Workers are being issued a crucial “act now” alert to avoid a ‘significant financial loss’ by checking their state pension contributions and topping up any missing payments before an impending deadline, according to a warning for anyone aged between 60 and 70.
Those who haven’t kept up with their contributions have until April 5, 2025, the end of the current tax year, to address any gaps. Various reasons could lead to workers falling behind, including career breaks for parenting or periods of ill health.
Failing to make sufficient National Insurance Contributions (NICs) over one’s working life can result in not qualifying for the full state pension when you retire.
However, the UK Government is currently offering the opportunity to rectify any shortfalls. With less than a year remaining until the deadline, pension specialists at Spencer Churchill Claims Advice are urging Brits, particularly those aged between 60 and 70, to take immediate action to secure the full benefits of the State Pension.
A spokesperson from the firm emphasised the urgency: “As the deadline gets closer for this unique chance to backdate National Insurance contributions, it’s important for Brits, especially those aged between 60 and 70, to grasp how it affects their State Pension. The chance to correct up to 17 years of missed contributions can greatly improve one’s retirement finances,” reports Wales Online.
“With the full new state pension now at £11,502 a year, not fixing gaps in your National Insurance record could lead to a significant financial loss throughout retirement. Many are unaware of the direct link between NI contributions and State Pension entitlement. Ignoring it could prove expensive. Every Brit close to retirement should consider reviewing their National Insurance record and using the Government’s extension to backdate contributions to April 2006.”
“The rise in the New State Pension to £221.20 per week marks a meaningful increase, highlighting the importance for individuals to make sure they have the needed 35 years of NI contributions. This is a call for all Brits to check their State Pension forecast and act before the April 5, 2025, deadline.”
“Retirement planning is about looking ahead and being ready. This concession by the government is a helpful option for those who may have missed National Insurance contributions for various reasons over the years. We encourage everyone to not only verify their eligibility but also view this as a key part of their overall financial planning strategy for retirement.”
