No state pension contributions

What happens if you don't pay any national insurance or make any state pension contributions? 

Of course, you wouldn't have a pension but would there be any other repercussions? 

(I'm asking for someone else) 
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  • Marcon
    Marcon Posts: 14,035 Forumite
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    Frith said:
    What happens if you don't pay any national insurance or make any state pension contributions? 

    Of course, you wouldn't have a pension but would there be any other repercussions? 

    (I'm asking for someone else) 
    State pension contributions are included in NI contributions.

    You wouldn't be entitled to a state pension or any other benefit where payment of NI contributions is a requirement. See https://www.litrg.org.uk/tax-nic/national-insurance for more information on which benefits are 'contributory'.
    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
  • Exodi
    Exodi Posts: 3,735 Forumite
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    edited 8 April 2024 at 2:08PM
    And just to be crystal clear - someone who has not worked, but is in receipt of benefits can still accrue national insurance credits and be entitled to a state pension (just to prevent the assumption some people have that not working automatically means no state pension).

    If it was the case, they could consider buying additional years, which typically represents incredible value for money.
    Know what you don't
  • eskbanker
    eskbanker Posts: 36,928 Forumite
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    Frith said:
    What happens if you don't pay any national insurance or make any state pension contributions? 

    Of course, you wouldn't have a pension but would there be any other repercussions? 

    (I'm asking for someone else) 
    There'd be repercussions if you were meant to have paid NI, e.g. if you failed to pay mandatory contributions from self-employment, as opposed to simply choosing not to pay any voluntary ones - what's the scenario here?
  • BlackKnightMonty
    BlackKnightMonty Posts: 302 Forumite
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    edited 8 April 2024 at 3:34PM
    eskbanker said:
    Frith said:
    What happens if you don't pay any national insurance or make any state pension contributions? 

    Of course, you wouldn't have a pension but would there be any other repercussions? 

    (I'm asking for someone else) 
    There'd be repercussions if you were meant to have paid NI, e.g. if you failed to pay mandatory contributions from self-employment, as opposed to simply choosing not to pay any voluntary ones - what's the scenario here?
    If it was Income Tax then HMRC would demand you to pay it back; with interest. If you don’t do that; then they might take you to court.
  • Brie
    Brie Posts: 14,273 Ambassador
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    If, for instance, someone has never worked and never claimed benefits but has lived in the UK (& had the right to do so) they might be eligible for pension credits but little else.  This is the situation some women find themselves in if their husband dies and there's no or very little money and no pension payable to the widow.  
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  • Frith
    Frith Posts: 8,713 Forumite
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    What would anyone recommend with regards to buying past years of pension? Class 2 or 3?

    This person hasn't had a job for about 15 years. 
  • eskbanker
    eskbanker Posts: 36,928 Forumite
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    Frith said:
    What would anyone recommend with regards to buying past years of pension? Class 2 or 3?

    This person hasn't had a job for about 15 years. 
    https://www.gov.uk/voluntary-national-insurance-contributions/who-can-pay-voluntary-contributions
  • molerat
    molerat Posts: 34,422 Forumite
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    edited 8 April 2024 at 4:11PM
    Frith said:
    What would anyone recommend with regards to buying past years of pension? Class 2 or 3?

    This person hasn't had a job for about 15 years. 
    The cheaper class 2 is only available to the self employed.
    Have they actually checked their SP forecast and NI record ?
    Without that anyone would be guessing as to the best way forward.
    Do they have savings or other pensions ?
    Paying voluntary contributions could be a bad move in some circumstances as a person could be better off relying on the largesse of the benefits system.

  • sammy95
    sammy95 Posts: 7 Forumite
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    I am also looking into this - if it is possible to claim a state pension if you havent paid NI through employment?

    Context: This person has an NI number, has claimed other benefits in their name eg child benefit for a few years, hasn't worked in the UK so has not made any NI contributions. Would they be entitled to some kind of pension?
  • molerat
    molerat Posts: 34,422 Forumite
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    sammy95 said:
    I am also looking into this - if it is possible to claim a state pension if you havent paid NI through employment?

    Context: This person has an NI number, has claimed other benefits in their name eg child benefit for a few years, hasn't worked in the UK so has not made any NI contributions. Would they be entitled to some kind of pension?
    Child benefit and some other benefits give NI credits towards the state pension.  The only way to find out is to check, the best way is through the on line tax account.



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