RKS_in_Calgary

Hi

I have read various threads about NCIs and also tried to get a straight answer from HMRC but failed. My OH has been told that he can pay Class 3 contributions (he doesn't work in Canada at this time). The question we have is can he pay Class 2 contributions once he starts work again here? He still has a lot of years to pay before reaching his magic 30 years contributions so it makes a big difference to whether or not we decide to bother! Thanks

sandylns

Check out the UK Gov web site www.gov.uk for information on both class 2 and class 3. I paid for almost 17 years class 3 before my 65 th birthday. After paying it all back it gave me a full pension. However, it is not indexed as I am sure you are aware. So I am stuck with a 1997 pension. Which dwindles every year.
I have been badgering various UK politicos and governments over the years to get this indexed. So far without success.
There is an organisation fighting to have the pensions issue resolved. www.britishpensions.com You will find the web site interesting. It also has some worthwhile information and links about pensions.

jimmydean

I'm not completely sure but I think unless he retires in next few years it will have to be a magic 35 years

RKS_in_Calgary

thanks for the comments. Will check out the website and also the 35 years

chinglish

Thats how I read it - 35 years to get the new state pension of £144 per week. I understand that anything up to 35 years then it is paid pro-rata.

Steve_

Yes.

http://www.hmrc.gov.uk/pdfs/nico/ni38.pdf

RKS_in_Calgary

thanks Steve, that's great

ukcanuck

Hi there

Was it agreed if it was 30 or 35 years? I have read and re read the sites and as far as I can see its 30 years.

Also a quick question - am I reading it right that if you are caring for a child then you can apply and receive NI credits for the years you are caring for them? Does that mean that if a person is looking after the kids they get free NI years added to their total? Just wondering.

Cheers

jimmydean

If you retire after April 2017 it will be 35 years for the highest pension ...... 30 years if you retire before April 2017.

http://www.thisismoney.co.uk/money/p...rs-losers.html

ukcanuck

Thanks. Couldn't find that info. Still some years away so still not sure if doing this is the best option over keeping it in Canada and doing RRSPs as the UK govt keep changing the goal posts.

Thanks again

RKS_in_Calgary

You get NI credits if you are "on Carer’s Allowance, Income Support or getting Child Benefit for a child under 12". To my knowledge, you can't claim these if you are non-resident but if you find out differntly, let us know so I can get the OH to do so!!!

https://www.gov.uk/national-insuranc...ts/eligibility

ukcanuck

Will do. The info says you have to be "entitled" not receiving so symantics but will ask the question.

Still don't understand why class 3 are more than class 2 but hey it's inland revenue LOL

Steve_

Hasn't been enacted yet, but the proposal which will almost certainly become law is to raise it to 35 years worth of contributions.

Flowerina

Class 2 NIC's are for self employed people so in practice they will also be assessed for NICs each year when they submit their earnings.

Class 3 NIC's are voluntary contributions - no subsequent assessment/amount to pay on earnings.

All comes out in the wash......

Steve_

Also for people employed abroad who make voluntary contributions.