State Pension

[ianhcurrie]

My wife has 34 years worth of paid up NI contributions but is being advised by DWP to pay up another 4 years voluntary (About �1200) to make full 39 years.

She will be 60 on 22/2/10 but the government is changing the minimum to 31 years full conts to earn full pension but is this only from 5/4/2008?

If so, it seems a bit unfair, yet again!

[buildersmate]

As I understand it, she will need 39 Qualifying Years for a full basic State Pension because her 60th is before April 2010. So yes, she would at first sight be appearing to be unable to gain from the changes that occur in April 2010. The line has to be drawn somewhere.
However women born after April 2010 have to wait progressively longer to receive their Basic State Pension (based on their 30 Qualifying Years) as there is a changeover period during which the age to receive the sum rises for women from 60 to 65. This was to equalise to men, and the outcome of an EU Court case several years ago brought by a man (who foolishly thought the Government would reduce the age for men from 65 to 60!). Your wife avoids being disadvantaged by this change.

[ianhcurrie]

Whilst I understand the logic of your reply, for which I thank you, I cannot see how she is not disadvantaged over someone born 8 weeks later than her, who will need only 3i qualifying years instead of 39 to get a full pension in 2010.

I agree the line has to be drawn somewhere but you would think the number of qualifying years would have been tapered as well.

[buildersmate]

Yes, one would, but I don't make the law.
The basis of 39 years historically was that a woman starting work as late as 21 (after tertiary education ) can still make the 39 years at age 60. One could also argue that someone starting work earlier than 21 has generated more than the required 39 years, but doesn't get an enhanced Basic State Pension for the extra NI paid.
Has she fully accounted for the credits given during any child-rearing years?