no problem with getting class 2.

pinnks

Have a read of the NI38 as that sets out the criteria for class 2 and class 3.  Class 2 is about £165 per year compared to about £825 for class 3, so really beneficial if you qualify.

Then complete the form CF83, leaving the bank details blank as they are only for future direct debit purposes.  Also, make sure you tick box 25 to indicate that you want to fill earlier years.  

As long as you get your form back to HMRC by 31 July at the latest you position is protected for all years that you could fill, so do you care whether it then takes 6 days or 6 months to sort out?  Personally, I would include a covering letter to give your NL/UK history bearing in mind that you are now resident in the UK, so looking for retrospective confirmation of class 2 v class 3.  I would also add in the letter that you have the 18 digit number but were not made aware of the Class 2 issue until after that - every little helps, as it were...

AlmereIan

Thanks molerat and pinnks. Really useful information.
I will send the form in with as much evidence as possible, as it looks like I will qualify for class 2 contributions.
Thanks again!

chaffinch38

I have been on gov.uk looking at additional NI conts which I need to make. I found this:

Protected payment	Any amount over the full new State Pension (£185.15) that you get from your National Insurance contributions or credits from before 6 April 2016 is protected. It will be paid on top of the full new State Pension.

My forecast shows that I could make £185.15 and that is the maximum (ignoring the budget uprate). So who gets this protected payment over and above the 'maximum' amount?

molerat

chaffinch38 said:

I have been on gov.uk looking at additional NI conts which I need to make. I found this:

Protected payment	Any amount over the full new State Pension (£185.15) that you get from your National Insurance contributions or credits from before 6 April 2016 is protected. It will be paid on top of the full new State Pension.

My forecast shows that I could make £185.15 and that is the maximum (ignoring the budget uprate). So who gets this protected payment over and above the 'maximum' amount?

Anyone who had already exceeded the maximum new pension under the old scheme at April 2016. The pre 2016 maximum pension is currently £327.75

HeySquirrel

Posted cheque to HMRC Friday 3rd March. Been checking bank account since then to see if it has been deposited by HMRC, and nothing has happened yet. Should I be worried, and start to assume the cheque has got lost in the post, or should I relax and assume they are still working through the backlog? Cheque had NI number on the back, and I also enclosed paperwork from HMRC when I requested details of contributions and missing years that could still be paid for voluntarily.