National Insurance
#16
Re: National Insurance
Is there an expiration on being able to pay prior years Class 2 vouluntary NI payments to keep updated? I paid NI for a large part of the 30 year requirement but stopped when moving to US a few years ago. If it is only 130GBP per year & it pays out in full after 30, sounds like I should opt back in, if still open to me!
#18
Re: National Insurance
Just to be clear, you qualify for a reduced state pension if you have less than 30 years of contributions ie with 25 years you get 25/30ths of the state pension at retirement.
#19
Re: National Insurance
I pay Class 3 voluntary contributions - this year it was £626.60. I think you can only pay the Class 2 contributions (which are lower) if you are employed or self-employed abroad. Someone can correct me if I am reading that wrong.
http://www.hmrc.gov.uk/ni/volcontr/abroad.htm#4
http://www.hmrc.gov.uk/ni/volcontr/abroad.htm#4
#20
Re: National Insurance
I pay Class 3 voluntary contributions - this year it was £626.60. I think you can only pay the Class 2 contributions (which are lower) if you are employed or self-employed abroad. Someone can correct me if I am reading that wrong.
http://www.hmrc.gov.uk/ni/volcontr/abroad.htm#4
http://www.hmrc.gov.uk/ni/volcontr/abroad.htm#4
#21
Lost in BE Cyberspace
Joined: Jan 2006
Location: San Francisco
Posts: 12,851
Re: National Insurance
If you qualify for US SS and also get pensions paid out of non-SS income the SSA will only reduce your US SS if you have less than 30 years of SS payments. Then your US SS will be reduced on a sliding scale until the reduction reaches a maximum amount which is $380 a month for 2012. It can also never be reduced by more than half your non-SS pension. This is called the Windfall Elimination provision (WEP)
http://www.ssa.gov/retire2/wep-chart.htm#table
#22
Forum Regular
Joined: Jan 2008
Location: Jacksonville, FL
Posts: 179
Re: National Insurance
Is there an expiration on being able to pay prior years Class 2 vouluntary NI payments to keep updated? I paid NI for a large part of the 30 year requirement but stopped when moving to US a few years ago. If it is only 130GBP per year & it pays out in full after 30, sounds like I should opt back in, if still open to me!
I left UK in 1981 and caught up over the last 5 years by making a couple of lump sum payments. So, now, in 4 years time I can claim the full UK pension + an additional 70% for the missus. A great investment at anytime but with what else has happened in the last 4 years this one is gilt-edged.
Also, if you draw it in the USA it is index linked. I left Australia last year where, once it is drwan for the first time that is the level it stays at forever. The same for Canada and South Africa and, I believe, for any Commonwealth country.
#23
Forum Regular
Thread Starter
Joined: Apr 2011
Location: Kent
Posts: 37
Re: National Insurance
Thanks to all for their comments. I think I'll continue paying into NI.
#24
Re: National Insurance
Great info all. I've been in the US for 9 years now and am thinking about doing this and playing catch-up.
What's the best way to contact them? Their website is a little confusing on the contact methods.
Cheers,
David.
What's the best way to contact them? Their website is a little confusing on the contact methods.
Cheers,
David.
#25
Re: National Insurance
http://www.hmrc.gov.uk/pdfs/nico/ni38.pdf
#26
Re: National Insurance
Here is everything you need to know. The application to pay voluntary NI while overseas is at the back of the leaflet
http://www.hmrc.gov.uk/pdfs/nico/ni38.pdf
http://www.hmrc.gov.uk/pdfs/nico/ni38.pdf
#27
Forum Regular
Joined: Jun 2012
Location: Seattle
Posts: 90
Re: National Insurance
regarding the pesky W.E.P. (windfall elimination provision), it is not applied to voluntary N.I. contributions. It is only applied to the contributions you made when working in U.K.
All the more reason to send in those voluntary contributions.
All the more reason to send in those voluntary contributions.
#29
Forum Regular
Joined: Jun 2012
Location: Seattle
Posts: 90
Re: National Insurance
nun, I will double check right now, it's been a while since I found this out.
#30
Forum Regular
Joined: Jun 2012
Location: Seattle
Posts: 90
Re: National Insurance
just have now, found this, but I am still looking
http://www.justanswer.com/social-sec...ributions.html
http://www.justanswer.com/social-sec...ributions.html