The Retirement Thread

[Sterlo]

Can I suggest you double-check this as I’m not sure it’s correct. If you have two missing years now, you may have more by the time you’re 66. You’re retired now but below State Pension age. As you’re no longer employed you’re not paying NI which is the important point for the state pension. I don’t know what age you are but lets say it’s 64, and your SP age is 66. If you make no NI contributions in the next two years I think you will find you have a choice; either accept a reduced SP or “buy” the additional years to receive the full SP. You can check all this on the .gov.uk website

My wife retired at 60 with an SP age of 66. To receive the full SP she had to buy the years , between 60 and 66, in order to receive the full SP. Financially it was a no brainer as the return on investment is very good, especially for those who’ve enjoyed the last two significant leaps in the SP.

The proportion you contracted out should have outperformed Additional State Pension (SERPS) making the pension you receive higher than it would otherwise have been. You haven’t been fiddled. It’s clear to you your SP is reduced, what you don’t know, is just how much your other pension increased by virtue of contracting out. Generally, it was a good thing to do.

As far as I know, you need to have a total of 35 complete years of contributions to qualify for a full pension, although I'm sure this will increase as the age limit does. I think this allows for gaps so even if you stop paying but still have the 35 years, you should be okay. Of course this could all change at at time.

 

[classic33]

Night everyone.

Sithi

 

[Drago]

Night Johnboy.

 

[ebikeerwidnes]

Being on the railway we were automatically contracted out, which meant paying slightly less NI contributions which went, supposidly into to workplace pension.
This is why we get a slightly reduced state pension, not by much, mine worked out at £22 per 4 weeks. I took the decision not to pay the £804 top up.
What industry did you work in?

Worked in a big retail company (Littlewoods) for the first part of my career
then teaching in school for the rest of it

both were contracted out and had separate pensions schemes

 

[PaulSB]

As far as I know, you need to have a total of 35 complete years of contributions to qualify for a full pension, although I'm sure this will increase as the age limit does. I think this allows for gaps so even if you stop paying but still have the 35 years, you should be okay. Of course this could all change at at time.

Correct. My wife had 41 years, started work at 19, retired at 60. The gap was from non-payment between age 60 and 66. At the time this was easily checked on the .gov.uk website.

Log in, request the illustration. If one is short of years there is a button to click which shows the missing years. In my wife's case whenever I checked it the years would be post her retirement and would increase the longer she was retired.

Prior to reaching SP age we called the DWP who confirmed the years which needed to be purchased.

I know you're right about 35 qualifying years. I think this means literally that, one "qualifies" or is entitled to SP. The value though is a different and determined by the DWP based on contributions. In my mind it's a common misunderstanding. My knowledge is only through having checked many times as we waited for Mrs P's SP to be available. This is why I suggest ebiker double-checks.

 

[numbnuts]

Morning been awake since 02:00

 

[Mo1959]

Correct. My wife had 41 years, started work at 19, retired at 60. The gap was from non-payment between age 60 and 66. At the time this was easily checked on the .gov.uk website.

Log in, request the illustration. If one is short of years there is a button to click which shows the missing years. In my wife's case whenever I checked it the years would be post her retirement and would increase the longer she was retired.

Prior to reaching SP age we called the DWP who confirmed the years which needed to be purchased.

I know you're right about 35 qualifying years. I think this means literally that, one "qualifies" or is entitled to SP. The value though is a different and determined by the DWP based on contributions. In my mind it's a common misunderstanding. My knowledge is only through having checked many times as we waited for Mrs P's SP to be available. This is why I suggest ebiker double-checks.

I’ll be well short then as I finished work at 52 years 7 months. Gives me just shy of the 35 years but I also thought it would mean I would only be slightly short of the full amount. Too bad. Whatever it is will be a nice bonus and getting even more would no doubt just result in paying more tax anyway. They get you either way

Gosh it’s dark. Just saw someone heading out wearing a head torch. Soon be time for mine to get looked out and charged up too.

 

[welsh dragon]

Coooeeee. 12 deg at the moment. It's supposed to be a nice day. Looks dull and overcast at the moment though.

Stay safe peeps

 

[screenman]

Morning all, I am still in bed with the blackout blind down so I have no idea what it is like outside. Enjoy your day.

 

[mikeIow]

I’ll be well short then as I finished work at 52 years 7 months. Gives me just shy of the 35 years but I also thought it would mean I would only be slightly short of the full amount. Too bad. Whatever it is will be a nice bonus and getting even more would no doubt just result in paying more tax anyway. They get you either way

Gosh it’s dark. Just saw someone heading out wearing a head torch. Soon be time for mine to get looked out and charged up too.

You can “buy back” some years…& it can be well worth doing👍
See https://www.moneysavingexpert.com/savings/voluntary-national-insurance-contributions 👀

If you speak with them, you can ask them to put any options in writing to you, & FutureMo could thank you for taking a day to investigate 😉

 

[Dave7]

Morning all.
I feel a Aldi dash coming on at 09.10 (let the peak traffic go)
Black bin day...... Must go and check that.

 

[Drago]

I have risen!

 

[Paulus]

Morning all.
Another sunny start to the day.
More dog walking, cycling around running some errands and I am contemplating getting enough paint to do the fence and shed. I'll have a measure up and see what sizes the stuff comes in. Of course MrsP will have to see what colours and shades are acceptable to get, as she will probably have the final say.

 

[welsh dragon]

I've seen some of the comments about the Oasis thing on Facebook. Some are hilarious. One wrote.
" I was walking the dog the other day and saw a ticket to see Oasis nailed to a tree. I thought, I'll have that. You can never have too many nails ".
Another wrote " I'd like to thank Oasis for not including Birmingham in their tour"

 

[Mo1959]

I've seen some of the comments about the Oasis thing on Facebook. Some are hilarious. One wrote.
" I was walking the dog the other day and saw a ticket to see Oasis nailed to a tree. I thought, I'll have that. You can never have too many nails ".
Another wrote " I'd like to thank Oasis for not including Birmingham in their tour"

I always thought they looked like a couple of jakies that had just walked out of Barlinnie!