Resourcefulness: The budgeter's friend

Elisheba

I must remember to check mine. I can't imagine there will be any gaps as I've worked full time solidly since I left uni, except for about 3 months in my early 20s. You never know though.

Cheery_Daff

Well done for sticking through that epic fiasco! 

We rang up about ours a few weeks back. Mr Cheery paid back a couple of years, and sent a letter to rectify mistakes for a couple of other years (when he was in continuous full time employment but they missed the odd year in the middle) - goodness knows when we'll ever hear about that again. So he's up to date - or at least he would be if they'd taken this year's contribution - another thing to sort out 🙄

I'm not bothering to back pay mine - I've spoken to them and I've got way more years before pension age than I've got years worth of contributions to pay, so it's not worth it for me. 

Solidarity on the dentist appointment - I have a 90 minute one on Tuesday 🙄 

Suffolk_lass

I think, like me @foxgloves much of your accrued benefits for State Pension will have occurred while you were in your (public sector) occupational pension scheme and so even if you have those years counting, they are for the basic pension, not the new state pension (ie the one in the £130s per week, not £185)because of "COPE". When the new state pension and the opting out of SERPS was removed in 2015, all the public sector NI contributions that had omitted that element went up. So each year, commencing 2015-16 that we pay for, not only increases the years; it replaces the accrued basic rate with more years for the higher, new state pension. I stopped work in 2019 and so will have four years of voluntary contributions to make, to make mine up to a higher rate. There were some excellent articles on this when the changes were made, I might have bookmarked one, or two...

Yes, here is the Guardian article, and the Royal London article (the original was by Steve Webb, former pensions minister)

foxgloves

All these things seem to involve hassle one way or another, @Cheery_Daff. Apart from the year I returned to university for my Master's, I had a full run of contributions right up to taking VR in the austerity cuts. I shan't bother with the final 2 years of contributions to get up to the full 35 years (the advisor said they wouldn't make a lot of difference), but I will have ensured I have 33 qualifying years.. I'm fine with that as I do have a work pension too. I could take that now, actually, as I'm over 55, but as it is still creeping up (despite me no longer paying into it) so I've decided it's better off left where it is for now.
Good luck with your dentist appointment. I also have a long scary one looming. Today's appt is at a private clinic in the city centre for a conebeam scan, so no treatment, but am feeling quite stressy about it nevertheless.
Bright day though. I did wonder if we would be driving into the city centre in snow, but I think that's moved to Thursday now.
F x

Tescodealqueen

I am so pleased you got through and sorted out your pension Foxgloves. I gave up after an hour yesterday just ringing to get the reference number I need to pay. I used to work for that department (although locally to me not in the centralised centre up north) and the centre always were brilliant as most of the staff had been there for years and were very experienced. Though the system changing in 2010 again in 2016 would have meant that like mine their expertise in the system would have been reduced due to the new regulations and qualifying rules relating to pension. Of course since I left in 2011 my knowledge is well out of date and I have stupidly left it to the last minute to pay one of the years. I can pay the others after March but at a higher cost - it’s my own fault I had in the past decided I was going to accept the lower pension until I knew I had a chance of being alive to benefit (my mum and grandmothers all died aged 67) but since I reach pension age next year I have decided it’s time to make the decision. 

Oh and Cheery do keep a watchful eye on your pension forecast. For anyone like myself who has been in a contracted out pension scheme all their working life it’s not so straightforward when you have years covering all the various requirements so it’s good to keep on top of where you stand. I feel bad because part of my job years ago was to talk to groups about it ☺️
edited to add and shows just how out of date I am after not being able to join the queue this morning due to volume I checked the website again and because I know the years I need to pay for I can do it by post without the reference number  so now I feel more daft but relieved

Tescodealqueen

Elisheba said:

I must remember to check mine. I can't imagine there will be any gaps as I've worked full time solidly since I left uni, except for about 3 months in my early 20s. You never know though.

Please do check as if you have been in a contracted out scheme and your working life started before 2016 your pension will be based on a hybrid of the schemes so not straightforward necessarily. Worth looking at your contribution record and pension forecast regularly 

Suffolk_lass

Tescodealqueen said:

Elisheba said:

I must remember to check mine. I can't imagine there will be any gaps as I've worked full time solidly since I left uni, except for about 3 months in my early 20s. You never know though.

Please do check as if you have been in a contracted out scheme and your working life started before 2016 your pension will be based on a hybrid of the schemes so not straightforward necessarily. Worth looking at your contribution record and pension forecast regularly 

Snap! The links in my post explain it

foxgloves

Yes, I had to read up on contracted out schemes, as my career was public sector & local government pensions were regularly contracted out. Mine certainly was, & my local authority pension statements only show the global figure, so I have to factor in that £39 per week's worth of my state pension will be paid as my work pension. It's a bit of a hybrid & not that intuitive as we think of our state & work pensions as separate entities.
I do feel better for having sorted out the voluntary NI contributions though. £5.5k is a lot of money to me, but it isn't very many years at all from the start of my state pension at 67 before I will have had back more than this sum I'm now putting in. I'm taking the money from savings & we are just viewing it as saving in a different way - sort of a transfer.
F

badmemory

And just to round it off for those who may doubt its worth.  A payment of under £900 for an appropriate missing year (please check as above though) buys you over £250 a year in state pension, which even after tax is over £200 a year so it is paid for in just over 4 years.  The cheapest money going!

Crazycatlady2

Been looking at pensions a bit more closely as hubby just filled paperwork in for new job and joined there’s. I have 2 but very small amounts as was at one job 8 years so requested info for that and dinner lady job paperwork says I’ll get £150 a year 🤷‍♀️ looking into starting a private pension for me now we got a bit more money spare and don’t know where to start but an article on here mentions aviva so I’ll go look at info over a coffee