Is it really worth topping up missing years

Jon_yorks

I retired last year and was 5 years short in my NI contributions. 

I have £8000 in savings

I get topped up with pension credit to £218

I get my council paid which saves £100 per year

I'm seeing a lot of advice to top up my missing years, is it really worth using over £4.000 to pay my missing NI contributions 

af1963

For most people, yes.  For you, possibly not, if it just leads to a reduction in your pension credit.  Depends on your exact figures (no other income now or in future?) but it sounds likely that you're best not to buy extra pension.

Jon_yorks

No other income, Incidentally how do I edit my post, that should have said £100 per month not year 

p00hsticks

In your particular case I'd say probably not, as getting Pension Credit automatically passports you to a whole load of other benefits - such as free TV licence, Winter Fuel Allowance, Cold Weather Payments  - which you'd lose if paying voluntary contributions took you above the threshold for claiming it.

The benefits you'd lose are probably worth more than the additional pension you'd gain. 

SVaz

You edit by clicking on the 3 little dots in the corner of your post. 

Marcon

Jon_yorks said:

I retired last year and was 5 years short in my NI contributions. 

I have £8000 in savings

I get topped up with pension credit to £218

I get my council paid which saves £100 per year 

I'm seeing a lot of advice to top up my missing years, is it really worth using over £4.000 to pay my missing NI contributions 

Like all things, general advice (especially when oft repeated) needs to be assessed in the light of individual circumstances.

Jon_yorks said:

No other income, Incidentally how do I edit my post, that should have said £100 per month not year 

Looking at what you get from pension credit, it doesn't look as if you'd be better off - but who knows what the future of pension credit will be?

Jon_yorks

I don't see those dots 

eskbanker

Jon_yorks said:

Incidentally how do I edit my post, that should have said £100 per month not year 

SVaz said:

You edit by clicking on the 3 little dots in the corner of your post. 

Jon_yorks said:

I don't see those dots 

New posters don't have editing facilities to start with, so you'll only have that capability later on....