State Pension - NI Contributions & Topping Up Missing Years - Clarification Please

AscotLad

Hi, this is my first post, so apologies if this is a repeat query!

I saw that there's an April 5th deadline for topping up NI contributions voluntarily. So I checked my details on the Gov.uk website. I need to clarify what's best to do given my circumstances.

When I last checked Gov.uk a couple of years ago, it advised that my contributions were all up to date & I would receive the full amount once I retire in June 2032. I have not worked/paid NI contributions since then (i.e. living on independent means).

Checked again this week & Gov.uk confirmed I now have the last 2.5 years, gap years, however it's still currently forecasting that I'll receive a top payment for the same amount.

I believe that with all my years in continuous employment & from unemployment benefit & Carers Allowance (2 years boosted NI), I should have reached about 36+ years NI contributions in total (17-55).

Apologies for my ignorance on this subject, but;

1. Does this mean that I do not need to add voluntary NI contributions to cover the missing gap years?

2. Would topping up with voluntary NI contributions, actually be of any benefit to my future payment, as it stands? Would I still receive the full payment amount regardless?

3. If for instance, I didn't pay anything else into the NI contributions pot before June 2032, would I be any worse off then, or remain the same - given it will be n even longer increased number of gap years?

Many thanks.

molerat

If there is only one amount shown in your forecast and a  statement

£221.20 is the most you can get
You cannot improve your forecast any more

Then you are already at the max and there is nothing you need to do, that is what you will get at retirement.  It cannot be taken away.

AscotLad

@molerat - Thanks. I was just concerned that if I left things as they currently are, that I'd lose out if no other funds were added between now & 2032. That's good to know! :-)

Lins64

First time posting so hope I am not repeating anything. I'm advised that I need to top up 2 full years and 1 part year. I have 41 full years, but a gap of missing payments whilst I was working in Germany 2016-2020. As I have 41 full years why do I need to buy credits?

Dazed_and_C0nfused

Lins64 said:

First time posting so hope I am not repeating anything. I'm advised that I need to top up 2 full years and 1 part year. I have 41 full years, but a gap of missing payments whilst I was working in Germany 2016-2020. As I have 41 full years why do I need to buy credits?

Probably because you are a winner under some transitional rules that apply to those with a pre 2016 NI record.

Instead of getting the pension you always thought you would get under the old system you can now buy some additional years to take you from that amount to the standard new State Pension of £221.20.

But this is sometimes misunderstood so before paying anything why not post your actual pension accrued to date value and the years you can buy (and cost of each of those years).

Sometimes buying the final year isn't great value for money.  Or even necessary going off previous posters queries.

molerat

Lins64 said:

First time posting so hope I am not repeating anything. I'm advised that I need to top up 2 full years and 1 part year. I have 41 full years, but a gap of missing payments whilst I was working in Germany 2016-2020. As I have 41 full years why do I need to buy credits?

Why do you think you should not need to ?  Why do you think 41 years is enough ?

Suhusa

If you fill in form CF83 you may be able to buy those years on the cheap, provided you were working immediately before you left for Germany.