State Pension Prediction Q

[McGurk's Missus]

I think my pension age will be estimated to be something like 106...

[Jimmy Quinn]

That will go up😀

[RobertT]

On the plus side, Life Expectancy has fallen.

[Samdy Gray]

The state pension forecast system is good, but also terribly unclear.

The amount you see in big bold font is what you MIGHT get if you carry on paying National Insurance each year up until your state pension age. Usually it'll show the current state pension amount (£185.15pw). Most people will end up getting to this figure, but it's not guaranteed and will be different if you don't make the full quota of National Insurance contributions between the forecast date and state pension age.

Just below that box will be another figure, which is the amount of state pension you've actually built up based on your National Insurance record to date. This amount is essentially guaranteed, your future state pension won't be any less than this.

The COPE amount is, in theory, the amount the pension that received your contracted-out contributions would pay you in addition to the state pension.

In some odd situations it's possible for state pension to be in excess of the current amount if you were entitled to more under old state pension systems.

Happy to answer anything specific if it'll help further.

[Batch]

thanks Sam

so does that mean someone who contacted out is (very slightly) better off than someone who didn't - assuming they both qualify for a full pension.

it must do, right?

winner! baked beans on toast will be within reach

[Audrey]

I started receiving my pension 18 months ago. I get the full amount State Pension even though I lived, and not clocking up any NI contributions, for the 10 years I lived in Ireland.

You have to be out of the ‘system’ for quite some time to not make the full 35 years worth of contributions.

At the moment trying to find out if Mrs Audrey will get an Irish State Pension as well as the UK one. She clocked up 10 years of contributions which is the minimum you need to qualify for a slice.

[Samdy Gray]

thanks Sam

so does that mean someone who contacted out is (very slightly) better off than someone who didn't - assuming they both qualify for a full pension.

it must do, right?

winner! baked beans on toast will be within reach

Potentially, yes, but not necessarily. Most people were contracted out by default through ocupational schemes, and will easily build 35 years of NIC, so will get full state pension plus have their contracted out pot.

As I alluded to above though, the old pre-2016 state pension was hideously complex and based on earnings levels. I've seen people who were contracted in to S2P/SERPS with state pensions >£250pw.

[Samdy Gray]

I started receiving my pension 18 months ago. I get the full amount State Pension even though I lived, and not clocking up any NI contributions, for the 10 years I lived in Ireland.

You have to be out of the ‘system’ for quite some time to not make the full 35 years worth of contributions.

At the moment trying to find out if Mrs Audrey will get an Irish State Pension as well as the UK one. She clocked up 10 years of contributions which is the minimum you need to qualify for a slice.

Under old EU rules, social security arrangements are preserved regardless of which state you accrue them in, so in theory Mrs Audrey's Irish state pension entitlement will be paid as part of her UK state pension.

[Batch]

ah I see Sam. I think I'm getting there.

[Bob's Orange]

I watched some of the Martin Lewis show during the week and it reminded me of this thread.

You can currently backdate missed years back to 2006 but after 6th April they are changing the rules and you can only backdate missed years back to 2017.

https://www.moneysavingexpert.com/news/2023/02/martin-lewis-urgent-state-pension-boost/

[Legends-Lounge]

Prediction? There won’t be one for my kids.

[RedRag]

I watched some of the Martin Lewis show during the week and it reminded me of this thread.

You can currently backdate missed years back to 2006 but after 6th April they are changing the rules and you can only backdate missed years back to 2017.

https://www.moneysavingexpert.com/news/2023/02/martin-lewis-urgent-state-pension-boost/

Thank you.

This is a very big deal for any approaching - or past - retirement age.  And if you have missed a few or several years of NI contributions for whatever reason.  It could be right now or never.

So I urge you to look at Bob's link, however boring!

It has enabled my wife to very significantly boost her State Pension due to missing years re NI contributions.

The cost of buying an equivalent annuity (compared to catching up with missing NI Contribution years) might have been 10 times the amount.

[Walthams]

The state pension forecast system is good, but also terribly unclear.

The amount you see in big bold font is what you MIGHT get if you carry on paying National Insurance each year up until your state pension age. Usually it'll show the current state pension amount (£185.15pw). Most people will end up getting to this figure, but it's not guaranteed and will be different if you don't make the full quota of National Insurance contributions between the forecast date and state pension age.

Just below that box will be another figure, which is the amount of state pension you've actually built up based on your National Insurance record to date. This amount is essentially guaranteed, your future state pension won't be any less than this.

The COPE amount is, in theory, the amount the pension that received your contracted-out contributions would pay you in addition to the state pension.

In some odd situations it's possible for state pension to be in excess of the current amount if you were entitled to more under old state pension systems.

Happy to answer anything specific if it'll help further.

My wife receives state mention the figure you quote, I receive a far higher figure and haven't got a clue why.
I am 68.

[dalumpimunki]

My wife receives state mention the figure you quote, I receive a far higher figure and haven't got a clue why.
I am 68.

Did you have SERPS? Or where you opted out and contributing to a workplace pension?