The State Pension entitlement is based on the number of years you’ve paid National Insurance or have received National Insurance credits.
What’s in this guide
What are National Insurance credits?
National Insurance credits are a way of maintaining your National Insurance record when you’re not making National Insurance contributions. They help you to build up ‘qualifying years’, which count towards your overall entitlement.
Did you know?
One year of National Insurance contributions can easily turn into £5,000 or more in State Pension over the course of a typical retirement. So it’s important to claim any National Insurance credits you might be entitled to, to avoid missing out on State Pension income that you’re entitled to.
You are entitled to National Insurance credits if you:
- are, or have been, claiming benefits due to ill health or unemployment
- are, or have been, on maternity, paternity or adoption pay
- are, or have been, looking after a child under 12
- are, or have been, on an approved training course
- are married to or are a civil partner of a member of the armed forces and you went with your partner on an overseas posting
- are, or have been, on jury service
- have served a prison sentence for a conviction which was later quashed.
Claims for some credits can be backdated for many years, so it’s always worth checking to see if you qualify.
Find out more about National Insurance credits on the GOV.UK website
LCP have also created a guide to help people understand what they can get. It outlines credits that are available and how people end up missing out.
Find out more about making the most of the National Insurance credits that can protect your State Pension on the LCP website
Need more information on pensions?
Call us free on 0800 011 3797 or use our webchatOpens in a new window. One of our pension specialists will be happy to answer your questions.
Our help is impartial and free to use, whether that’s online or over the phone.
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