State pension

A state pension on its own is insufficient to support a comfortable standard of living, but is very useful, and therefore you should make sure that you maintain your entitlement to it.

State pension is based on your National Insurance contributions and how much you get varies. In 2011-12 a single person can get up to £102.15 a week basic state pension, although some people get less than this.

Many people get more than this amount because they also get additional state pension.

State pension can be claimed as soon as you reach state pension age, but you don't have to claim it straight away. If you delay claiming, you may be able to increase the amount you get.

Four months before you reach state pension age, you will receive a letter from The Pension Service which will tell you whether you need to claim your state pension.

From April 2011 the basic state pension increased every year by whichever is highest:

• Earnings – the average percentage increase in the UK wages that year
• Prices – the percentage the cost of living increases by that year
• 2.5%