Pension forecast
Knowing how much money you'll have to live off in retirement isn't always easy. And with changes to the state pension rules, it can be even more confusing.
A state pension forecast, however, will give you more detailed information on the state pension you may receive when you reach state pension age. In particular, it will give you:
- the current number of your qualifying years stated on your National Insurance (NI) contributions
- an estimate of the current value of your state pension based on the information held on your NI contributions record
- an estimate of how much state pension you may get at state pension age
- a forecast of how much you could get by putting off claiming your state pension if you have asked for it
- information on how you can improve your basic state pension
- the effect on your additional state pension if you're contracted out
- information on whether you can improve your state pension by using your late or former partner's NI contributions record.
If you're a woman born before 6 April 1953 or a man born before 6 April 1951, you won't be affected by the latest changes to the state pension rules. This means you can apply for a state pension forecast through The Pension Service.
However, if you were born on or after these dates, you should note that The Pension Service is currently updating its computer systems to reflect recent changes to the state pension.
So until this has been done, you can either use the state pension profiler on the Direct Gov website or you can get a state pension statement.
The state pension profiler uses information provided by you to make a quick estimate on how much basic state pension you will get. The calculation is based on your National Insurance contributions and it will also tell you the earliest time you may receive it.
Meanwhile, a state pension statement will provide you with estimates of how much basic and additional state pension you may receive – as well as your graduated retirement benefit if applicable.
This is based on your National Insurance record as it stands on the date the statement is completed. However, you won't receive a forecast on how much state pension you will receive once you've reached state pension age. You can apply by phone or post.
