A Martin Lewis Money Show viewer has shared how she was able to boost her state pension by a staggering £95,000 after making voluntary National Insurance contributions.
The couple, Mark and Caroline, told Good Morning Britain viewers this morning that they were prompted to check their record after watching an episode of the Martin Lewis Money Show, which emphasised the importance of filling in any gaps.
According to Mark, the invaluable tip gave him “the means” to go ahead and pay the necessary National Insurance contributions to entitle them to a full state pension.
Caroline told viewers: “We’d looked at making voluntary contributions but we didn’t really have a huge idea of how to go about it.”
Mark added: “Watching the show prompted me to look back and it gave me the means to actually go ahead and pay those contributions. So over the next 20 years, [Caroline] will receive an extra £95,000. Having this increase in pension should ensure that she can live fairly comfortably for the rest of her days.”
READ MORE: HMRC announces extension to allow more people to boost state pension
After Mark and Caroline’s interview finished, Money Saving Expert founder Martin Lewis weighed in that “this is probably one of the most substantial life-changing pieces of finance out there”, but noted that it’s “fundamentally under-covered”.
Mr Lewis told viewers: “To get your full state pension when you retire, you need enough National Insurance years. Now the full number is around 35. It is not 35. There’s no exact number.
“If you’re not on track for a full state pension, you can then go onto Gov.uk and see what National Insurance years you’re missing.”
Mr Lewis highlighted that “the crucial bit” is that at the moment, people can currently buy any years that are missing dating back to 2006.
People were meant to have the option to claim back all of these years until a deadline in July 2023. However, the Government has announced this deadline has been extended to April 2025.
Mr Lewis said: “That gives people a little bit longer. But do not rest on your laurels. This is really important and certainly anyone who is already getting their state pension, the quicker you do it, the quicker you gain.”
Delving into the way it works, Mr Lewis explained: “You can either, in some cases, get your National Insurance years for free or you will pay up to £800-ish for a National Insurance year. For some people, it could be a lot cheaper than that.”
For each year a person buys, if they don’t already have a full state pension, Mr Lewis said it will add £250 a year to their pension.
He explained: “You pay £800, it adds £250 a year. The break-even point is three years. Most people live 20 years into their state pension, which is why they will get so much more. But it’s fundamentally under-publicised and millions of people are potentially due to get this money.”
Mr Lewis then added that he will be delivering a “special” programme that will cover voluntary National Insurance contributions tonight and suggested that “anybody aged 45 to 70” should watch.
The Martin Lewis Money Show will air tonight on ITV at 8pm.
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