NI On Pension Income

Hi,
I have what I think is a simple question but can't find a definitive answer.
If I retire early (before the State Pension  Age) and take my private Defined Benefits pension do I pay NI contributions on my pension income

Thanks

Comments

  • TadleyBaggie
    TadleyBaggie Posts: 6,048 Forumite
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    No NI is payable on any type of pension income. 
  • Andy_L
    Andy_L Posts: 12,785 Forumite
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    NI is only deducted from pay
  • xylophone
    xylophone Posts: 44,322 Forumite
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    do I pay NI contributions on my pension income

    No.

    If you are still under SPA, working and earning the relevant amount, you will pay NI on your salary.

  • Floofy66
    Floofy66 Posts: 2 Newbie
    First Post
    xylophone said:
    do I pay NI contributions on my pension income

    No.

    If you are still under SPA, working and earning the relevant amount, you will pay NI on your salary.

    But pension isn't salary, it's pension, do I pay NI on that below the SPA
  • TadleyBaggie
    TadleyBaggie Posts: 6,048 Forumite
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    Already answered, a firm no. 
  • Marcon
    Marcon Posts: 10,594 Forumite
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    Floofy66 said:
    xylophone said:
    do I pay NI contributions on my pension income

    No.

    If you are still under SPA, working and earning the relevant amount, you will pay NI on your salary.

    But pension isn't salary, it's pension, do I pay NI on that below the SPA
    Quite - pension isn't salary, so you don't pay NI on it however old you are.
    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
  • GrubbyGirl_2
    GrubbyGirl_2 Posts: 720 Forumite
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    You do not pay NI on pension regardless of how old you are.  If you need more NI contributions to get full state pension you can simply top up those years which is what I have done
  • QrizB
    QrizB Posts: 13,822 Forumite
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    edited 2 February at 11:25AM
    Floofy66 said:
    If I retire early (before the State Pension  Age) and take my private Defined Benefits pension do I pay NI contributions on my pension income
    Do keep in mind that, since pension income isn't subject to NI, you won't continue to accrue NI qualifying years for your State Pension.
    If you need additional years, you'll need to buy them.
    Don't be one of those people who retires early then complains that they don't qualify for a full SP because they're short of years!

    Edit to add: GrubbyGirl said the same thing above, in fewer words!
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