New State Pension 2022: everything you need to know

What is the new State Pension? How much is it? What could I receive? Am I eligible? If you were born on or after a certain date, you could be eligible for the new State Pension. Indeed, then, you could receive payments every 4 weeks. Additionally, you can apply for this pension online, unlike the basic scheme. This Your Benefits article will tell you all you need to know about the new State Pension.

New State Pension: am I eligible?

Whether you are eligible for New State Pension or not depends on your birth date. Indeed, if the following apply to you, you may be eligible:

• Women: born on 6 April 1951 or later;
• Men: born on 6 April 1953 or later.

Then, if this applies to you, you may receive the new scheme right when you reach State Pension age. However, you may have reached this age prior to 6 April 2016. In this case, you will be eligible for the basic scheme.

Once you reach State Pension age, you do not have to pay National Insurance contributions anymore. However, you may continue to work if you wish. 

Depending on your date of birth, you would either be eligible for the new or basic scheme. Indeed, you can find what scheme you are eligible for from this table:

How many qualifying years do I need for new State Pension?

Your National Insurance record is a big factor in your eligibility for State Pension. To receive new State Pension, you will typically need to have 10 years of National Insurance contributions. More specifically, one of the following needs to have been true. During those 10 years, you:

• Made voluntary National Insurance contributions;
• Received National Insurance credits (this could have been the case if you did not work because of an illness or taking care of someone);
• Worked and made National Insurance contributions.

You make National Insurance contributions when working. Furthermore, when paying contributions, you accumulate a qualifying year if the following applies, you:

• Make National Insurance contributions while being self-employed;
• Are considered an ‘employee‘ and one employer pays you more than £190 weekly.

You could have earned less than £190 weekly. However, you may have earned between £123 and £190 weekly. Then, the year that you worked for this salary (while not paying National Insurance contributions) may still count as a qualifying year.

Can I get qualifying years while not working?

If you were unable to work, you may have received National Insurance credit. It could have been because you were caring for someone or disabled, for example. In fact, you may have received National Insurance credits for the following, you:

• Received Carer’s Allowance;
• Were paid Employment and Support Allowance (ESA) or Jobseeker’s Allowance (JSA);
• Received Child Benefit for a child either 16 years old prior to 2010, or younger than 12 years old.

If this is the case, you still accumulated qualifying years while receiving National Insurance credits. However, if you did not accumulate credits while not working, you will likely need to make voluntary National Insurance contributions. Indeed, then, you would be able to increase the amount of State Pension you receive. 

What if I have gaps in my National Insurance record?

You may have some holes in your National Insurance contributions record. However, you could still be able to receive the complete amount of the new scheme. If you are unsure, you can check if your record has any holes by claiming a National Insurance statement through Her Majesty’s Revenue and Customs (HMRC).

Then, you may find out that you have holes in your record. In this case, you could receive National Insurance credits to remedy this. If it is not an option for you, you could pay voluntary National Insurance contributions.

How much is the new State Pension?

If you receive the full new scheme rate, you will get £185.15 weekly. Indeed, how much you receive is heavily dependent on your National Insurance contributions record. However, it could be possible that you earn more than that amount. This could be the case if you:

• Chose to defer your Pension payments;
• Receive Additional State Pension.

You may have a workplace or personal pension. However, even if that is the case, you may still receive a State Pension. Additionally, you may have to pay tax on your payments. 

How is the new State Pension paid?

Once you applied for State Pension, if you are eligible, you will receive a letter detailing how this will be paid. Indeed, typically, you will receive payments in your account monthly (every 4 weeks), in arrears.

In fact, you will typically receive your very first payment no more than 5 weeks following you being State Pension age. Then, you will receive payments every 4 weeks following this. If your situation differs from this (for receiving your first payment), everything will be explained by the letter.

When you receive payments depends on the last digits of your National Insurance number. Indeed, for the following last digits of a National Insurance number, you will be paid on the following days:

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

What if I am separated from my partner?

You could have either dissolved your civil partnership or divorced your partner. Then, a ‘pension sharing order’ can be ordered by the court. Then, you could receive an extra payment. Indeed, this is if your ex-partner is ordered to pay you some of their protected payment or Additional State Pension.

However, it could be the case that you are ordered to share your protected payment or Additional State Pension with your ex-partner. If this is the case, the amount of pension that you receive will be lowered.

Even if this is your situation, you could be eligible for more benefits, and not even be aware of it. In this case, Your Benefits can help. Indeed, we provide a free simulator that can show you exactly how much money you are entitled to. You may be missing out on a number of benefits. And again, this tool is completely free!

How can I claim new State Pension?

You need to submit a claim to get the new scheme. Indeed, you will not receive it as soon as you become eligible. In fact, you should receive a letter no more than 2 months before turning State Pension age. On it should be instructions on what to do to apply.

You may not have gotten a letter. However, you can apply online once you are 4 months from being State Pension age. Indeed, claiming this pension online on the Gov.UK website is the quickest and most efficient method of applying.

However, you may claim by post. Then, you can call the Pension Service to ask them to send a State Pension claim form to your address. To do so, you may call them on 0800 731 7898. Then, once your form is filled in, send it to the following address:

Pension Service 8
Post Handling Site B
Wolverhampton
WV98 1AF

Can my partner allow me to inherit or increase my State Pension?

You may be able to receive more new State Pension. Indeed, this is likely the case if you are widowed. However, you may have formed a new marriage or civil partnership prior to reaching State Pension age. Then, this will not apply to you.

You may have a deceased partner. Furthermore, they may have earned Additional State Pension. Then, you may be able to inherit it. Then, it will be added to your Pension. Indeed, your civil partnership or marriage with them must have started prior to 6 April 2016. Additionally, one of the following two conditions must be true:

• Your partner died prior to 6 April 2016, however, they would have been State Pension age on or following that date;
• Your partner was State Pension age prior to 6 April 2016.

You may be able to inherit the protected payment that your partner was entitled to. Then, your civil partnership or marriage with them must have started prior to 6 April 2016. Additionally, they must have:

• Theoretically reached State Pension age on or following 6 April 2016;
• Died on 6 April 2016 or later.

You may be able to inherit an extra State Pension or lump sum from your deceased partner. Indeed, this may be the case if the following is true:

• You formed a civil partnership or marriage at the time of their death;
• They were State pension age prior to 6 April 2016;
• They either deferred their State Pension or claimed it after having deferred it.