My state pension statement

[windermeredave]

With under a year to go before I draw my state pension I was interested to know how much I would be getting so I sent off for a statement.
With the fixed rate pension taking affect from next April I was anticipating something around the £150 mark.
got it back today..£129.01p. I was convinced they had calculated it before the fixed rate.
So I gave them a call. and it turns out it is correct
Now I`m no expert, but I`m guessing there are some on here.
apparantly we are all contracted out when we are paying into our company scheme. paying less NI contributions.
I have lost £57 a week on my state pension because of this. I had no idea..live and learn huh?
unless somebody on here knows anything different. opinions appreciated.

[RobertT]

Your state pension is made up of two elements: Basic State Pension and SERPS/S2P.

Basic State Pension is built up during your working life and is dependant on the number of ‘qualifying years’ you have. The level of the BSP assuming you have the optimum number of years is currently £115.95.

SERPS/S2P is an additional state pension entitlement based on the actual amount of NIC’s you make. It would seem you have accrued about £13 of that.

Members of the RMPP are currently contracted out of SERPS/S2P, and therefore pay less NIC’s. Although contracting out will end in April 2016!

But the whole point of a pension scheme being contracted out, is that it would provide at least as good, if not better benefits than you would have got had you been contracted in. So it may seem as if you’re losing out, you’re really not.

The state pension is a complex thing and phrases like ‘flat rate state pension’ are actually quite confusing, because in reality it will be years until everybody who reaches SPA will get that amount. Until then there will be a transitional period where pensions will still be based on the current system. Your pension will actually be calculated twice: firstly under the current system and then under the new system, and the pension you will get will be the greater of the two. If yours was calculated using the new one, you will almost certainly get less than you are going to get.

This article tells you in laymans terms how things are worked out: http://www.which.co.uk/money/retirement ... e-pension/" onclick="window.open(this.href);return false;

[baldrick]

I asked for a pension forecast too, and was told I'd be getting £128pw when I reach 65 next summer. I did know I wouldn't be getting the full amount of the new 'minimum' state pension because I was in the contracted out RM pension scheme, so it was not a surprise.
Actually I had thought I would be getting less than that.

I am only glad that I will be getting the RP at 65. The Tories had originally been intending to raise the RP age to 66 from April 2016, but the last coalition government was told that they couldn't do that by the EU, on grounds of gender equality, until the women's RP age was the same as men's. So it was put back a year. Who says the EU hasn't done anything for us?

We are fortunate that we will still be getting our RP at 65, people who are younger than us will have to wait longer to get it.
Also the RP will be increased by 2.5% next April, under the 'triple lock', but our RM pensions (Section B) won't be increased because inflation was negative in September.

People who reach 65 before April 2016, and haven't got enough contributions to get the new full state RP can buy extra pension, but those of us who reach state pension age after next April can't.

[Glenno]

Hi all, does anybody know if you can claim your STATE PENSION early ? Like for medical grounds etc, any links would greatly be appreciated Glenno

[RobertT]

Hi all, does anybody know if you can claim your STATE PENSION early ? Like for medical grounds etc, any links would greatly be appreciated Glenno

It is not possible to get your state pension before your state pension age: https://www.gov.uk/early-retirement-pen ... te-pension" onclick="window.open(this.href);return false;

If you don't know what your SPA is, you can find out here: https://www.gov.uk/calculate-state-pension" onclick="window.open(this.href);return false;

But it is possible to defer your state pension if you want to: https://www.gov.uk/deferring-state-pens ... ou-may-get" onclick="window.open(this.href);return false;

[Glenno]

Thank you RobertT, need to do some digging