One for the English,
I’ve been looking into voluntary contributing to my state pension while I live away from England. I haven’t resided there for about eight years now and recently contacted HMR&C to enquire about my status.
I already have 15 years credit towards my state pension (SERPS) so I only need to voluntary contribute for another 15 to qualify for the basic State pension - this is according to the letter they sent me.
Arrears = £2,022.80
15 (years) @ £450 (approx.) = £6,750
At today’s price of £90.70 p/w or £4,716.40 p/a return on the State Pension I would only have to live until 67 to make my money back. This seems like a very good deal to me…or am I missing something?
If I decided to voluntary contribute, then I’d have both my Australian Super (pension fund) and the UK pension to see me through retirement, bearing in mind that the UK State pension is available until I pop my clogs.
So, what do you think? Should I catch up on the arrears and voluntary contribute? Or should I stick that cash into my Australian Super fund.