is it possible to pay national insurance contributions in advance?

[johnizere]

If I decided to retire early, at say 55, can I pay the 5 years NI contributions in advance (I believe over 60s' males do not have to pay NI???)., and get full state pension when I reach 65?. thanks in advance.

[figure]

I like your optimism but how do you know you are going to live to see 65?

[johnizere]

That's the chance we take, figure. Same as my private pension contributions I've paid all my working life. Nice to know I've been contributing to a pension fund...not nice knowing someone else will be getting it!
Same as all pensions...I bet them I'll live long enough...they bet I don't.

[buildersmate]

Are you sure that you will need to do this, John? Have you used the Pension Service Advice Line to get a pension forecast for your State Pension? Yes, you are right that from age 60, Ni contributions are credited to you.

Here is my understanding of the situation. A male currently needs 44 qualifying years of NI contribiutions to get a full Basic State Pension. You therefore need to work out, or get the Pension Service to do it for you, how many years you have. You can then work out how many of the years you need to contribute to to reach 44.
However there is another complication. In May 2006 the Government produced a White paper that proposed reducing the number of qualifying years down to 30 for anyone who retires normally after 6th April 2010. This must impact you. If this goes through, you would surely not need the 5 qualifying years you are referring to?

[johnizere]

thanks, buildersmate, I hadn't seen that. I'll look into it more.

[dasherman]

This legislation has gone through,from 2010 both men and women only need 30 qualifing years to get full state pension.

Try this for more info:-

http://www.hmrc.gov.uk/nic/nic-credits.htm