I wonder if anyone knows about the new pension rules coming in, im not telling you about them, but really need some answers. Our illustrious leader, has announced that a new pension is on its way of £140 a week which is great, but i dont know whether S.E.R.P.S is included or not, for example, i paid into this extra pot, and to me its worth an extra £50 a week, so if Dave` increases the pension ( from its present one ) across the board everyone gets a straight £140, i will in fact be worse off ( along with millions of others, however, if he gives me £140 + my s.e.r.p.s. it will be a great pension rise, so my question is: Will S.E.R.P.S. ( state earnings related pension scheme, for those who dont know ) be included, or given as an extra ?
From what I understand, those who haven’t paid in fully, in the past, and only recieve the basic rate and rely on other benefits to make up the state pension, will now receive the same rate pension ( new basic rate) as everyone else without having to claim the top up benefits, enhanced pensions (such as SERPS) are not affected- so in theory you should get the basic full rate £144 + your SERPS, however that is only my understanding from the BBC website and am willing to be proved wrong - suggest giving age concerns helpline a ring as they probably understand it far better than you or I
Edit: it appears I am mistaken
telegraph.co.uk/finance/pers … ained.html
people who have already retired when the new system is introduced will not qualify; they will keep their existing entitlements,
Am rather hoping that you can get Serps as well but i was led to believe it will not happen My pension starts in may 2017. so just got a forecast from d w p newcastle… and if i dont get my Serps part i will also be about £50 down…
So it looks like we have worked all our life to get the same money has someone who has sat at home doing nothing.
those retiring from 2017 will be entitled to a state pension of £144 providing they have completed the minimum working years of 35
Those with less than 35 years will get a pro rata amount so someone with 30 years of work will get 30/35ths of £144 which will be about £122
Assuming the current benefit system is still in place then for those who are on a low income it will make no difference as to what the state pension is because the means testing system will just top up with other benefits
It will affect those who are above the means tested benefit system if they do not have 35 years of work in
For anyone retired who rents and has no savings then a small private pension is pointless (for the individual) because it just reduces any means tested benefit £ for £ and can often knock out free dental entitlement
Always seek an independent financial adviser before making any decisions
this isn’t something I have given any thought to, but now you have got me thinking ■■? I am 56 next month and for the past 3 yrs I have been collecting a pension from a previous employer (22yrs worth). assuming I have ,by the time I am 65 worked for the required 35 yrs I assume I will get £144 state pension too. ■■? 
some weeks I don’t earn that much ,old(er) age could be something to look forward to.
syramax:
this isn’t something I have given any thought to, but now you have got me thinking ■■? I am 56 next month and for the past 3 yrs I have been collecting a pension from a previous employer (22yrs worth). assuming I have ,by the time I am 65 worked for the required 35 yrs I assume I will get £144 state pension too. ■■?
For you and me state retirement age will be age 66 not age 65 and we will be on the 35 hours = £144 state pension scheme
Private pensions have no bearing on what state pension you get
State pension is below the current tax threshold so although it counts towards an individuals tax earnings for the year it will not get reduced by tax - private pensions will also count as taxable income so the more private pension you get will mean the more tax you pay on it
but what about the SERPS part of it ROG…
Hi ROG,
I looked this up on the NI website the other day and I’m sure they have reduced the term of your contributions to 30 years?
global.
global:
Hi ROG,
I looked this up on the NI website the other day and I’m sure they have reduced the term of your contributions to 30 years?
global.
You currently have to have paid contributions for 30 years to qualify for full state pension, this will rise to 35 years when the new single tier pension comes into force in 2017.
NI was 30 years but going back up to 35 years from 2016…
ROG:
syramax:
this isn’t something I have given any thought to, but now you have got me thinking ■■? I am 56 next month and for the past 3 yrs I have been collecting a pension from a previous employer (22yrs worth). assuming I have ,by the time I am 65 worked for the required 35 yrs I assume I will get £144 state pension too. ■■?For you and me state retirement age will be age 66 not age 65 and we will be on the 35 hours = £144 state pension scheme
Private pensions have no bearing on what state pension you get
State pension is below the current tax threshold so although it counts towards an individuals tax earnings for the year it will not get reduced by tax - private pensions will also count as taxable income so the more private pension you get will mean the more tax you pay on it
oh what a pleasant thought 
I believe the start date for the new scheme has now been moved back a year to April 2016. In basic terms, if you reach state pension age before then and you’ve paid NI for 30 years, you’ll get the old pension, currently £110.15 a week plus your SSP(serps) and if you started work early enough, plus the old graduated pension that serps replaced. If you retire after that date you’ll have to have paid NI for 35 years and you’ll get the new pension (equivalent to £144.00 a week today, but bear in mind under present rules it increases every year by the rate of inflation), but no SSP (serps) or GP. If you’ve paid NI for less than 35 years you’ll get a reduced rate. I reached 65 in February this year and given the total amount I draw under the old scheme, I’ll just about break even against what I’d have got under the new system. Whether you’ll be better or worse off under the new scheme depends on how much additional pension you would have been due under the old scheme, if you see what I mean. The basic answer to the original question is, if you fall into the new scheme, you’ll get the higher pension, but no serps, you don’t get both I’m afraid! I think I’m correct in all this and hope it helps!
Bernard (OAP 
)
ROG:
those retiring from 2017 will be entitled to a state pension of £144 providing they have completed the minimum working years of 35
or 35 years on the rock n roll, as when they sign on they get their stamp
stinks don’t it 
green456:
ROG:
those retiring from 2017 will be entitled to a state pension of £144 providing they have completed the minimum working years of 35or 35 years on the rock n roll, as when they sign on they get their stamp
stinks don’t it
bottom line - it would make no difference because they would be entitled to a means tested minimum to live on - state pension would not take them above that minimum
Unless a person has massive savings or a huge private pension as well as having their own home paid off in full then they will be under the means tested rules
If those that refuse to work etc are to be penalised then the minimum living rules must be abolished in retirement so if you do not work to get a state pension or a private one and have no savings then you get nowt and starve in retirement … not going to happen to the elderly in a civil society
Just to throw my two pennies in, ive just moved to Canada recently and have arranged to continue paying NI contributions so ill still get my pension on retirement, i`m 41 years old and have paid in for 21 years and have been informed i only have to pay for another 9 years - not sure if this helps but more info the better i reckon 
mac12:
So it looks like we have worked all our life to get the same money has someone who has sat at home doing nothing.
And this is a surprise ■■?
Two things:
Although you ‘only’ have to pay NI for 35 years to qualify, you can’t opt out after that unless you leave the country.
As far as I know, the current deal where you can carry on working, defer your state pension, and then get an enhanced one, is going to continue. Anyone with a modest private pension should do this if they can. Once you reach retirement age you stop paying NI, so get an automatic 11% pay rise. This, together with the private pension should allow you a good margin over your living expenses. I now get a state pension of £200 a week. (not tax free though because I have a private pension as well)
russjp:
Just to throw my two pennies in, ive just moved to Canada recently and have arranged to continue paying NI contributions so ill still get my pension on retirement, i`m 41 years old and have paid in for 21 years and have been informed i only have to pay for another 9 years - not sure if this helps but more info the better i reckon
Had a forecast off DWP a month ago saying only needed 30years …Now it seems from 2016 you will need 35years … I have already got 40+ so it seems i am alright “or old”…
Nothing changes for those getting state pension before 2017 - they stay on the same system after 2017
The 35 year system is only for those starting to get state pension from 2017
That’s what I have read about it so far on the gov sites