Autumn statement reactions with reference to pension & retirement planning, views & comments?

RogerPensionGuy

Just as the title suggests,  any reactions, views or comments will be nice to read.

NoMore

Oh great another thread that will descend into arguments and political point scoring about anything but the subject of the thread.

Can you not post this in a more appropriate place, as the autumn statement will be covering far more than pensions.

born_again

Triple lock back in place. 

dealyboy

Certainly a 'budget' for work, workers and small business, probably the right one for our country at this time.

Pat38493

Based on what I heard so far, and in particular the move to reduce NI for all employees from 6th January instead of from April (which will probably create some IT headaches), it seems to me that they are currently planning an General Election in the first half of next year.  Otherwise they would have saved those measures for the Spring.

molerat

A missed opportunity to completely abolish class 2 NI, not only that he has frozen it at 23-24 rate for 24-25.  Voluntary NI should be at one rate only/

Tommo2448

Quick one on cut of Class 2 NI for self employed…currently my profits are usually below the Small Profits Limit of £6725, but I choose to pay Class 2 NI voluntarily as it is a very cheap way to earn a year of State Pension entitlement.  I wonder if such a voluntary option will remain ?  

I am only about 3 or 4 years off my maximum SP,  so not the end of the world if it does not, but would be useful to know.  Had anyone found the detail on this yet ?  TIA !

molerat

Tommo2448 said:

Quick one on cut of Class 2 NI for self employed…currently my profits are usually below the Small Profits Limit of £6725, but I choose to pay Class 2 NI voluntarily as it is a very cheap way to earn a year of State Pension entitlement.  I wonder if such a voluntary option will remain ?  

I am only about 3 or 4 years off my maximum SP,  so not the end of the world if it does not, but would be useful to know.  Had anyone found the detail on this yet ?  TIA !

Yes, voluntary class 2 remains.

Those with profits under £6,725 and others who pay Class 2 NICs voluntarily to get access to contributory benefits including the State Pension, will continue to be able to do so.
The main rate of Class 2 NICs is usually uprated by Consumer Price Index (CPI) and therefore had been due to rise to £3.70 per week in April 2024. For those paying voluntarily, the government has decided to maintain the current rate of £3.45 per week for 2024-25.

Tommo2448

Ah great thanks !  I see that on the Treasury website news page now.  Good news !

af1963

Haven't seen all the detail yet - for the Class 2 self employed abolition, is it the case that people will not be legally obliged to pay this, but if they choose not to, the year will not count towards earning a pension ? ( Or other NI-related benefits ?)

molerat

af1963 said:

Haven't seen all the detail yet - for the Class 2 self employed abolition, is it the case that people will not be legally obliged to pay this, but if they choose not to, the year will not count towards earning a pension ? ( Or other NI-related benefits ?)

https://www.gov.uk/government/publications/autumn-statement-2023

From 6 April 2024, self-employed people with profits above £12,570 will no longer be required to pay Class 2 NICs, but will continue to receive access to contributory benefits, including the State Pension.

Those with profits between £6,725 and £12,570 will continue to get access to contributory benefits including the State Pension through a National Insurance credit without paying NICs as they do currently.

Those with profits under £6,725 and others who pay Class 2 NICs voluntarily to get access to contributory benefits including the State Pension, will continue to be able to do so.

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