UK pensions and tax – seven steps to make the most of your money in 2024

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Seven steps to make the most of your money in 2024.

Article originally published by The Guardian. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

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09 Jan 2024

In order to qualify for a full new state pension, which is £203.85 a week (£10,600 a year), you typically need to have a 35-year history of paying national insurance (NI) contributions. People who have breaks in their employment record may not qualify for the full amount. You can check your state pension forecast online to find out if you have gaps to fill. This should boost your future retirement income.

“The first thing to do is check to see if you qualified for a benefit that comes with a voluntary NI credit,” says Helen Morrissey, the head of retirement analysis at the investment platform Hargreaves Lansdown. “Child benefit or universal credit are key examples. If you were eligible, you can look at whether you can backdate a claim and get the necessary credits.”

In many cases you can also buy voluntary NI contributions for the past six years. Currently, many men born after 5 April 1951 and women born after 5 April 1953 can pay to plug gaps going back to 2006. The deadline for doing this