Key Post UK State Pension - Make voluntary contributions to qualify for UK pension on top of Irish pension

I got my letter on Friday that approved me for class 2. I had applied last June, so that gives an indication of the current timelines.

I understand that I need to call them before making a payment, so that it can be allocated. Do I need to do this if I intend to pay for all of the past years that I'm eligible for?

Also, can I just make a the payment online from my euro BOI account and add a bit for currency conversion or do I need to go into a branch and send it in sterling?

Many thanks for everyone's help.
 
ohrose said:
I'd be interested to get some feedback on the following cases (1): You are aged 60 and are 'living and working abroad' and thus qualify for Class 2 NIC. One morning (still aged 60) you decide that you want to retire early. You are now in the category of 'living abroad but not working'. Do you now qualify for Class 3 NIC or can you still make Class 2 voluntary NIC? At what point do you contact HMRC? (2) Same initial situation but this time you lose your job in Ireland and you are now on social welfare and eventually 'signing on'. Are you still eligible to pay Class 2 NICs or do you move to Class 3?
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It would appear that if you retire early in Ireland ( say at 60 as per above) then you would move to Class 3 NIC payments for the years between 60 and 67. This probably also means that as the retirement age in Ireland is 66 the year between 66 and 67 has to be paid at the Class 3 rate.
 
Sent in the form last June by registered post, got a letter last Friday to say the form wasnt dated. So they wouldnt accept it, asked them would they send me back the form and I would date it and they wouldnt do that! So have to start all over again:mad::mad::mad::mad:
 
ohrose said:
It would appear that if you retire early in Ireland ( say at 60 as per above) then you would move to Class 3 NIC payments for the years between 60 and 67. This probably also means that as the retirement age in Ireland is 66 the year between 66 and 67 has to be paid at the Class 3 rate.
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Do you know if this is the case if you are drawing from an ARF in Ireland during that time? It would be nice if drawing from an ARF would mean you stay on Class 2 NIC payments (as well as getting a contribution to the Irish Contributory State pension).

Thanks...
 
Hi all, just popped on here to give my thanks to DannyBoyD and all the other contributors. My situation is this: I helped two work colleagues to apply for this back in March 2023, and due to a lot of prevaricating I didn't apply myself until January this year. I could see on the GOV.UK site that they received my application in January,and it was due to be processed early in 2025 but I knew that could change.

Last week out of the blue I received two letters from HMRC. One acknowledging my application to pay Class 2 contributions and details of the payment I needed to make for the tax year 2023/24. The other letter was to tell me I could go back and pay 17 years to make up the shortfall (I have 13 qualifying years). On the letter for paying the shortfall there is a line "Due to changes in the law, you need the pension service to confirm whether your state pension will increase if you pay any shortfall". I am assuming it will based on the updates in the main post on this?

Besides that I am just surprised that my application was processed so quickly. My colleagues are being chased for details of their employment since they returned to Ireland, but mine was straightforward in that I have continual service (through various TUPE's) since I took up employment back in Ireland, so I don't know if that made any difference.

Thanks again.
 
Whisper said:
On the letter for paying the shortfall there is a line "Due to changes in the law, you need the pension service to confirm whether your state pension will increase if you pay any shortfall". I am assuming it will based on the updates in the main post on this?
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it's all a bit knarly due to the changes that were made in the UK in 2016 with regards to pensions - if you really want to read up the detail, there's a link somewhere in these 24 pages.

so the line they include is their 'get of jail free' card to cover themselves.
 
3CC said:
Do you know if this is the case if you are drawing from an ARF in Ireland during that time? It would be nice if drawing from an ARF would mean you stay on Class 2 NIC payments (as well as getting a contribution to the Irish Contributory State pension).

Thanks...
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There's an interesting thread here which might point to an answer to your ARF question. Also the follow on posts from user 'S class' are very informative.

See below Key Post:

https://www.askaboutmoney.com/threads/prsi-and-planning-retirement.232440/
 
ohrose said:
There's an interesting thread here which might point to an answer to your ARF question. Also the follow on posts from user 'S class' are very informative.

See below Key Post:

https://www.askaboutmoney.com/threads/prsi-and-planning-retirement.232440/
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Thanks ohrose. Yes I have seen that thread and in fact that's where I learned that you could retire early and that PRSI paid on income from an ARF would count towards the contributory state pension here in Ireland.

My question is really whether the UK authorities would accept ARF income as a basis for paying voluntary NI contributions at class 2 rather than class 3?
 
Ontheborder said:
Got the letter today for 23/24 payment. £179.4
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Snap - My letter dated 6th April.

It looks like it's a simple and reliable system once you are set up. I've made my payment now in stg and will check my online DWP pension forecast in a month or so and hope to see an enhanced amount. After that, three more years to go.
 
Wanted to see if anybody got something similar from HRMC. Filled in the form and sent it off months ago and just got back a letter denying me Class 2 NI contributions saying that I wasn't employed abroad. I am not sure how they knew that but it isn't true so I tried to call them. Very very hard to get through and then got told that 'you cannot speak to the international team so you need to write to them'. I sent them a letter from my employer with proof of employment. Is the HRMC just assuming that you are not employed on leaving the UK or was it just me that got that letter?
 
3CC said:
Thanks ohrose. Yes I have seen that thread and in fact that's where I learned that you could retire early and that PRSI paid on income from an ARF would count towards the contributory state pension here in Ireland.

My question is really whether the UK authorities would accept ARF income as a basis for paying voluntary NI contributions at class 2 rather than class 3?
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This is from HMRC on their community forum and it would tend to suggest that you need to be in some form of employment ? Is an ARF income considered as employment under this definition?

"You may continue to pay voluntary class 2 National Insurance overseas until the date that you end employment/self-employment.
After your overseas employment/self-employment end, you may continue to pay voluntary class 3 contributions.
You should let us know when your overseas employment/self-employment ends."
 
I was born in the UK and lived there until I was 16 & worked a Saturday job for 1 1/2 years & then moved to Ireland. I went back to the UK when I was 20 in 1976 and worked there for 1 1/2 years then returned to Ireland again. Would this apply to me?
 
Whisper said:
Hi all, just popped on here to give my thanks to DannyBoyD and all the other contributors. My situation is this: I helped two work colleagues to apply for this back in March 2023, and due to a lot of prevaricating I didn't apply myself until January this year. I could see on the GOV.UK site that they received my application in January,and it was due to be processed early in 2025 but I knew that could change.

Last week out of the blue I received two letters from HMRC. One acknowledging my application to pay Class 2 contributions and details of the payment I needed to make for the tax year 2023/24. The other letter was to tell me I could go back and pay 17 years to make up the shortfall (I have 13 qualifying years). On the letter for paying the shortfall there is a line "Due to changes in the law, you need the pension service to confirm whether your state pension will increase if you pay any shortfall". I am assuming it will based on the updates in the main post on this?

Besides that I am just surprised that my application was processed so quickly. My colleagues are being chased for details of their employment since they returned to Ireland, but mine was straightforward in that I have continual service (through various TUPE's) since I took up employment back in Ireland, so I don't know if that made any difference.

Thanks again.
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Hi Whisper. Thanks for the update. That sounds really quick. Can I ask if you applied online or via post?
 
Kev1964 said:
Snap - My letter dated 6th April.

It looks like it's a simple and reliable system once you are set up. I've made my payment now in stg and will check my online DWP pension forecast in a month or so and hope to see an enhanced amount. After that, three more years to go.
Click to expand...
Out of interest when did you apply? Thanks
 
Angelab said:
I was born in the UK and lived there until I was 16 & worked a Saturday job for 1 1/2 years & then moved to Ireland. I went back to the UK when I was 20 in 1976 and worked there for 1 1/2 years then returned to Ireland again. Would this apply to me?
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See key post.
 
Bagman said:
Out of interest when did you apply? Thanks
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Hi Bagman. This letter is the recurring annual (second time I’ve received this) demand for my NIC so that I continue building my pension entitlement. My application to pay back payments was submitted in 2022 and I think …..before the big build-up that seems to be producing the current delays.
 
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