Pensions are long term investments. You may get back less than you originally paid in because your capital is not guaranteed and charges may apply

Which State Pension will you get?

You can find out when you will qualify for the State Pension by visiting the GOV.UK website.

New State Pension

The amount you get depends on how long you have been paying National Insurance (NI).

To get the full new State Pension of 155.65 a week, you need to have paid National Insurance for 35 years.

You get about 4.45 a week* for every year you have paid National Insurance.

This table shows you an estimate of how much you could get based on how long you pay National Insurance for:

NI contribution You could get
5 years 22.25 a week
10 years 44.50 a week
15 years 66.75 a week
20 years 89.00 a week
25 years 111.25 a week
30 years 133.50 a week

If you want to know exactly how much State Pension you could get, contact the Department for Works and Pensions on 0345 300 0168 or visit the GOV.UK website.

* Calculated using maximum pay out of 155.65 divided by 35 (years) = 4.447, then rounding it up to 4.45.

Basic State Pension

This is also based on how long you have paid National Insurance, but you may have the option to top up your contributions to qualify for the maximum amount.

To get the full basic State Pension of 119.30 a week, you need to have paid National Insurance for 30 years.

You may also qualify for the Additional State Pension on top of your basic State Pension. Find out more on the GOV.UK website.

How much National Insurance do you pay?

If you work for someone as an employee you may need to pay class 1 National Insurance depending on how much you earn, for example:

Weekly pay Monthly pay NI rate
162 to 892 702 to 3,863 12%
Over 827 Over 3,863 2%

What if you are self employed?

You will pay either class 2 or class 4 contributions which you pay through your self assessment form at the end of the tax year.

The amount you contribute depends on your profits for the year:

  • Class 21: Profits over 6,205 a year, you pay 2.95 a week.

  • Class 4: Profits over 8,4242 a year, you pay 9%3, and 2% for any profits over 46,3504.

How do you pay National Insurance?

This depends on your type of employment:

  • If you are employed, your employer is responsible for paying National Insurance to HMRC on your behalf.

  • If you are self employed then you are responsible for declaring your income and paying National Insurance.

Your National insurance is paid to HMRC and gives you a State Pension when you reach your pension age.

What else does your National Insurance pay for?

As well as paying for your State Pension, it also goes towards other benefits such as:

  • Jobseeker's allowance

  • Maternity allowance

  • Bereavement benefits

For more information on National Insurance visit the GOV.UK. Website.

When can you withdraw from your State Pension?

When you reach your State Pension age. Here are your pension withdrawal options.

Alternatively, you could defer your State Pension if you do not need the income straight away.

The longer you leave it, the bigger your State Pension income will be. Find out more here.