bobd22

I agree . What is the difference between paying for extra years and having already paid extra years? Also again those off us at say 60 will have 8 or 9 years where not contracted out as it didn't, t come in untill 1978. Maybe our foundation amount will come from. Our total NI, contribution ?

rebs

Yes it will - they have said that at the point of change, your entitlement will be calculated under the current system and also under the new system. The higher of the 2 amounts will be your foundation amount.

What I have been unable to fathom is any kind of simple way to get a rough idea of how to predict what someone's foundation amount is likely to be...

snikpoh

Which means, I presume, it is very hard to do any pension forecasting or planning for the future.

cricketman

I thought I should mention this...

While a British couple get £176 per week on a full UK state pension (around £730) a month, my Spanish in-laws get 5,000 euros per month on a full Spanish state pension

Couldnt believe it when they told me. They were complaining that it should be more

Lynn R

Unfortunately though, 2 of the years I worked prior to 1978 don't look as though they will count as they were before I was 19 (started work at 17). They seem determined to make me suffer, don't know what I ever did to them!

jackytoo

As you are aware it is by no means the norm. The average in Andalucía seems to be around €500pm according to media reports. Infact many are lucky if they see €1500pm when working

cricketman

No its not the norm, but surprising none-the-less

And just a note that 1500 euros per month is way below the Spanish average household income

Sometimes the less well off Spanish people are referenced when they are just one section of society, just like in the UK

notacontrathinker

Not sure why you say this.

http://www.hmrc.gov.uk/ni/intro/credits.htm

"If you were aged 16 to 18 before 6 April 2010, you were usually credited automatically with National Insurance credits. No new awards will be made from 6 April 2010."

Blod

OH received his state pension in Feb this year, they deducted £41 a week from his as he was "contracted out".

I won't get mine until I'm 62yr 4mths & 12 days (being born between 1950 & 55) I'm told I'm entitled to £110, plus two years additional payment having 32 qualifying years.

They keep moving the goal posts.

CapnBilly

Just to clarify, assuming he had sufficient contributions, then did he receive at least the basic state pension

As I understand it, they calculate the amount of pension earned based on contributions (including Serps, SP2 etc, as though you would receive it), and deduct the GMP (guaranteed minimum pension) that is included in private pension (paid for by the reduced ni contributions). In other words, there isn't a deduction, as you were never entitled to it in the first place, its only the way they show the calculation. Like everything from the government, why do it the easy way, as that means people might understand it.

If you think that's complicated, try understanding how you will get rises on the GMP included in your private pension. Some of will be paid by the employer, and some of it the government in your state pension, depending upon when it was accrued.

Lynn R

I was thinking back to posts 7 and 8 in this thread, but I am pleased I will not "lose" those 2 years I had paid contributions for, thank you. That being the case I should have at least 8 years not being "contracted out", but still none of us who have spent substantial periods contracted out have a clear idea of what we are going to receive in state pension. I suppose we must wait until the legislation has been passed and the State Pension Calculator revised accordingly. As Steve Webb thinks state pension provisions should be reviewed every 5 years, who knows, there might still be further changes before I am due to receive mine in just over 9 years' time!

bobd22

Beat me to it

johnnyone

See page 13

https://www.gov.uk/government/upload...fact-sheet.pdf

bobd22

I don't really understand what that means? I know that Forces Police Fire etc have brought in new pension schemes from around 2005 and that you could move from the old pension scheme to the new one but that was for a limited time. I assume they are saying that you can't do that. By the way when I got the offer of transferring I thought it may help me as a late entrant to Police from forces which means although I served 3 years more than half the 30 year pensionable service I get no where near even half the pension ( but had to pay same 11% of salary). I thought the new one may be better for me as one of the reasons for bringing it in was ageism which affects late entrants into the old system. when I get the comparison letter in the new system they were going to dock me 3 years service! DID I want to to transfer ERRRRRRRRR NO thanks

bobd22

I believe this link may explain what Johnnyone refers to re public sector and Private Sector.
http://www.squiresanders.com/files/P...Newsletter.pdf