State Pension provides regular payments and unlocks various other benefits for most older people from a certain age. However, not everyone qualifies for the full State Pension and you must meet certain conditions to get any amount at all during your retirement.
First, you have to reached your State Pension age, which is depends on when you were born. The earliest you can get State Pension payments from Department for Work and Pensions (DWP) is currently at 66 for both male and females.
But for those born after April 5, 1960, the State Pension age will be gradually increased to 67 and then, eventually, to 68. The timeframe for this phased increase is currently being reviewed and may be brought forward depending on the findings of the report, reported Leicestershire Live.
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Secondly, the amount of State Pension that you get depends on how many 'qualifying' years on your National Insurance record you have. For anyone reaching State Pension age after April 6, 2016, you'll need a minimum of 10 years of contributions to get any payment and at least 35 years to get the full New State Pension amount.
In between it is a sliding scale, where the more qualifying years you have, the more money you get. National Insurance contributions include both those that you pay when you are working and those that are credited to you when you are unable to work - and these qualifying years don't have to be consecutive.
As for how much you get, the full State Pension amount is £185.15 a week - but this is set to increase by 10.1% in April. The State Pension is increased at the start of each tax year (April 6).
It's usually raised in line with the highest figure out of: the average increase in prices (measured by the Consumer Price Index for the previous September), the average increase in wages (measured in July the previous year) or 2.5% - this known as the 'triple lock'. In 2023-24, it is increasing in line with inflation, which was at 10.1% in September last year.
State Pension amount from minimum contributions
You need have paid or be been credited with 35 years of contributions to get the full new State Pension amount (currently £185.15 a week). If you have at least 10 years but less than 35, the weekly amount you get is calculated based on each year of contributions you do have.
Money Helper has explained how it works and what you will get. Essentially, each year of contributions gets you 1/35th of the full amount - for example:
- 35 years gives 35/35 x £185.15 = £185.15 a week
- 30 years gives 30/35 x £185.15 = £158.70 a week
- 10 years gives 10/35 x £185.15 = £52.90 a week
You will need more than 35 years if you were contracted out of the Additional State Pension. You can see how much State Pension you are due to receive when you reach SPA and how to increase the amount, by heading to the Government's official pensions portal.
And it's important to remember that the State Pension is different from Pension Credit, which is a means-tested state benefit. Pension Credit tops your income up to £182.60 a week for a single person or £278.70 for a couple (2022/23 rates) if it is below these amounts.
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