State pension amount.

[Justin Passing]

It's not a no-brainer to make the extra payments if you're falling short, but close. We did, , in case of rampant inflation as much as anything else.
WHat else would you be dong withthe money, assuming you have it? If the answer to that is stick it in a building society where it would go backwards relative to inflation, pay to the pension for the top-up.

If you're retiring early, you can make the remaining years count by paying the paltry (was) Self Employed contribution. It's a lot cheaper than the top up, if you see the need coming.

 

[JohnD]

My forecast says i have 45 years full contributions but to get full state pension i need 1 more this will be due to being contracted out for x amount of years.

In your case, as you already have at least 35 years contributions, you will gain nothing from more contributions.

 

[gas112]

In your case, as you already have at least 35 years contributions, you will gain nothing from more contributions.

wrong it gave me figure for what i have at present and gave me another figure for the extra year which was around a tenner a week more . so for less than 200 quid in contributions its worth it

 

[JohnD]

Well that's interesting

I have not seen your forecast so I don't know why it is different to mine.

"Decide if you want to pay voluntary contributions
Voluntary contributions do not always increase your State Pension, for example if you were contracted out."

Contracted out of the Additional State Pension

Check if you were contracted out of the Additional State Pension and what it means for your State Pension

www.gov.uk

 

[Mottie]

So 13 times per year

Yes. You get paid 4 weekly.

 

[gas112]

just checked at present pension forecast is £201.33 and if i pay another year it is £203.85
45 years full contributions

 

[Murdochcat]

My forecast is £174 a week. If I pay NI for another few years it will go up to £192 a week. How can you pay NI if you are not working or claiming benefits?

Claiming benefits gives you automatic inclusion to contributions

 

[Murdochcat]

just checked at present pension forecast is £201.33 and if i pay another year it is £203.85
45 years full contributions

That can’t be correct

35 years of full contributions to get full state pension

You must have lots of missing years in your history

 

[ETAF]

i had paid in 37 years and in 2010 I got a letter to say I have paid enough NI contributions for a full pension
BUT in 2016 the rules change - I had retired and NO NI paid
Then when I got the statepension - loads short - because of this 2016 rule - I owed something like well over £5K.... from 2016 to 2022 when i reached 66
so check online to see what you should be getting

 

[gas112]

That can’t be correct

35 years of full contributions to get full state pension

You must have lots of missing years in your history

got absolutely no missing years at all at bg we were contracted out which will be why they will be asking for 1 more year

 

[JohnD]

we were contracted out which will be why they will be asking for 1 more year

Contracted out means not "full contributions"

It's strange that the government web page about voluntary contributions and contracting out says it will reduce your pension, but does not say by how much or how it is calculated.

Must be a deliberate omission.

There must be a formula for the calculation.

"An amount is taken off your new State Pension if you were contracted out."

"Voluntary contributions do not always increase your State Pension, for example if you were contracted out."

Contracted out of the Additional State Pension

Check if you were contracted out of the Additional State Pension and what it means for your State Pension

www.gov.uk

I am on the New State Pension and it has a deduction due to having been contracted out.

 

[gas112]

 

[gas112]

so there it says 45 years FULL contributions and NO GAPS and that i need to make 1 more year contributions which will be up till this april when books submitted

 

[JohnD]

The words do not make sense

"Full" does not mean "contracted out"

35 years of full contributions would bring the full pension.

The NI record might show how many years were contracted out.

 

[gas112]

The words do not make sense

"Full" does not mean "contracted out"

35 years of full contributions would bring the full pension.

The NI record might show how many years were contracted out.

well i will go with what the government site says , going by how many times you are wrong about stuff .
Dont forget even when contracted out NI is still paid.
Every year says full year