Any experts on State Pension?

[REM2112]

Morning all

This is not urgent, as I cannot claim until 2033, but a couple things on Government Gateway confused me. My pension projection is £214.11/week (excluding any increase due to inflation). I thought the maximum was £185.15/week.

My NI record is showing as 37 years, excluding my years at university but including 3 years when I was at school. Is this right?

As I say, no urgency, but I would like to understand.

Rob

[anonymous-user]

Did you have a part time job when you were at school? I did an evening cleaning job when I was at sixth form and I was amazed that these two years count towards my pension even though I was only earning £37.50 a week and hence didn't pay tax.

[Eric Mc]

In the whole of the UK there are probably only a tiny handful of people who truly understand the NI and State Pension system.

[REM2112]

Joey Deacon said:

Did you have a part time job when you were at school? I did an evening cleaning job when I was at sixth form and I was amazed that these two years count towards my pension even though I was only earning £37.50 a week and hence didn't pay tax.

No that I remember, but it was a very long time ago!

[Mr Dendrite]

The NI credit when you were at school was something that was brought in by the Gov in the late 1970s in encourage people to stay on in education to 18. You got credited for the year you turned 16 and two year after, but then not for time at Uni.

I had the same and found this article which explained it.

https://www.thisismoney.co.uk/money/pensions/artic...

[TwigtheWonderkid]

Eric Mc said:

In the whole of the UK there are probably only a tiny handful of people who truly understand the NI and State Pension system.

It's less than that!

[REM2112]

Mr Dendrite said:

The NI credit when you were at school was something that was brought in by the Gov in the late 1970s in encourage people to stay on in education to 18. You got credited for the year you turned 16 and two year after, but then not for time at Uni.

I had the same and found this article which explained it.

https://www.thisismoney.co.uk/money/pensions/artic...

Thanks, that’s one mystery solved!

[mfmman]

TwigtheWonderkid said:

Eric Mc said:

In the whole of the UK there are probably only a tiny handful of people who truly understand the NI and State Pension system.

It's less than that!

And none of them work at DWP

[V8mate]

REM2112 said:

Mr Dendrite said:

The NI credit when you were at school was something that was brought in by the Gov in the late 1970s in encourage people to stay on in education to 18. You got credited for the year you turned 16 and two year after, but then not for time at Uni.

I had the same and found this article which explained it.

https://www.thisismoney.co.uk/money/pensions/artic...

Thanks, that’s one mystery solved!

Does it explain why you've been predicted to receive more than the maximum state pension?

[REM2112]

Mr Dendrite said:

The NI credit when you were at school was something that was brought in by the Gov in the late 1970s in encourage people to stay on in education to 18. You got credited for the year you turned 16 and two year after, but then not for time at Uni.

I had the same and found this article which explained it.

https://www.thisismoney.co.uk/money/pensions/artic...

Thanks, that’s one mystery solved!

[REM2112]

V8mate said:

Does it explain why you've been predicted to receive more than the maximum state pension?

Not that I could see!

[Mr Dendrite]

A question where you say "My pension projection is £214.11/week (excluding any increase due to inflation). I thought the maximum was £185.15/week."
does the headline figure say £214.11 or is that the £185.15 and, if you were opted out, you've added a COPE estimate amount to it? in which case ignore the COPE amount it is a theoretical figure

The other option is you weren't opted out and so when your starting amount was calculated for your "new state pension" in 2016, your starting amount was higher than the New state pension, in which case you get the higher amount.

Explanation here

https://www.gov.uk/government/publications/your-ne...

"If your ‘starting amount’ is more than the full amount of the new State Pension
You will get this higher amount when you reach State Pension age. It is possible to have a starting amount higher than the full new State Pension if you have some Additional State Pension. The difference between the full new State Pension and your ‘starting amount’ is called your ‘protected payment’."

[REM2112]

I don’t think there is any more detail than this, but will read the link you sent. Thanks again.

[Mr Dendrite]

Looks like you weren’t opted out, can’t see a link for a COPE estimate in that screen shot.
I think it’s highly likely that you have a higher starting amount as a protected payment.
The information on pension estimate is very poor. I’m only linking to all the research I had to do try and understand my estimate.
Good luck!

[AJB88]

Just logged in to see what mine is, its less than OP's but the most depressing thing (depends which way you look at it) is I've got another 35 years until I can claim it.

[REM2112]

Mr Dendrite said:

Looks like you weren’t opted out, can’t see a link for a COPE estimate in that screen shot.
I think it’s highly likely that you have a higher starting amount as a protected payment.
The information on pension estimate is very poor. I’m only linking to all the research I had to do try and understand my estimate.
Good luck!

I’m a Chartered Accountant (ex) and I find the government explanation baffling. Think I’ll put my new badges on my Chimaera. A better use of my time, but thanks everyone!

[REM2112]

Jasey_ said:

I'm not one of thevtwo people that understand it butvthisvmight explain it

https://www.gov.uk/new-state-pension/how-its-calcu...

I’m not old enough for an Additional State Pension. Still baffled

[leef44]

mfmman said:

TwigtheWonderkid said:

Eric Mc said:

In the whole of the UK there are probably only a tiny handful of people who truly understand the NI and State Pension system.

It's less than that!

And none of them work at DWP

[The Leaper]

AJB88 said:

Just logged in to see what mine is, its less than OP's but the most depressing thing (depends which way you look at it) is I've got another 35 years until I can claim it.

That's an opportunity...35 years for you to do something with private pension provision. The sooner you do so the better financially.

R

[anonymous-user]

The Leaper said:

That's an opportunity...35 years for you to do something with private pension provision. The sooner you do so the better financially.

R

Absolutely this, I am now trying to pile as much money in at the age of 48, wish I had done this at 28 instead.