Pension top-ups ‘window’ opening soon
The government has issued a reminder that for a limited period starting in October, certain people will be able to make extra national insurance contributions to top up their state pension.
Between 12 October 2015 and 5 April 2017, men born before 6 April 1951 and women born before 6 April 1953 will be able to make Class 3A voluntary contributions to boost their pension by between £1 and £25 a week.
The government has created a calculator so that someone can work out how much they will need to contribute as a lump sum, based on how much extra pension they would like to receive and their age when they make the contributions.
For example, the contribution required for an extra £1 pension per week for a person aged 65 is £890.
This means that for £4,450, they could receive an additional £5 a week, or £260 per year for life, increased in line with prices and inheritable on death in the same way as existing additional state pension, with a minimum of 50 per cent for their spouse or civil partner.