State pension - do I need to "Buy" extra years?

What_time_is_it

I am 45 and have 26 full years NI contributions.
I hope to retire at 60. Or even before if I am very lucky / very prudent.

Do I need to buy extra years of contributions?
How many years do I need to be able to receive the full state pension at 67? (or 70, or whatever age it is by then!)

Thanks.

Linton

Get a state pension forecast: https://www.gov.uk/check-state-pension

That will tell you how much SP you have accrued so far and how many more NI years you need to pay to get the maximum.  If you dont understand the numbers post the details here and we can explain.

What_time_is_it

Thanks @linton.
This is what it says:

• 27 years of full contributions
• 22 years to contribute before 5 April 2044
• 2 years when you did not contribute enough (96/97 and 97/98)

Your forecast is £185.15 a week, £805.07 a month, £9,660.86 a year

Your forecast

• is not a guarantee and is based on the current law
• does not include any increase due to inflation

You need to continue to contribute National Insurance to reach your forecast

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

£145.34 a week

Forecast if you contribute another 8 years before 5 April 2044

£185.15 a week

Contracted Out Pension Equivalent (COPE)

Your COPE estimate is £19.92 a week

So, do I just need another 8 years of "full" contributions to get the maximum pension when I hit retirement age?
And does it matter that I have private pensions too which (I think) generates the COPE figure? Does that reduce my pension?

MallyGirl

COPE doesn't reduce anything.
Yes it looks like you just need 8 more full years.
There are a couple of final salary schemes that do taper a bit once SP kicks in but normal DC schemes are completely separate (on top) of SP.

What_time_is_it

MallyGirl said:

COPE doesn't reduce anything.
Yes it looks like you just need 8 more full years.
There are a couple of final salary schemes that do taper a bit once SP kicks in but normal DC schemes are completely separate (on top) of SP.

Thanks. I do have 2 (dormant) final salary DB schemes (LGPS and USS), in addition to an annual salary DB scheme (USS) that I am currently contributing to and a DC pot (also USS) that I top up monthly too.

MallyGirl

There are people on here who know which DB pensions decrease at SP - I am not one of them I am afraid

GunJack

MallyGirl said:

 normal DC schemes 

that is such a sad phrase.....the fact that DBs are a dying breed is a blight on the nation.

Linton

The COPE figure is a factor used to generate the estimates.  It is the estimates and the 8 years that are the key figures.  Whether your DB pensions provide a higher income before SP age is nothing to do with COPE.  It is defined by the specific scheme rules.