State pension: Can you increase how much you will get?



The state pension is something many Britons will rely on claiming to live comfortably later in life.

However, the facts surrounding pensions can be very complicated and difficult to understand.

There are two types of pension, the basic state pension and the new state pension, and you will claim one or the other depending on when you were born.

Are there any ways that your can increase the sum of the state pension you will receive?

Ensuring that you claim child benefit while you are not working is important to increase the amount of pension you are entitled to, pensions experts have revealed.

Experts at PensionBee told “In terms of the State Pension, the fact that you’ve claimed Child Benefit indicates to the government that you’re off work to care for your child, so you should continue to receive National Insurance credits.”

It essentially to make sure you claim these benefits or fill in a form to make sure that you are paying national insurance credits.

“This is important because the number of credits you have informs the calculation of how much State Pension you’ll receive when you retire.

“If you fail to do this, you have less National Insurance Credit and therefore might receive a lower State Pension.”

However, some people are taxed for claiming child benefit.

PensionBee added: “Everyone can claim Child Benefit, although if you or your partner earn more than £50,000 after tax then some of it will be clawed back in the form of a tax charge.

“If you’re affected by the tax charge then you can choose not to claim Child Benefit, but you should still fill in the form so that you keep accruing National Insurance credits.”

If you are eligible for the new state pension you will get £164.35 per week, provided you have paid the full amount of national insurance.

You must have at least 10 years on your national insurance record to get any form of the new state pension.

You’ll need 35 qualifying years to get the new full State Pension if you do not have a National Insurance record before 6 April 2016.

If you delay your state pension payment how much more do you get? 

If you delay your state pension the government website reveals your state pension will increase with every week you defer.

This only happens if you defer claiming your state pension for at least nine weeks.

How is your state pension paid? Is it weekly or monthly? 

The basic state pension and new state pension are both paid every four weeks into an account that you choose.


Source link


Enjoy our news? Please spread the word :)