morpeth

I pay Class 3 contributions, I called up and they said that to make payments I needed a reference number for any particular year, but past years if not making a full payment per year, I would have to write to them to make sure payments applied, but current year payments can be made weekly. I had calculated the amounts I had to pay for gap years, then just set up standing order to pay over next few years- but I used reference number from last bill I received- now they say that only applies to particular year. Are they correct for every particular year a difference reference number required ?

drhewitt

I just got my 2017/2018 NIC statement.

I pay Class 2 NICs. They've gone up by a few pence each week.

There was nothing on the form indicating Class 2 would be abolished next April.

mrken30

I hear they have just reversed the NI changes that were introduced in the budget. No idea if this will affect expats.

drhewitt

I paid a lump sum of six years for Class 2 but I can't make payments for tax years 2001-2005. I don't see why they can't allow it. What is the reasoning behind the 6 year lookback?

drhewitt

I think this is just reversing Hammond's NIC increase and has nothing to do with abolishing Class 2 NIC

nun

Yes. Class 2 NI was abolished by Osborne. It will be gone April 2018 and I assume that expats will then pay Class 3 voluntary NI.

Pulaski

Do you realise that most of the sticks you pick up have another end?

Giantaxe

I assume that too although I have yet to see anything that formally states it (?).

tbm

If you go back one page and look at post #73, you'll see me quoting a government document about NIC 3 for people overseas.

http://britishexpats.com/forum/usa-5.../#post12151171

Isthisyourball

Britishexpats.com quoted in Alan Partridge-esque headlined article... It did sound like an amazing deal.

https://www.theguardian.com/money/2017/mar/18/national-insurance-self-employed-400pc-more-contributions

rpjs

That just got quoted in the Guardian, Pulaski

drhewitt

I wrote to HMRC and this was their reply....


Thank you for contacting HMRC Residency.

The Government is currently proposing to abolish Class 2 NICs for self employed people from April 2018. This means that for some customers who previously paid voluntary Class 2 NICs or a special rate of Class 2 NICs this option will no longer be available. To protect benefit entitlement they may need to consider paying Class 3 NICs. Further information will be provided on Gov.uk as it becomes available".

drhewitt

If we have to pay more for Class 3 we will lose the benefits associated with Class 2 NICs.

mrken30

And the Government is allowed to move the goal posts on when you can start claiming. So some people will get extra years of payments for the same cost.

https://www.financialadvice.co.uk/ne...0-by-2050.html

Pulaski

I am not sure what you mean by that? Aren't they just two different tariffs for buying NI contributions?