State pension deferrals won’t boost payments if certain benefits are claimed – full list

Martin Lewis discusses state pension underpayments

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State pension payments require at least 10 years of National Insurance contributions to be claimed, with at least 35 years needed to receive the full amount of £179.60 per week. However, the payments can be increased beyond this amount if a person defers their claim.

State pensions will increase for every week of deferment, so long as a retiree deferes for at least nine weeks.

A state pension will increase by the equivalent of one percent for every nine weeks of deferment.

This works out at just under 5.8 percent for every 52 weeks.

The extra amounts will be paid with regular state pension payments when they’re eventually claimed.

However, extra state pension payments cannot be built up through deferment if the person involved gets:

  • Income Support
  • Pension Credit
  • Employment and Support Allowance (income-related)
  • Jobseeker’s Allowance (income-based)
  • Universal Credit
  • Carer’s Allowance
  • Incapacity Benefit
  • Severe Disablement Allowance
  • Widow’s Pension
  • Widowed Parent’s Allowance
  • Unemployability Supplement

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Additionally, state pensions cannot be built up if the person’s partner is getting income support, pension credit, Universal Credit, employment and support allowance or jobseeker’s allowance.

To claim a deferred state pension, a person will need to apply online if they’ve deferred for less than a year.

They’ll also be able to apply over the phone or by completing a specific claim form.

If a person has deferred for more than a year, they’ll need to call the Pension Service to claim.

State pensions are usually paid once every four weeks into an account of the claimants choosing.

They’ll be paid in arrears, covering the previous four weeks and not the coming four weeks.

The specific day a state pension will be paid will depend on a person’s National Insurance number.

The final two digits of a National Insurance number will determine this as detailed below:

  • 00 to 19 – Monday
  • 20 to 39 – Tuesday
  • 40 to 59 – Wednesday
  • 60 to 79 – Thursday
  • 80 to 99 – Friday

Ahead of reaching their state pension age, people will be able to get a payment forecast through the Government’s website.

The Government has a forecasting tool which will allow users to find out how much state pension they could get, when they can claim it and how to increase it if they can.

State pensions can only be claimed from a specific age, which is currently 66 for most people.

This retirement age will be rising to 67 between 2026 and 2028 and beyond this, it will reach 68 by 2046.

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