Ordinarily, you can only top up missing years in your National Insurance (NI) record for the previous six tax years. However, a window currently exists for filling gaps back to April 2006. The deadline for using this extended window is 5th April 2025. After this date you will only being able to backfill up to the previous six tax years, in line with normal time limits.
If you are approaching retirement or reviewing your forecasts for this, ensuring you receive as much State Pension as possible can be a significant contributor to your secure retirement income. Many people have gaps in their NI record for a variety of reasons and in most cases will benefit from filling missing gaps where earnings will not fill them before retirement.
Why does the number of National Insurance years matter?
Your State Pension is based on your NI record, with 35 qualifying years required for the full New State Pension. If you have fewer than 35 years of contributions, your pension will be reduced accordingly.
Topping up missing years can be a cost-effective way to increase your pension, especially when compared to alternative savings options.
You can even top up your entitlement after reaching state pension age although any increase will only apply from when the additional payments are made and onwards.
Easy way to check pension forecast and topping up
1) Check your state pension forecast
The quickest way to check your state pension forecast is online on the Gov.uk website. This will tell you how much state pension you are on track to receive and highlight any shortfalls in your NI record.
If you need to speak to someone you can phone:
- The Future Pension Centre on 0800 731 0175 if you are not yet at State Pension Age.
- The Pension Service on 0800 731 0469 if you are already at State Pension Age.
2) Make a payment before the deadline
If advised to make voluntary contributions, you can do so via Class 3 National Insurance contributions. Payments can be made directly to HMRC, but processing can take time, so it’s advisable not to leave it until the last minute.
Requesting a call back to discuss your pension
It has been reported that the phone lines are particularly busy, so the Department for Work and Pensions (DWP) has launched a call-back request form. This can be found here.
As long as this is submitted before the deadline, even if you receive the call-back after the 5th April, you will still be able to top up the missing years. If you make a call-back request to beat the current deadline, the Government advises saving a screenshot of the confirmation message.
Final steps to take
Once you have established that you wish to buy additional NI years you can pay the voluntary contributions in one of two ways:
- Online: via the ‘Check your State Pension forecast’ page you can chose which and how many years to fill. You can then pay for these missing years securely online without having to phone.
- Over the phone: Depending on your age you can call either The Future Pension Centre of The Pension Service and be guided by the team there.
It is important to note that not everyone will benefit from plugging gaps in their NI record. This is especially the case where you still have several years until retirement and may get NI credits from other routes until then.
That said, with the 5 April deadline approaching, now is the time to review your NI record and make up any shortfalls if advisable. A small investment now could mean thousands more in retirement income over time.
Any questions?
For more information, visit the Government website, speak to The Future Pension Centre or The Pension Service, or speak to your EQ planner to discuss your options.
Please remember, this content is provided for information purposes only. Investment involves risk. Past performance is not a guarantee or indication of future results. Investment return and the principal value of an investment may go up or down and may result in the loss of the amount originally invested. All investors should seek professional advice prior to any investment decision, to determine the risks associated with the investment and its suitability.
