To receive the highest possible state pension in the UK an individual must have accumulated a minimum of 35 years of qualifying NI contributions. If you have fewer than 35 years but more than 10 (which is the minimum requirement), your pension will be adjusted proportionally based on the number of years you have contributed.
The full rate of new State Pension is £203.85 a week.
The government allows some individuals to pay class 3 NIC’s to make sure they receive the full state pension amount. Common examples include –
- You will not make the 35 ‘qualifying years’ you need to receive the full state pension.
- You will not make the minimum 10 years to receive the minimum state pension.
- You’ve reaching state pension age and want to make up some qualifying years.
There are several reasons why people have missing NICs from their record including:
- Living and working outside the UK.
- Unemployed and not claiming any state benefits.
- Low paying employment and not eligible for national insurance credits.
- Self-employed with profits under a certain threshold.
How much are class 3 voluntary contributions?
For the year 2023/24 there is a £17.45 per week rate of class 3 contributions amounting to £907.40 annually. On those figures for each additional qualifying year, you will receive an additional £5.82 per week (or £302.64 per year) in state pension.
How to check your Class 3 NIC eligibility
Before paying class 3 contributions you should get a state pension forecast which will let you know how much state pension you could be entitled to, the date you can access it and the amount you can voluntarily pay to meet your state pension goals.
How do I make Class 3 voluntary contributions?
Paying your voluntary contributions is simple with all the normal ways of paying for something available.
If you prefer monthly payments, set up a Direct Debit for convenience or for quarterly payments, get in touch with HMRC and they will send you a payment request every July, October, January, and April.
You also have the option to make payments on the same or next day through various methods: If you wish to make regular payments to cover any gaps in your National Insurance record for the current tax year, you have the option to do so.
