Brits have just hours left to claim £200-a-week boost | Personal Finance | Finance

Workers nationwide are rapidly running out of time to significantly increase their state pension.

Today (April 5) marks the final day for individuals to top-up their National Insurance record from 2006, which could potentially enhance the State Pension they receive upon retirement. Generally, Britons require a minimum of 35 years on their National Insurance record to qualify for the full new State Pension, which can pay up to £221.20 weekly.

Voluntary contributions are typically only permitted for the past six tax years, and after this year’s April 5 deadline, the standard six-tax year limit will be enforced. In 2023, the government extended the deadline for voluntary NI contributions to April 5, 2025, for those impacted by new State Pension transitional arrangements, covering tax years from April 6, 2006, to April 5, 2018.

This extended deadline has provided people with additional time to evaluate their options and make their contributions. Men born post-April 6, 1951, and women born after April 6, 1953, are eligible to make voluntary NI contributions to boost their New State Pension.

Certain savers may qualify for National Insurance credits instead of paying for contributions, and HM Revenue and Customs has urged them to verify their entitlements. HMRC‘s comprehensive review of online service usage disclosed that over half – precisely 51% – of users opted to top-up a single year of their NI record.

There are two key steps you can take to ensure you’re not missing out on any State Pension benefits you may be entitled to.

Confirm your National Insurance record

By visiting GOV.UK, you can identify any missing years – check your record here.

Review your State Pension forecast

You can ascertain exactly what you’re entitled to in terms of your State Pension by using the ‘Check your State Pension forecast’ tool on the GOV.UK website – find out here. This will also provide information about your State Pension age, which is when you can retire and start receiving pension payments.

If both of these checks indicate that you’re on track for the full, New State Pension, then no further action is required. However, if there are any gaps, you now have the opportunity to investigate whether you can enhance your pension at no extra cost.

There are three main methods to boost your State Pension without incurring any charges:

• Carer’s Credit – this is a free NI credit for those aged 16 to State Pension age who provide unpaid care
• Child Benefit – check for missing NI credit
• Grandparents providing childcare – if a family member looked after a child under-12 at any time since 2011, before they were State Pension age (even if they are now) as parents/guardians were working, then the parent can apply to transfer their child care credit to the family member

Make up for missing NI years

For those with the financial means, gaps in your National Insurance record can be filled by making voluntary class 3 NI contributions. Acquiring an additional full year costs roughly £825 or less, and even partial years can be more affordable, starting from just £16.

Each purchased year equates to 1/35th of a year’s State Pension – approximately £329. This implies that you could recoup your investment in about three years, potentially offering excellent value.

However, it’s vital to confirm whether purchasing these credits is advantageous for you, so always liaise with the DWP before proceeding.

Get advice before deciding

Before deciding, it’s advisable to seek guidance as determining whether to top up can be intricate. It’s not beneficial to pay for more years than necessary as you won’t receive that money back.

The most recommended course of action is to reach out to the UK Government’s Future Pension Centre on 0800 731 0175 to verify how many years you can buy and if voluntary contributions will boost your State Pension. Those who have already reached retirement age should contact the Pension Service on 0800 731 0469.