UK Pension summary - National Insurance Credits?

[Seasider4374]

So, the good news is that after a year-long application process I was accepted as being eligible for class 2 payments in March this year, and the bank transfer I made in March against amounts listed as owed has finally been credited this week to my back-payable years!

However, whilst finally being able to see "Full Year" against so many years on my State Pension Summary on closer inspection there are three years where a number of "National Insurance Credits" are listed. Credits, not contributions, but credits...

State Pension Summary .

Seemingly these are applied if one is ill/disabled/unemployed/a full-time carer/on jury service. None of which I have ever been. I certainly never claimed any benefits, but perhaps my (then) employer did so on my behalf?

A brief timeline;
Joined my final UK employer Dec 2011 (circa £30-35k)
Wife quit work and started receiving maternity pay Dec 2012
Son born Mar 2013
Quit work Apr 2014
Moved back to Japan May 2014

So looking through my summary I'm confused as to why 2012/2013 has 4 weeks' of NI credits listed, 2013/2014 52 weeks', and 2014/2015 7 weeks'.

As this timeline seems to match perfectly the time since my son's birth and him living in the UK are/were NI Credits a child assistance thing (similiar to the 10,000yen a month, paid every four months, I receive in Japan as his guardian?)

Or did my employer set me up as "carer" to the MD whose health was going off, and the company going down the pan, without my knowledge? I know it sounds crazy to even write this but the stories I could tell of that place... Hence (amongst other reasons) we decided to quit the UK and return to Japan in 2014...

Basically after 18months of getting my UK pension "sorted" I don't want to reach pension age and to be told "you wrongly received NI credits and so won't receive a pension" 17years from now...

[Max]

Sorry that you haven't had any responses to this, but I am completely unqualified to advise you. Like you, I'm also concerned about the possibility of making back payments, only to be told later that I don't qualify for a pension. Money down the lavvy.

[Wales4rugbyWC23]

Going off on slight tangent, and assuming your wife is Japanese. Is she also going to apply for a UK state pension? I have heard of people on this forum who have been able to get their Japanese spouses on the UK state pension while residing in the UK.

[Seasider4374]

Going off on slight tangent, and assuming your wife is Japanese.

Yes, she is Japanese

Is she also going to apply for a UK state pension?

No, she won't have had enough qualifying years.


Though perhaps I should have added to my timeline in the original post;
Divorced 2020... (I am legal guardian of my son, though we split the care equally, and amicably, between us, here in Japan)

[Seasider4374]

Like you, I'm also concerned about the possibility of making back payments, only to be told later that I don't qualify for a pension. Money down the lavvy.

I'm not sure I agree about money down the lavvy. In my position having been accepted to pay class 2 NIC's I reckon I need to pay between £5-8k (assuming for inflationary rises) in total over the next 17 years to receive a minimum of £17.5k per year, every year, until I pass (triple lock at 2.5%).

The three years' I mention concern me, but surely I won't be removed from any pension in my old age? On the CF83 form to apply for Class 2 NIC's I listed my marital status as divorved.

[Beaglehound]

No idea what's going on with the three years you mention, I agree it seems very odd. However, in your shoes I would not be especially worried about it. Worst that could happen IMO is they decide these years aren't in the end qualifying ones (which you could dispute). Can't see how it would affect any other years. Also can't realistically see HMRC ever noticing, or caring much if they did.

[TokyoSurvivor]

Going off on slight tangent, and assuming your wife is Japanese. Is she also going to apply for a UK state pension? I have heard of people on this forum who have been able to get their Japanese spouses on the UK state pension while residing in the UK.

I was just looking into this and wondering how/if people here from the UK with a Japanese spouse are doing this?

I checked ChatGPT to get an idea, and if my wife wanted to pay the full 35 years (Class 3) it would cost the following:
35 years×907.40 GBP per year=£31,759

If accurate, it's an amazing investment. She would then get the full UK State Pension, which is currently £203.85 per week (about £10,600 per year).

Would love to hear others opinions on this. Does this sound accurate? Any Japanese tax implications for example?

[beanhead]

I checked ChatGPT to get an idea, and if my wife wanted to pay the full 35 years (Class 3) it would cost the following:
35 years×907.40 GBP per year=£31,759

But paying in 35 years would mean she has no qualifying years so far. In that case, she is not eligible.
Eligibility criteria have been covered here a few times and also on the retire japan wiki.

Minimum of 3 years of previous payments or credits are required, if I remember correctly.

[TokyoSurvivor]

I checked ChatGPT to get an idea, and if my wife wanted to pay the full 35 years (Class 3) it would cost the following:
35 years×907.40 GBP per year=£31,759

But paying in 35 years would mean she has no qualifying years so far. In that case, she is not eligible.
Eligibility criteria have been covered here a few times and also on the retire japan wiki.

Minimum of 3 years of previous payments or credits are required, if I remember correctly.

Ah OK. I had thought under current rules, to qualify for a UK State Pension, an individual would need at least 10 qualifying years of National Insurance contributions. However, to purchase voluntary National Insurance credits for my wife would not need a minimum of 3 years of previous contributions.

I am likely wrong though. Will look into it further.

[Wales4rugbyWC23]

Going off on slight tangent, and assuming your wife is Japanese. Is she also going to apply for a UK state pension? I have heard of people on this forum who have been able to get their Japanese spouses on the UK state pension while residing in the UK.

I was just looking into this and wondering how/if people here from the UK with a Japanese spouse are doing this?

I checked ChatGPT to get an idea, and if my wife wanted to pay the full 35 years (Class 3) it would cost the following:
35 years×907.40 GBP per year=£31,759

If accurate, it's an amazing investment. She would then get the full UK State Pension, which is currently £203.85 per week (about £10,600 per year).

Would love to hear others opinions on this. Does this sound accurate? Any Japanese tax implications for example?

I think a non-British spouse who wants to pay voluntary National insurance contributions from outside the UK would have to have resided in the UK for a few years.