Pension forecast

raddy59

I just received my pension forecast
I can pay NICs up to April 2025 which will raise my pension by £18/week approx (5 remaining years before my retirement)
I do have missing years which I am trying to find (I do not have a passport or drivers license so I have requested the information directly)
Can I pay missing years to achieve the uplift? It may be cheaper?

raddy59

Sorry - typo - 3 years remaining

p00hsticks

raddy59 said:

I do have missing years which I am trying to find (I do not have a passport or drivers license so I have requested the information directly)
Can I pay missing years to achieve the uplift? It may be cheaper?

You can do but you need to be careful, especially with pre-2016 years, as they may or may not boost your forecast depending on your particular circumstances. Years prior to 2017-18 will only be available to buy until April 2-23, Assuming that any gaps are for full years, the last two years will be slightly cheaper than the current year, but earlier years are charged at the same rate as the current year (partially filled years will be cheaper depending on how much they are filled). Future years will be slightly more expensive, but then you can potentially have the cash in your possession for longer .... (I personally am filling in my shortfall by paying for each current year by monthly direct debit)

What exactly does your forecast say ?

FYI there are long running threads on the subject over on the Pensions and Retirement Planning board

https://forums.moneysavingexpert.com/categories/pensions-annuities-retirement-planning

raddy59

Thanks p00hsticks. BTW, what is the COPE amount?

calcotti

raddy59 said:

Thanks p00hsticks. BTW, what is the COPE amount?

The COPE figure is based on whether you have been contracted out and is used to calculate your starting amount under the old rules for comparison with entitlement under the current rules.
https://www.gov.uk/new-state-pension/how-its-calculated

p00hsticks

calcotti said:

raddy59 said:

Thanks p00hsticks. BTW, what is the COPE amount?

The COPE figure is based on whether you have been contracted out and is used to calculate your starting amount under the old rules for comparison with entitlement under the current rules.
https://www.gov.uk/new-state-pension/how-its-calculated

@calcotti Close - the COPE figure was used in the 'new rules' calculation, there was a 'Deduction for contracting out' used in the old rules calculation

https://forums.moneysavingexpert.com/discussion/comment/79780987#Comment_79780987

@raddy59 calcotti's explained what the COPE is - you don;t need to worry about it unless you need to work out whether your 'starting amount' was based on the old or new rules (which can influence whether or not it is worth buying pre-2016 years). Other than that, it's presence simply indicates that you probably have a private pension somewhere out there

calcotti

p00hsticks said:

@calcotti Close - the COPE figure was used in the 'new rules' calculation, there was a 'Deduction for contracting out' used in the old rules calculation

https://forums.moneysavingexpert.com/discussion/comment/79780987#Comment_79780987

Sorry - I knew that but muddled it up in my reply! Thanks for correcting that.