RetireJapan

Roger Van Zant wrote: ↑Tue Apr 23, 2024 6:34 am Of that 183k per month, how much do you reckon to be getting net after taxes?

RetireJapan wrote: ↑Fri Apr 26, 2024 5:38 am Looks like UK state pension is not taxed in the UK for non-residents.

So Japanese income taxes. I'm guessing it would qualify for the nenkin deduction.

The Japan UK Tax Treaty - Article 17 Refers.
https://www.mof.go.jp/tax_policy/summar ... dom_EN.pdf

Article 17
Subject to the provisions of paragraph 2 of Article 18 of this Convention, pensions and other similar remuneration beneficially owned by a resident of a Contracting State shall be taxable only in that Contracting State.

So if you are resident in Japan, you will only be taxed in Japan.

Article 18 refers to Government Pensions for (ex-)Government Employees.

The UK State Pension (combined with the Japanese National Pension) qualifies for the Public Pension Deduction.

See Page 8 (page 12 of the PDF) for details -
Calculating the Public Pension Plan Deduction (Calculation Table):
https://www.tax.metro.tokyo.lg.jp/book/ ... k2024e.pdf

adamu wrote: ↑Mon Oct 21, 2024 2:31 pm

Moneymatters wrote: ↑Mon Oct 21, 2024 11:01 am Is that correct?

The neverending conundrum.

Here's an interesting quote:

https://www.gov.uk/voluntary-national-insurance-contributions/who-can-pay-voluntary-contributions wrote: To pay Class 2 voluntary contributions [...] the following must also apply:

• [...]
• you’re currently working abroad (or you worked while you were abroad)

That seems to imply that once on Class 2, you can stay on it. Probably better not to ask too many questions...

Cheers. And yes. I’m not about to phone them.
I’ll drop it (like it’s hot) now.

But to me that tense implies you are back in the UK looking to make a back payment, filling a gap in contributions.
I keep thinking this is all set up for jobbing builders. So if they were spending winter holidaying in Benidorm* maybe they don’t want it to be that easy for them to top up their Class 2 on their return.

* Another crass and lazy generalization on my part. It could just have easily been Magaluf..

Moneymatters wrote: ↑Mon Oct 21, 2024 9:37 pm But to me that tense implies you are back in the UK looking to make a back payment, filling a gap in contributions.

It's ambiguous, but I think you're right. Here's the law (emphasis mine):

https://www.legislation.gov.uk/uksi/2001/1004/regulation/147 wrote: (a)in respect of any contribution week throughout which he is gainfully employed outside the United Kingdom in employment which is not employment in respect of earnings from which Class 1 contributions are payable, he may, if immediately before he last left Great Britain or Northern Ireland (as the case may be), he was ordinarily an employed earner or a self-employed earner, pay a contribution as a self-employed earner;

(b)in respect of any year which includes a period during which he is outside the United Kingdom he may pay Class 3 contributions.

Very interesting that it doesn't specifically say Class 2, even though it does specifically say Class 1 and Class 3, it says "pay a contribution as a self-employed earner".

Also interesting that is says last left the UK. What does "last left" mean? Nothing in the guidance mentions that - could even be interpreted to include holidays!

148b (about Class 2) says:

https://www.legislation.gov.uk/uksi/2001/1004/regulation/148 wrote:that the payment is made only to the extent to which it could have been made if the contributor had been present in Great Britain or Northern Ireland (as the case may by) and otherwise entitled to make it.

I am not a lawyer, etc...

When you submit your employment history in defense of your claim, they will grant permission to pay Class 2 contributions for years when you say you were employed, and revert to Class 3 contributions for years when you say you were unemployed, retired, etc..

When you submit your employment history in defense of your claim, they will grant permission to pay Class 2 contributions for years when you say you were employed, and revert to Class 3 contributions for years when you say you were unemployed, retired, etc..

You can pay by Bank Transfer. In the Comments you have to put your National Insurance number followed by ‘IC’, your surname then your initial, but you can also put the years to which the payment should be applied.

https://www.gov.uk/pay-class-2-national ... k-transfer

https://www.gov.uk/government/publicati ... ons-abroad

Tkydon wrote: ↑Tue Oct 22, 2024 4:30 am When you submit your employment history in defense of your claim, they will grant permission to pay Class 2 contributions for years when you say you were employed, and revert to Class 3 contributions for years when you say you were unemployed, retired, etc..

Yes, but this is about if you are already signed up to pay Class 2, but later have some periods of unemployment.

adamu wrote: ↑Tue Oct 22, 2024 4:58 am

Tkydon wrote: ↑Tue Oct 22, 2024 4:30 am When you submit your employment history in defense of your claim, they will grant permission to pay Class 2 contributions for years when you say you were employed, and revert to Class 3 contributions for years when you say you were unemployed, retired, etc..

Yes, but this is about if you are already signed up to pay Class 2, but later have some periods of unemployment.

If you tell them..., they will switch those periods from Class 2 to Class 3...

Tkydon wrote: ↑Tue Oct 22, 2024 5:18 am If you tell them..., they will switch those periods from Class 2 to Class 3...

How do you know that? And should you tell them?

Definitely sounds like a case of less said the better. Wonder if a couple of hours work a month still qualifies as self-employed? Don't see why not.

Payment Schedule for Voluntary Class 3 NI Contributions

I applied to pay voluntary NICs a few months ago - thank you for all the brilliant information on the RJ Forum! I phoned to confirm my application had arrived and I am now waiting to hear from HMRC. I'm wondering how long I will have between receiving a letter from HMRC and having to pay 17 years of voluntary Class 3 NICs (2006-2007 tax year until now).
Does anyone know what the payment schedule for 17 years of Class 3 contributions is likely to be?