DottM

Hi All,

I originally moved to the US on an L1 visa in 2011 and planned to return but have since got married and have no intention of ever going back. I was advised I didn't need to make any NIC as there was a reciprocal agreement with the US and since I was paying US SS I didn't need to pay both. But I was just reading about voluntary NIC to the UK and read up a bit on their website. It states that I am eligible for the following.

Living and working abroad = Class 2 - but only if you worked in the UK immediately before leaving, and you’ve previously lived in the UK for 3 years in a row or paid 3 years’ National Insurance

As Class 2 contributions are minimal it seems a good idea? Does that mean when I cam to retire I could claim a UK pension and a US pension as long as I pay both my NIC and SS?

Am I able to backpay my 4 years I have missed if I go forward?

Thanks
Scott

Pulaski

Yes you can get a UK state pension AND US social security.

You have to apply to make Class 2 NI AVCs, and they are indeed a bargain. You can pay up to six years of arrears, and once you reach 35 years of contributions you qualify for a "full pension", which I understand will be reduce slightly for any years you were contracted out of SERPS.

The rules for claiming both are intricate, and it is possible that your US SS might be partially reduced if you have less than 30 years of SS contributions. The process is called the Windfall Elimination Provision (WEP), but bizarrely only counts the part of your UK State Pension not attributable to AVCs.

The first thing to do is to phone the Dept of Work & Pensions (from outside the UK: +44 191 203 7010). They will ask you a few questions (ideally you need your NI number, but it isn't necessary) and send you a questionnaire form about your work history - who you work for now, who you worked for in the UK and when (that determines whether they approve you for Class 2 or Class three NI contributions.) They ask for rough dates and addresses - just throw down something, if necessary an address from Google - I put down my London office address even though I know there was no HR function there.

A couple of months after you mail the form back they should send you information about what your current position is (years paid), and how to make additional payments, which in your case, for Class 2 contributions at about £140/yr for the past four years, plus this year, would be just about £700.

You might find this link useful.

DottM

Great! Thanks, I will look into paying (and backdating) my payments. Thanks for the quick reply.

NatashaB

There is a rumour that expats will no longer be able to pay class 2s and will have to pay a more expensive class from next year (can't remember which class exactly). So i would definitely jump on this now and get as many years backdated as you can, in case that happens.

Pulaski

You're welcome. I significantly expanded my reply above since your post #3.
Class 3, at about £735/yr. I don't know that that has been confirmed yet.

DottM

[QUOTE=Pulaski;11732549]You're welcome. I significantly expanded my reply above since your post #3.

Great.... on hold just now...

DottM

Just incase anyone else was in a similar situation the for is the NI38 and can be found here

https://www.gov.uk/government/upload.../NI38_CF83.pdf