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-   -   UK National insurance Contributions (https://www.englishforum.ch/finance-banking-taxation/299414-uk-national-insurance-contributions.html)

jammidge 01.08.2020 16:44

UK National insurance Contributions
 
Hi
We have returned to the UK and are repaying our national insurance contributions for the time we were in Switzerland to catch up with our state pension. As the cost is low, makes sense


For the time my wife worked in CH, she only has to pay voluntary Class2 contributions (which are very low), but for the time she didn't work (ie when our baby was born etc), the Uk are saying that she needs to pay class 3 contributions which are much higher (it is purely voluntary)

Does anyone else know if there is a way to only pay Class 2 for the times not worked also??

Thanks!

fatmanfilms 01.08.2020 16:48

Re: UK National insurance Contributions
 
Quote:

Originally Posted by jammidge (Post 3203180)
Hi
We have returned to the UK and are repaying our national insurance contributions for the time we were in Switzerland to catch up with our state pension. As the cost is low, makes sense


For the time my wife worked in CH, she only has to pay voluntary Class2 contributions (which are very low), but for the time she didn't work (ie when our baby was born etc), the Uk are saying that she needs to pay class 3 contributions which are much higher (it is purely voluntary)

Does anyone else know if there is a way to only pay Class 2 for the times not worked also??

Thanks!

Being that you only need 35 years of contributions & all education years past age 16 count, is there any point in paying class 3 contributions?

jammidge 01.08.2020 17:03

Re: UK National insurance Contributions
 
My wife has never worked in the UK and we were away a long time, therefore, wouldn't even get half of the 35 years, hence the catch-up...

CodPeace 01.08.2020 17:54

Re: UK National insurance Contributions
 
Quote:

Originally Posted by jammidge (Post 3203180)
Hi
Does anyone else know if there is a way to only pay Class 2 for the times not worked also??

From the NI38 document:
1) You can pay Class 2 NICs if you’re employed or self-employed abroad.(page 9)
2) You can pay Class 3 NICs whether you’re working abroad or not..(page 10)

So looks like they are correct. Not sure how you can now get away with Class2 to be honest.
As you no doubt know, payment is @780 per missing year class3, however, all things being equal, that's @1 months pension payout (175 x 4), so still a rmore than reasonable punt. Especially if you consider you'll only be paying class2 yourself.
Both myself and the enemy have caught up missing years, at class2 though.
We'll be able to afford to put on both bars of the electric fire!

jammidge 01.08.2020 19:52

Re: UK National insurance Contributions
 
Thanks, I caught up with class 2 and most of my wife's years did, but there is about £3k left at class 3 to pay. I also rationalised that paying 4 years cl3 for 4 months benefit was a decent return...

NickyTuesday 03.08.2020 16:23

Re: UK National insurance Contributions
 
How old are your kids? My friend was told by the relevant office that her NI contributions were sorted until her son is 12 (might be 11, can't remember). No need to pay any top up contributions.

CodPeace 03.08.2020 17:06

Re: UK National insurance Contributions
 
Quote:

Originally Posted by NickyTuesday (Post 3203613)
How old are your kids? My friend was told by the relevant office that her NI contributions were sorted until her son is 12 (might be 11, can't remember). No need to pay any top up contributions.

Interesting!
Seems you get the credit if your were registered for Child Benefit.
And you may get child benefit if registered abroad, but seemingly only if you are paying the NI.

So probably worth the OP asking the NI once more.

NickyTuesday 03.08.2020 18:04

Re: UK National insurance Contributions
 
Quote:

Originally Posted by CodPeace (Post 3203624)
Interesting!
Seems you get the credit if your were registered for Child Benefit.
And you may get child benefit if registered abroad, but seemingly only if you are paying the NI.

So probably worth the OP asking the NI once more.

Yeah. She didn't qualify for child benefit (income over the threshold) but was told to apply for it anyway (and say she didn't want it to be paid) just so she would be in the system for NI. Think she did it online.


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