Early retirement and NI contributions

I have already paid enough NI contributions to qualify for a full state pension when I reach 65. I intend to retire now, however, aged

  1. Am I correct in thinking I can safely stop making any further NI contributions, once I take early retirement, without adversely affecting my state pension position?
Reply to
DaveD
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Yes

tim

Reply to
tim....

Good. Thanks for the reassuring reply.

Reply to
DaveD

In message , DaveD writes

Yes. I retired at 58, and underwent the degrading interviews until I had enough "stamps", even though I didn't get unemployment benefit because of my modest company pension. It was belt-tightening stuff for 7 years until the pension arrived, but I never regretted it.

Reply to
Gordon H

Yes, and I think I'm right in saying that, even if you didn't have enough contributions to qualify for a full pension, you would be credited with contributions when over 60 and not working, so you *still* may qualify without having to pay any more.

If in doubt, you can always ask for a pension forecast - which predicts what pension you will get after taking account of your contribution record and your current status.

In the unlikely event that that says that you *don't* qualify, think carefully before making any top-up payments because it is seldom cost-effective.

Reply to
Roger Mills

I don't agree.

It is very cost effective if it is actually necessary to recover the lost years in question.

Though with the decrease in number of years required for a full pension, it is less likely to actually require any specific year to be paid.

tim

Reply to
tim....

In message , Roger Mills writes

Yes. At 60 to 64, if you're working, you have to pay your normal NI. If you're not working, the NI contributions are, in effect, paid for you. At 65+, even if you're still working, you don't pay NI.

Reply to
Ian Jackson

"Roger Mills" wrote

Whatever gives you that idea?

Reply to
Tim

In message , Ian Jackson writes

You still need to have paid a certain number of contributions before age

  1. The rules have changed recently, so I don't know how many are required for a full pension.
Reply to
Gordon H

30
Reply to
Mike Scott

Isn't it before you're 65 (when you would normally get your pension)? "Number of qualifying years Men Women If you reach State Pension age before 6 April 2010 - men normally 44, women normally 39. If you reach State Pension age on or after 6 April 2010 - men 30, women

30." Tough if you were born a day too soon!

Yes. It was 44. However, they're increasing the pension age to 66 then to 67, so (it the government are lucky), you'll die before you get to pension age, so they won't need the 44 years contributions.

Reply to
Ian Jackson

Maybe it's changed, but when I last did the calculations - a few years ago - you would have to live to a ripe old age before the extra pension you bought caught up with the cost of buying it.

Reply to
Roger Mills

"Roger Mills" wrote

The following suggests it could be just 4 years to 'catch up'...

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What figures did you use?

Reply to
Tim

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Can't remember exactly - as I said, it was a few years ago and the rules may have changed in the meantime.

I know that, in my wife's case, it wasn't worth topping up her pension (she had worked part-time and only paid contributions at the married womens' rate - if at all) because she could get far more based on my contributions as soon as I reached 65 - but maybe I was wrong to generalise.

Reply to
Roger Mills

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