NI query about qualifying years

molerat

FIREmenow said:

@molerat for the £2.19 S2P above, have you derived it from the other information available? Just interested to understand the calculation.

The current amount is known. On the assumption the starting amount is old rules which the COPE would confirm. Remove the current value of the post 2016 years, strip out the annual increases then deduct the 2016 basic pension which leaves the S2P. It is just pretty straightforward maths  combined with an understanding of how the system works so feeding those few details into a spreadsheet gives the answers.

foxgloves

@molerat - Thanks for that information. Yes, when I spoke to a phone advisor last year while arranging to pay voluntary contributions for a number of missing years, she did say that there were some years which would be of no benefit to add, so I now know more about the detail on that. The contracting out/changes are complicated - I'm no idiot, but it takes some getting one's head around to understand the ramifications when one has not worked in or had much contact with the tax sector.

@FIREmenow - No, there is quite simply no COPE amount showing on my Pension Forecast. I can access your link, sign into my forecast & from there click on the 'contracted out ' link, but this just leads me to generic information about the scheme & links just take me back to my forecast which it says will show the figure. It doesn't. The forecast info is there (as already supplied) but definitely no COPE figure. Anything I try simply takes me back in a loop to 'check' my forecast, then of course, needing to sign in again to do so. In fact, I have given up trying for today, as it really is just an endless frustrating loop. Maybe it's an error their end? I don't know, but thanks for supplying the link anyway. Appreciated.
F

FIREmenow

I can access your link, sign into my forecast & from there click on the 'contracted out ' link

For this I meant click my link, sign into government gateway, and then click my same link again. That's how I got back to mine.

molerat

FIREmenow said:

I can access your link, sign into my forecast & from there click on the 'contracted out ' link

For this I meant click my link, sign into government gateway, and then click my same link again. That's how I got back to mine.

Agreed, that is the same link as shows in the forecast under "You've been in a contracted-out pension scheme".  If it is not going to the page shown then something has gone wrong.

foxgloves

Thanks both of you.....& YAY! We have a result! Successful this time, I hadn't realised I'd need to click on the link twice, but doing so did direct me this time to a different page which showed my COPE amount rather than lots of generic info. At least it got me off that dreadful frustrating loop! Anyway, my COPE figure is showing as £39-69.
F

molerat

That then gives you a new scheme starting amount of £96.72 which with the added post 2016 years is a current amount of £175.38.  Filling pre 2016 years would add to that and the available 4 would bring the pension up to £200.66, still short of the current amount and the reason why there is no value in purchasing them.

FIREmenow

If foxgloves doesn't mind me asking on their thread,
@molerat - can I sense check this with you?
I have 13 pre-2016 years and 8 post- up to April 2024. My COPE is £9.27.

I think my NSP calculation would be £48.54, but my current amount is £136.43, which is more than starting point plus 8 years.

The old starting amount is £51.70+S2P.

So my starting point was the old calculation? 

I have one year I can buy pre 2016 for about £400, no more gaps I can buy. But I also have plenty of time to get 14 more years before SPA (I do need 35) and have NI credits from child benefit as a backup for a good chunk of those so wouldn't buy it unless there is a compelling reason to.

Does that make sense or have I totally got it wrong!?

molerat

Current £136.43 with 8 post 2016 years back calculates to a starting amount of £60.42.  New calculation is £57.81 - £9.27 = £48.54 so starting amount must be the old which would be £51.70 basic so £8.72 S2P.  £60.42 at 2016 is now £85.87. That  £400 year will add £5.65 taking you to £142.08. There does seem little point of buying if you have plenty of opportunity going forward.

FIREmenow

Many thanks @molerat that's really helpful!