National Insurance Contributions - Part years

molerat

At April 2016 you had an old calculation of £87.49 basic + £22.31 S2P, £109.80 which is now valued at £156.00.  You have since added 8 years bringing that up to £206.36.  That means you need another £14.64 to reach the max which is (2.3) 3 full year's contributions, 2 taking you to £219.20 with the third adding the final £2.00, a total of 33 years. Your old 22 years calculation was worth 24.7 new years, that is why you will get there with less than 35 years.

The new calculation was £97.84, now worth £139.04, and adding your post 2016 contributions would be £189.60.

chilled

molerat said:

At April 2016 you had an old calculation of £87.49 basic + £22.31 S2P, £109.80 which is now valued at £156.00.  You have since added 8 years bringing that up to £206.36.  That means you need another £14.64 to reach the max which is (2.3) 3 full year's contributions, 2 taking you to £219.20 with the third adding the final £2.00, a total of 33 years. Your old 22 years calculation was worth 24.7 new years, that is why you will get there with less than 35 years.

The new calculation was £97.84, now worth £139.04, and adding your post 2016 contributions would be £189.60.

That is very useful.  Thank you for taking the time to do the maths.  I'll defintely read through the HMRC manual to gain a proper understanding - my wife is in a similar position so it's useful for us both.  I guess the information freely available is not clear as the answers aren't necessarily simple?  A fair few websites do suggest 35 full years is the norm but evidently there can be more to it than that.

Thanks again.

caeler

@chilled I have a similar situation and according to HMRC need 35 years to get the max.  I have 27 years so far and need another 8 .  3 of my years I got through NI credits when I was aged 16-18 years old. (It was something they did prior to 2010) and they are legit and count so I'm not expecting to need 11 (ie 8+3 to replace the credits).

chilled

caeler said:

@chilled I have a similar situation and according to HMRC need 35 years to get the max.  I have 27 years so far and need another 8 .  3 of my years I got through NI credits when I was aged 16-18 years old. (It was something they did prior to 2010) and they are legit and count so I'm not expecting to need 11 (ie 8+3 to replace the credits).

I'm assuming the years you got through NI credits aren't marked as "year is not full".  That's what I see on my record for the two years I was questioning.  All sorted now though I think.

PeterC365

@molerat how do you calculate the s2p and revaluation? 

I’ve 24 years pre 2016, wasn’t contracted out, 8 full (nearly 9) post 2016 and have a forecast of £221.2 
my assumption is I don’t need any more years but can’t tell. 

molerat

PeterC365 said:

@molerat how do you calculate the s2p and revaluation? 

I’ve 24 years pre 2016, wasn’t contracted out, 8 full (nearly 9) post 2016 and have a forecast of £221.2 
my assumption is I don’t need any more years but can’t tell. 

What is your April 2024 amount ?

To calculate the starting amount you take the above figure, remove the post 2016 years at X x (221.20/35), remove the annual increases for each year back to 2016-17 which are available from government tables, not the headline % but the actual figure to 4 decimal places.  That leaves the starting amount, remove the basic pension at X (max 30) x (119.30/30) which leaves the S2P at 2016 amounts.  But if you are already at the full amount, which will be clear on the forecast, that calculation will not work as you won't know at which point you reached the full pension, it is only of use in working out the need to top up and especially the viability of pre 2016 years.

PeterC365

This is all I see, gives my state pension age and then this, I open the record and all I know is the years as I’ve mentioned. Which makes me think I’ve already reached the contributions I need 

QrizB

What does it say immediately below that green box?

PeterC365

So guess I’ve topped out already - stuck my feet up? 

Sarahspangles

PeterC365 said:

So guess I’ve topped out already - stuck my feet up? 

Bingo, ‘You cannot improve your forecast any more’ is the message you want to see.