Is COPE deducted from my forecasted pension

xylophone

After talking to HMRC Future Pensions Centre I was advised I could pay 10yrs NIC's for circa £6,900 which would then give me 37yrs NICS (up to Jul '24) and therefore my full state pension.

Did you look at the chart in link in my post above?

molerat

pepsimax63 said:

Amazing responses, as every. Molerat, info update as follows:

Current £124.87 pension pw amount accrued up to April 2022
Number of pre 2016 NI years full - 24 years
Number of post 2016 NI years full - 1 (21/22 so far, but will be 22/23 and 23/24)
Financial year you reach state retirement - 2030 (although I'm choosing to retire in July '24)
Any COPE amount shown - £35.09pw
Years which show not full and prices - 18 years

After talking to HMRC Future Pensions Centre I was advised I could pay 10yrs NIC's for circa £6,900 which would then give me 37yrs NICS (up to Jul '24) and therefore my full state pension.

Hope this makes sense!

You currently have £124.87

You are going to get 22-23 & 23-24 by working so taking you to £135.45 leaving you £49.70 short with another 6 years available going forward.

You can only fill a maximum of 6 gaps from 2015-16 and earlier due to your COPE which will add £4.73 each to the pension amount.

Years 2016-17 and later will add £5.29 to your pension.

If you buy 6 pre 2016 and 4 post 2016 you will be 16p short, 5 pre and 5 post will get you to the max.

pepsimax63

Thanks Molerat, I would never have figured out being 16p short but upon doing your calculations I figured it out and it now makes sense to me. Thank goodness for folk like you on this site xx

pepsimax63

xylophone said:

I wanted to check if the COPE of £35.09 pw 

The COPE was used  once only at 6/4/16  to establish your starting amount for NSP.

Your starting amount was the higher of

Old Rules

NI  qualifying years/30 (max) x £119.30 (Full Basic) + (Additional State Pension - Deduction for Contracting Out).

New Rules

{NI qualifying years/35 (max) x £155.65 (Full NSP)} - Contracted Out Pension Equivalent.

Have a look at the chart on P6 here

https://www.dpf.org.uk/explorer/files/TOPPING-UP-YOUR-STATE-PENSION-GUIDE.pdf

Thanks Xylophone, the link was really helpful too!