Increase number of qualifying years for full state pension?

[AndyAudi]

I stumbled on my state pension forecast on HMRC’s portal

I’m going to get a full state pension, a bit of me was then “my contributions after that are going to be wasted….” & it got me thinking.

Why is it 35 years contributions & how could the gov save money without really affecting people in the U.K….?

You get years credit for
time in education
time off raising a child
time when signed on off work
As well as actually when working
(Only time you don’t get I think is when in prison)

So with that list, the only folk really adversely affected by an increase in qualifying years would be.

Prisoners
Rich people who retire early no longer getting full whack off state
People who dip & out of the U.K. during their lives
(We’d one employ retired back home getting 17/35ths & another 2 who banked some years then went home to get married & have a family which got me thinking there must be a lot more like them)

That’s all the folk the public don’t like isn’t it?

[monthou]

You don't get credit for years in higher education.

[Countdown]

Bear in mind that if you don't qualify for a SP you get Pension Credit instead.

[AndyAudi]

monthou said:

You don't get credit for years in higher education.

Noted, but 16-18 you do

Edited by AndyAudi on Friday 25th September 09:07

[AndyAudi]

Countdown said:

Bear in mind that if you don't qualify for a SP you get Pension Credit instead.

You can apply for it, but
It’s slightly less than pension
You have to be remaining in U.K. to get it
If you’ve other savings income you won’t get it
&
If you have a partner you are much less likely to get it as the income thresholds are combined then lowered

[monthou]

AndyAudi said:

Countdown said:

Bear in mind that if you don't qualify for a SP you get Pension Credit instead.

You can apply for it, but
It s slightly less than pension
You have to be remaining in U.K. to get it
If you ve other savings income you won t get it
&
If you have a partner you are much less likely to get it as the income thresholds are combined then lowered

Ask yourself whether it's cheaper to pay state pension to a pensioner in Australia or pension credit to one in the uk. Include benefits, NHS, any and all associated costs.

[d8mok]

I've never really understood why the thresholds for contributions seem to differ for people who have contributed the same period.

Ive got full NI for 26 complete years (2000-2026) and need another 5 years for full contributions before 2052. This means I will have done 31 years and be complete by age 46/47

But Ive friends who also have full years matching who have more years left to go than me.

[towser44]

d8mok said:

I've never really understood why the thresholds for contributions seem to differ for people who have contributed the same period.

Ive got full NI for 26 complete years (2000-2026) and need another 5 years for full contributions before 2052. This means I will have done 31 years and be complete by age 46/47

But Ive friends who also have full years matching who have more years left to go than me.

I'm 44 and only need to contribute another 2 years before 2049 to get the full amount, I have 29 full years (since 1997/98 when I was 16 and started a student job)

[Pit Pony]

It's not a broken system.

Doesn't need fixing. Will just increase the admin burden for the state to pay people in other ways..
Or will result in some poverty.
Most people if they have worked, claimed benefits, or had children will end up with a full state pension, which provided you are lucky enough to own your own home will be just enough to survive.
If not then you are stuffed...


2 full state pensions forms 1/2 of my retirement plan. And I'm worrying if that will be enough.....

[d8mok]

towser44 said:

I'm 44 and only need to contribute another 2 years before 2049 to get the full amount, I have 29 full years (since 1997/98 when I was 16 and started a student job)

Sounds like you are a couple of years ahead of me but will be complete in the same amount of contributing years.

Ive got a friend who also started at 16, and still works at the same firm now (never missed a year) . He's got to do a total of 35 years. He's the same age as you.

[OIC]

d8mok said:

I've never really understood why the thresholds for contributions seem to differ for people who have contributed the same period.

Ive got full NI for 26 complete years (2000-2026) and need another 5 years for full contributions before 2052. This means I will have done 31 years and be complete by age 46/47

But Ive friends who also have full years matching who have more years left to go than me.

You have no idea how many full contribution years you have until you are told by DWP.

To get them to tell you, you have to request a formal statement from them in writing.

What you see on the gov website has no legal standing and is frequently garbage.

Many people have been screwed by not checking formally before the big day arrives.

[geeks]

d8mok said:

towser44 said:

I'm 44 and only need to contribute another 2 years before 2049 to get the full amount, I have 29 full years (since 1997/98 when I was 16 and started a student job)

Sounds like you are a couple of years ahead of me but will be complete in the same amount of contributing years.

Ive got a friend who also started at 16, and still works at the same firm now (never missed a year) . He's got to do a total of 35 years. He's the same age as you.

That can't be right if he is the same age for 35 years contributions he would have had to started work at 9 years old.

I am 41 and have 25 years of contributions having been working since I was 16

[AndyAudi]

OIC said:

You have no idea how many full contribution years you have until you are told by DWP.

To get them to tell you, you have to request a formal statement from them in writing.

What you see on the gov website has no legal standing and is frequently garbage.

Many people have been screwed by not checking formally before the big day arrives.

Which Gov website are you looking at?
The one I see itemises by the year, tell you exactly how much you personally have paid & if you’ve a shortfall in a year tells you how much to pay to make it up…..

[d8mok]

geeks said:

That can't be right if he is the same age for 35 years contributions he would have had to started work at 9 years old.

I am 41 and have 25 years of contributions having been working since I was 16

He's got to do 35 years. Not has done.

[towser44]

geeks said:

d8mok said:

towser44 said:

I'm 44 and only need to contribute another 2 years before 2049 to get the full amount, I have 29 full years (since 1997/98 when I was 16 and started a student job)

Sounds like you are a couple of years ahead of me but will be complete in the same amount of contributing years.

Ive got a friend who also started at 16, and still works at the same firm now (never missed a year) . He's got to do a total of 35 years. He's the same age as you.

That can't be right if he is the same age for 35 years contributions he would have had to started work at 9 years old.

I am 41 and have 25 years of contributions having been working since I was 16

He's got to do a total of 35 years, not he has done 35 years already

[Crudeoink]

My state pension age is (currently) 67. I've said it before on this forum but I find it crazy that I could have not worked a day in my life until 32 and still qualify for the full state pension if I stayed in full time work until 67. Quite unfair for people that started working at 16. Given the dire state of the public purse i feel it would be prudent to make the full state pension only available to those that have worked 40 years. That way you could still do a 3 year degree (21) and go travelling for 3 years and have 4 years in-between jobs during your working years and still qualify for the full whack before state pension age

[Sheepshanks]

Crudeoink said:

My state pension age is (currently) 67. I've said it before on this forum but I find it crazy that I could have not worked a day in my life until 32 and still qualify for the full state pension if I stayed in full time work until 67. Quite unfair for people that started working at 16. Given the dire state of the public purse i feel it would be prudent to make the full state pension only available to those that have worked 40 years. That way you could still do a 3 year degree (21) and go travelling for 3 years and have 4 years in-between jobs during your working years and still qualify for the full whack before state pension age

If you'd never worked a day in your life you could still get it.

[AndyAudi]

Pit Pony said:

It's not a broken system.

Doesn't need fixing. Will just increase the admin burden for the state to pay people in other ways..
Or will result in some poverty.
Most people if they have worked, claimed benefits, or had children will end up with a full state pension, which provided you are lucky enough to own your own home will be just enough to survive.
If not then you are stuffed...


2 full state pensions forms 1/2 of my retirement plan. And I'm worrying if that will be enough.....

I didn’t think the system was broken, just a tweak in the same way as altering tax thresholds or rates.

I can’t see how making that change would increase the admin burden either - it’s just a count to a different number which as you say most will do anyway.

The the key thing for me is the normal working man in the street would see no difference. They pay no more & work no longer.

Impacted would be the folk that don’t / didn’t spend most of their working age life on U.K. before retirement

[Type R Tom]

I think it can go up, if I work to 67 (I don't want to) I would have been paying tax and ni for 51 years.

[Sheepshanks]

d8mok said:

I've never really understood why the thresholds for contributions seem to differ for people who have contributed the same period.

Ive got full NI for 26 complete years (2000-2026) and need another 5 years for full contributions before 2052. This means I will have done 31 years and be complete by age 46/47

But Ive friends who also have full years matching who have more years left to go than me.

Wife and I recently reached state pension age and it was the same for us.

Wife only had a few years at home with kids, but as she'd worked for the Benefit Agency she knew to make sure she got the credit. I've worked continuously from 16 - never had a day between jobs. We both got the full number of years in, but weren't massively over.