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  • Addition NI payments

    What have I missed or misunderstood?

    Why would anyone make up NI payments for up to ten years missed out at a cost of £780 a year to increase the state pension by £250 a year?

    thanks

    Posted by Patricia
    • Reply by Patricia

      I guess I am over-suspicious about how things are calculated. My foreign husband paid NI for about 20 years before he died and it added just £11 to my pension.

    • Reply by mel

      Buying extra years won’t be right for everyone – it’ll usually only be worth it if you think you’re going to live long enough to make it worthwhile and you can afford to pay for the extra years. If you buy one extra year, it’ll take around three years to get back what you paid for it. As Brian says, it depends entirely on everyone’s own situation as to whether it makes sense.

    • Reply by Brian Johnson

      You are investing the money to get a return for life which would be expected to keep increasing to hold its value over time..  It depends on your own financial situation whether it makes sense.