Civil Service Pensions

molerat

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

MouldyOldDough

molerat said:

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

So my, required 47 years (contracted out for 30 of them) is not excessive ?

xylophone

So my, required 47 years (contracted out for 30 of them) is not excessive ?

What exactly is shown on your State Pension Forecast

at Estimate to 5/4/ 23 (24)?

How many full years at 5/4/16?

And post 5/4/16?

What is the COPE shown?

https://www.gov.uk/check-state-pension

Silvertabby

MouldyOldDough said:

molerat said:

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

So my, required 47 years (contracted out for 30 of them) is not excessive ?

48 for me.  44 from working, 4 from paying post 2016 voluntary Class 3s.  So, no, 47 years isn't excessive.

You, me and many others on these boards are the winners under the new pension scheme.  Many years of contracted out service, but enough time between 2016 and SPA to be able to add to our pensions, either by working and paying NI or paying voluntary Class 3s for those of us who retired early (60 in my case).

Before anyone chips in, there are alternatives to paying Class 3s at over £800 per year.... either by getting free NI credits by looking after grandchildren, or by paying much cheaper Class 2s by setting yourself up as self employed.

No grandchildren, and just didn't want the faff of selling a few bits of tat on e-bay.  But Class 3s are still a huge bargain.

pinnks

I agree.  Your working life is described in law as, essentially, 16 to 66 at the moment, so 50 years.  During that time you are liable to pay NI, able to pay it voluntarily, or may get credits.  So what does "excessive" mean in the context of a contributory benefit?

The 2016 transitional rules ensure you get at least as much as you would have got had the rules not changed, so for those who were contracted out and who had at least 30 NI years at 2016, a full basic old pension, plus their contracted out pension.  Since then, they have been able to add to the maximum they could otherwise have achieved, up to the new max.

I am paying 5 years voluntarily but run out of time to get the max as I have only 8 post-2016 years.  The fact that I had a working "NI" life, like everyone else, of 50 NI years is completely irrelevant to pretty much anything. 

I am content with my lot - the full basic pension I would have got under the old rules, plus my contracted out pension, which is way better than SEPRS could ever have been, and about £2,600 more state pension as I have filled those 8 additional years from 2016/17 onwards.   

Suzycoll

Silvertabby said:

MouldyOldDough said:

molerat said:

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

So my, required 47 years (contracted out for 30 of them) is not excessive ?

48 for me.  44 from working, 4 from paying post 2016 voluntary Class 3s.  So, no, 47 years isn't excessive.

You, me and many others on these boards are the winners under the new pension scheme.  Many years of contracted out service, but enough time between 2016 and SPA to be able to add to our pensions, either by working and paying NI or paying voluntary Class 3s for those of us who retired early (60 in my case).

Before anyone chips in, there are alternatives to paying Class 3s at over £800 per year.... either by getting free NI credits by looking after grandchildren, or by paying much cheaper Class 2s by setting yourself up as self employed.

No grandchildren, and just didn't want the faff of selling a few bits of tat on e-bay.  But Class 3s are still a huge bargain.

Winners ?? With respect I beg to differ. I don't think having to work until 67/68 (if you don't die before!) is a winner. You may get a few healthy retirement years if you are lucky.

Also, many women (particularly single. widowed or divorced woman) with one pitiful income, could never have afforded to retire early. Some were not even paying into a private pension scheme in their younger years. This is due to 'having no choice' but  too work part time on low wages. Not so very long ago women ( if working p/t) were not even opted in to workplace pension schemes.

It's a total rip off. Personally, with I would never give the govt any voluntary NI conts.

I wish you well in retirement &  keeping  everything crossed for you 😌

michaels

I can't understand the complaints form those contracted out, they have something to show for the contracted out period in a DB pot and the NI they are paying now is increasing their pension.  I wasn't contracted out so had full new state pension entitlement in 2016 from my serps/s2p so all the NI I have paid since then has not increased my pension at all.  I so wish I had contracted out but instead my S2P/serps was simply confiscated at the stroke of a bureaucrats pen.

Silvertabby

Suzycoll said:

Silvertabby said:

MouldyOldDough said:

molerat said:

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

So my, required 47 years (contracted out for 30 of them) is not excessive ?

48 for me.  44 from working, 4 from paying post 2016 voluntary Class 3s.  So, no, 47 years isn't excessive.

You, me and many others on these boards are the winners under the new pension scheme.  Many years of contracted out service, but enough time between 2016 and SPA to be able to add to our pensions, either by working and paying NI or paying voluntary Class 3s for those of us who retired early (60 in my case).

Before anyone chips in, there are alternatives to paying Class 3s at over £800 per year.... either by getting free NI credits by looking after grandchildren, or by paying much cheaper Class 2s by setting yourself up as self employed.

No grandchildren, and just didn't want the faff of selling a few bits of tat on e-bay.  But Class 3s are still a huge bargain.

Winners ?? With respect I beg to differ. I don't think having to work until 67/68 (if you don't die before!) is a winner. You may get a few healthy retirement years if you are lucky.

Also, many women (particularly single. widowed or divorced woman) with one pitiful income, could never have afforded to retire early. Some were not even paying into a private pension scheme in their younger years. This is due to 'having no choice' but  too work part time on low wages. Not so very long ago women ( if working p/t) were not even opted in to workplace pension schemes.

It's a total rip off. Personally, with I would never give the govt any voluntary NI conts.

I wish you well in retirement &  keeping  everything crossed for you 😌

Sorry if I hit a sore spot, but I was only talking about those of us with contracted out DB pensions who can therefore afford to retire early, yet still rack up the full nSP by paying voluntary contributions.

Thank you for your good wishes in my retirement - thankfully, I'm fit and well and less than 12 months from breaking even re my voluntary Class 3 contributions.

I hope things work out for you.

pinnks

Silvertabby said:

Suzycoll said:

Silvertabby said:

MouldyOldDough said:

molerat said:

MouldyOldDough said:

molerat said:

Everyone retiring after April 2025 with a full NI history should be able to receive the full new pension. (£221.20 - £169.50 = £51.70 / £6.32 = 8.2 so 9 years maximum post 2016 contributions needed)

But what is the definition of "a full NI history" ?

ie) How many years in TOTAL ?

If reaching state retirement prior to April 2025 some with a long contracted out history may not have been able to reach the full new pension amount even though they had no gaps and paid full NI every year.  A full history is just that, either no gaps or at least 30 pre 2016 years which gave a full basic pension irrespective of contracting out.  The calculation shows why.

So my, required 47 years (contracted out for 30 of them) is not excessive ?

48 for me.  44 from working, 4 from paying post 2016 voluntary Class 3s.  So, no, 47 years isn't excessive.

You, me and many others on these boards are the winners under the new pension scheme.  Many years of contracted out service, but enough time between 2016 and SPA to be able to add to our pensions, either by working and paying NI or paying voluntary Class 3s for those of us who retired early (60 in my case).

Before anyone chips in, there are alternatives to paying Class 3s at over £800 per year.... either by getting free NI credits by looking after grandchildren, or by paying much cheaper Class 2s by setting yourself up as self employed.

No grandchildren, and just didn't want the faff of selling a few bits of tat on e-bay.  But Class 3s are still a huge bargain.

Winners ?? With respect I beg to differ. I don't think having to work until 67/68 (if you don't die before!) is a winner. You may get a few healthy retirement years if you are lucky.

Also, many women (particularly single. widowed or divorced woman) with one pitiful income, could never have afforded to retire early. Some were not even paying into a private pension scheme in their younger years. This is due to 'having no choice' but  too work part time on low wages. Not so very long ago women ( if working p/t) were not even opted in to workplace pension schemes.

It's a total rip off. Personally, with I would never give the govt any voluntary NI conts.

I wish you well in retirement &  keeping  everything crossed for you 😌

Sorry if I hit a sore spot, but I was only talking about those of us with contracted out DB pensions who can therefore afford to retire early, yet still rack up the full nSP by paying voluntary contributions.

Thank you for your good wishes in my retirement - thankfully, I'm fit and well and less than 12 months from breaking even re my voluntary Class 3 contributions.

I hope things work out for you.

I echo your comments - this discussion is only about contracting out, not the whys and wherefores of equalising the state pension age and increasing it to 67 for everyone. 

Dazed_and_C0nfused

michaels said:

I can't understand the complaints form those contracted out, they have something to show for the contracted out period in a DB pot and the NI they are paying now is increasing their pension.  I wasn't contracted out so had full new state pension entitlement in 2016 from my serps/s2p so all the NI I have paid since then has not increased my pension at all.  I so wish I had contracted out but instead my S2P/serps was simply confiscated at the stroke of a bureaucrats pen.

I suspect the majority of those who have been complaining are suffering from not actually understanding how the new system works.