State Pension Estimate wrong?

Options
snarffie
snarffie Posts: 449 Forumite
First Anniversary Combo Breaker First Post
in Pensions, annuities & retirement planning
Hi,

I’m 46 and just checked the HMRC pensions website for an estimate of my state pension.

The site says that the “Estimate based on your National Insurance record up to 5 April 2019” is £167.85 a week, which is just shy of the maximum of £168.60 per week.

The thing that confuses me is that I only have 27 years of full contributions in my NI record.

I thought I needed to contribute 35 years for the full amount, so I was wondering why the estimate is so high. Am I missing something? Is the figure likely to be wrong?

Thanks

Comments

  • snarffie
    snarffie Posts: 449 Forumite
    First Anniversary Combo Breaker First Post
    Options
    Sorry,

    Just saw an earlier post on the same subject. It looks as though my NI contributions made pre-2016 have brought me to £167 and I only need another year to max out rather than needing the post-2016 total of 35 years.

    Apologies for the post!
  • Dazed_and_confused
    Dazed_and_confused Posts: 6,458 Forumite
    Uniform Washer
    Options
    It's a very common misconception that the 35 year rule applies to all and sundry.

    As you have realised it doesn't for most, only those starting their State Pension journey from April 2016 are fully under the new rules.
  • chiefie
    chiefie Posts: 406 Forumite
    First Anniversary First Post
    Options
    Is there more than one site to check - mins shows state pension should I keep working until spa. I’d like to know how much I’ve accrued to date to see if I’d need to voluntarily pay in the next 10 years (or how many years) ? Anyone know ? Thank you
  • Dazed_and_confused
    Dazed_and_confused Posts: 6,458 Forumite
    Uniform Washer
    Options
    If you are on gov.uk you just need to read past the headline of £168.60.

    You should then see what you have accrued to date. At present this is usually to 05:04:2019.
  • Silvertabby
    Silvertabby Posts: 9,023 Forumite
    First Anniversary Name Dropper Photogenic First Post
    Options
    snarffie - you are a living breathing example of how the pre 2016 pensioners who scream 'not fair - everyone who retires after April 2016 will get more than me' are so wrong.

    Had the single tier pension (with its cap of £168 per week) not been introduced, then it's likely that your State pension could have been nearer £300 per week rather than £168.

    This is based on the assumption that you are a higher than average earner and have no or very little contracted out (of SERPS/SP2) service.

    As contracting out ended completely in 2016 this will similarly apply to all future high(er) earners.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards