How much longer will you have to work before you’re able to claim your state pension? Our handy online calculator can help you to find out.
The current state pension age – the earliest age you can start claiming the state pension – is 66, but that will rise to 67 between 2026 and 2028 and to 68 by 2046. The changes are being made to reflect increasing life expectancy projections.
A review published in 2017 called for the retirement age to be increased to 68 much earlier, by 2039. This was officially put on hold last March, due to a slowdown in the rise of life expectancy. It could all change following the next review – expected in 2026, after the next general election.
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But for now, it means that anyone born on or after April 6, 1960, who is still in work, will see their state pension age gradually increased. For example, if you are born between April 6, 1960 and May 5, 1960, you can claim the state pension at the age of 66 years and one month. Someone born between October 6, 1960 and November 5, 1960, can claim the state pension at the age of 66 years and seven months.
Anyone born between March 6, 1961 and April 5, 1977 can claim the state pension at the age of 67. Anyone born after will be part of the rise to age 68 – unless legislation is brought in to bring forward the state pension age. At the moment, someone born from April 6, 1978 onwards can claim the state pension on their 68th birthday.
So someone born on April 4, 1977, has 12 years, three months, and two weeks of their working life left before they can claim a state pension. That means if their entire working life was the equivalent of a working week, it would be just after lunch on Thursday.
You can use our pensions calculator below to find out exactly how long you have to work before you’re able to retire.
But, not everyone will be able to claim the same amount of money. This is dependent on a number of factors including how many years you’ve worked for, the amount of national insurance contributions you have made and depending on when you were born, you can claim either the basic state pension or the new state pension.
The full new state pension is currently worth £203.85 per week. Under the triple lock, the state pension usually rises each April by inflation, wages, or 2.5% – whichever is higher.
This year the state pension will rise by 8.5% from April, in line with the triple lock promise, taking the weekly amount up to £221.20. You claim the new state pension if you’re a man born on or after April 6 1951, or a woman born on or after 6 April 1953.
The amount you get depends on your National Insurance record. You need 35 qualifying years on your National Insurance record to get the full new state pension, and normally ten years to get anything at all.
However, if you’re a man born before April 6 1951, or a woman born before April 6 1953 you claim the basic pension, which is currently worth £156.20 per week and will rise to £169.50 under the triple lock promise. Again, how much you receive depends on your National Insurance record.
If you’re a man, you usually need 30 qualifying years if you were born between 1945 and 1951, or 44 qualifying years if you were born before 1945, to get the full amount. To get any basic state pension at all, you typically need one qualifying year if you were born between 1945 and 1951, or 11 qualifying years if you were born before 1945.
If you’re a woman, you normally need 30 qualifying years if you were born between 1950 and 1953, or 39 qualifying years if you were born before 1950, to get the full amount. To get any basic state pension at all, you usually need one qualifying year if you were born between 1950 and 1953, or ten qualifying years if you were born before 1950.
Meanwhile, more pension changes are coming this year. The pension lifetime allowance is being scrapped from April. This is the total amount you can build up in all your pension savings without incurring an extra tax charge. It is currently set at £1,073,100 but Jeremy Hunt said that limit will be scrapped altogether from April. There will now be a £268,275 cap on the tax-free lump sum you can take from your pension.
Other changes include an extension of the auto-enrolment scheme which will mean workers are automatically entered into their employer’s workplace pension when they turn 18, rather than 22 and earning above £10,000 a year under the current rules.
The lower earnings limit – the minimum level of earnings on which you and your employer have to pay contributions – is also being abolished. The limit is currently set at £6,240.
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