Understanding your State Pension
How the State Pension works
The State Pension is a regular income paid by the UK government once you reach State Pension age and have enough National Insurance contributions or credits. For many people, especially those without large private pensions or significant savings, it forms a key part of retirement income. Payments are made every four weeks and continue for life once claimed.
You need to apply for the State Pension. It does not start automatically. To qualify, you must have a minimum number of qualifying years on your National Insurance record. These can come from working, receiving benefits that give you credits, or paying contributions voluntarily.
Your weekly amount depends on how many qualifying years you have. If you do not have enough for the full amount, you’ll get a lower figure based on how many years you’ve built up.
Which version of the State Pension you receive
There are two versions of the State Pension. Which one applies to you depends on your date of birth.
Basic State Pension
If you’re a man born before 6 April 1951 or a woman born before 6 April 1953, you come under the Basic State Pension. The full amount is currently £169.50 per week. To get this, you need 30 qualifying years.
You may also receive extra through the Additional State Pension, known as SERPS or the State Second Pension. This was based on your earnings and National Insurance record. If you were contracted out of this system through a workplace scheme, your additional amount may be lower.
New State Pension
If you’re a man born on or after 6 April 1951, or a woman born on or after 6 April 1953, you come under the new State Pension. This was introduced in 2016 and is designed to be simpler. The full amount is £221.20 per week, and you need 35 qualifying years to receive this. If you have fewer years, you’ll get less.
If you had a National Insurance record before 2016, your entitlement may be made up of a mix from the old and new systems. Your starting amount under the new system was based on whichever version gave you the highest total at the time.
Qualifying for the State Pension
You need at least 10 qualifying years to receive any State Pension. These can be made up in different ways:
- Years you worked and paid National Insurance
- Years when you received National Insurance credits
- Years when you made voluntary contributions
You can receive credits if you were claiming certain benefits or caring for someone. For example, if you claimed Child Benefit for a child under 12, acted as a carer, or were unemployed and claiming benefits, you may have received credits. These help fill gaps in your record when you were not working.
If you have spent time abroad or had long breaks from work, check your National Insurance record to see whether you have any shortfalls.
When you can claim your State Pension
You can claim your State Pension once you reach the qualifying age. This age depends on when you were born. For older age groups, it also depended on gender.
State Pension age
As of 2025, the State Pension age is 66 for both men and women. It is due to rise:
- To 67 between 2026 and 2028 for people born between 6 April 1960 and 5 April 1977
- To 68 between 2044 and 2046 for those born on or after 6 April 1977
These dates may change following future reviews. You can check your exact age using the government’s tool at gov.uk/state-pension-age.
You’ll usually get a letter from the Department for Work and Pensions around four months before you reach State Pension age. This explains how to make a claim. You can apply online, by phone, or by post.
How much you will get
Under the new system, the full State Pension is £221.20 per week, or just over £11,500 per year. If you have fewer than 35 qualifying years, the amount is reduced proportionally. For example, 20 years would give you around £126 per week.
If you’re under the Basic State Pension system, the full amount is £169.50 per week. You may also get more from the Additional State Pension, depending on your earnings and contribution history. If you were contracted out of this, your State Pension might be lower.
Annual increases
The State Pension usually goes up each April. This follows the triple lock, which means it rises by the highest of:
- Inflation (measured by the Consumer Prices Index)
- Average wage growth
- 2.5 percent
For example, if inflation is 6.7 percent, wage growth is 8.5 percent, and the baseline is 2.5 percent, your pension would rise by 8.5 percent.
How to check your forecast
You can check your personal State Pension forecast at gov.uk/check-state-pension. This shows:
- How much you’re on track to get each week
- How many qualifying years you already have
- Whether you can increase your amount
- Your State Pension age
You need a Government Gateway or GOV.UK Verify account to view the forecast online. If you prefer, you can ask for a paper version by post.
Deferring your claim
You can choose to delay your claim and receive a higher weekly payment later. Under the new system, deferring increases your pension by about 1 percent for every 9 weeks. This works out at around 5.8 percent for a full year.
If you reached State Pension age before 6 April 2016 and deferred under the old rules, the increase is higher: about 10.4 percent a year. You could also take the extra as a lump sum, but that option is not available under the current system.
Deferring could be helpful if you’re still working or don’t need the money right away. But it depends on your health and life expectancy. You’ll need to live long enough after you start claiming to benefit from the higher payments.
Income tax on the State Pension
The State Pension is taxable income. However, tax is not taken off before it is paid to you. Instead, HMRC uses your tax code to collect the tax through other sources, such as your workplace or personal pension.
If your total income is below the personal allowance, which is currently £12,570, you will not pay tax. For example, if your only income is a full new State Pension of £11,500, no tax is due.
If you also receive other income, such as a private pension, you may go over the allowance. For instance, £11,500 in State Pension plus £4,000 from another pension gives you £15,500 in total. You would then pay tax on the amount above £12,570.
Living abroad
You can still get your State Pension if you move abroad. But whether it increases each year depends on where you live.
Your pension will continue to go up each year if you move to:
- A country in the European Economic Area
- Switzerland
- A country with a social security agreement that includes annual increases
If you move somewhere that does not have such an agreement, such as Australia or Canada, your payments will be frozen at the amount you first receive. They will not increase unless you return to the UK or move to a country where uprating applies.
Other benefits
Your State Pension may affect benefits such as Pension Credit, housing benefit, or council tax support. These are means-tested, so your State Pension counts as income and may reduce what you receive.
You can claim the State Pension alongside personal or workplace pensions. But the combined income could reduce your entitlement to income-related benefits. Make sure any changes are reported so that your benefit amounts stay accurate.
Frequently asked questions
Will I get credits if I stayed at home with children?
Yes. If you claimed Child Benefit for a child under 12, you should have received National Insurance credits. These count towards your State Pension even if you weren’t working.
What happens if I lived abroad?
You do not usually build up qualifying years while living abroad unless you were making voluntary contributions or living in a country with a reciprocal agreement. Time spent abroad may create gaps in your record.
Does part-time work count?
It can. You need to earn above the Lower Earnings Limit, currently £6,396 per year, for a year to count. If you earned less, the year may not qualify unless you received credits or paid contributions voluntarily.
Can I top up my record?
Yes. You can pay voluntary contributions to fill gaps, usually for the past six years. In some cases, you can go back further. Before doing this, check if it will actually increase your pension. If you already have enough years, paying more won’t make a difference.
How can I check what I’m entitled to?
You can contact the Future Pension Centre or use the forecast tool online. They can help you understand how many years you have, how much you’ll get, and whether it’s worth making voluntary contributions.
