NI contributions
 

Hi,

I joined this group, wow 10 years ago!, and this is my first post.

Me and family moved to NZ almost 2 years ago and I saw a post on facebook about maintaining your UK pension by keeping up your NI contributions, I wanted to know if anyone else had experience in that matter?

I am 40 and worked from 16-38 in the UK, I just want to know if its worth looking into this and keeping my UK pension going?

Re: NI contributions
 

Depends. Are you planning on a UK return or are you in NZ for good.

Re: NI contributions
 

Pensions are a subject that require a vast number of factors to be taken into account, and even then Governments can (and do) change the rules after you have made your decision.

I lived in the UK until I was 37 and expect to live in New Zealand when I retire. Under the existing NZ rules I will have lived in New Zealand long enough (10 years) to qualify for the Retirement Benefit when I am 65. There have been some suggestions reported recently that the 10 years should be increased to 25. This is just 'somebody saying something' at the moment but even if it were to actually be implemented I would still have served enough time.

There is a reciprocal agreement between the governments of both countries that mean time living in one will help towards qualification for the retirement benefit in the other, so on that basis it would appear that there is little to be gained by topping up the UK contributions.

Pension entitlements when moving countries is an area where a mistake can prove expensive so it is one of those areas where it is worthwhile consulting a Professional that knows what they are doing, not just the opinions of anonymous strangers on the Internet.

I will find out in twenty years time if my decisions prove sound.

Re: NI contributions
 

I could be wrong but my understanding was that to qualify for full UK state pension you had to pay NI (or have the dole cover your stamp) for 21 years
cant comment on personal pensions

Re: NI contributions
 

You now have to have 35 years contributions for a full UK state pension

Re: NI contributions
 

Reciprocal arrangements exist between NZ and UK on Nationa Insurance. Contact NI Contrinutions Oveseas Section in Longbenton

Re: NI contributions
 

You can visit the gov.uk website for more accurate information. It will let you know what your situation is, what your entitlements are and the possibilities for topping up your UK pension.

Depending on the outcome of Brexit, some aspects may change.

Re: NI contributions
 

I paid Class 3 contributions when I left the UK to live in Denmark, Sweden, Saudi Arabia and Hong Kong. When the time came I applied for and received my pension here in NZ paid direct into my bank account, and subject to tax. Although I did not qualify for the full pension (No one told me to start paying while I was in Med School) I am still receiving more from the UK than I would if I switched to NZ Superannuation. I watch the exchange rates monthly, and may switch to NZ Super in future if it would mean a better outcome. The UK pension is not index linked, and remains static, whereas the NS Super increases with the rate of inflation. Watch the exchange rates, and if Brexit is a disaster I may switch to a NZ pension. Good luck.

Re: NI contributions
 

UK pension is adjusted IN SOME COUNTRIES. In other coutries it is FROZEN at the level of first payment.