National Insurance credits can have a direct impact on how much state pension you can get
People not claiming the National Insurance credits they are entitled to may end up with lower state pension payments as a result. Despite popular belief, these credits are not exclusively given to people on certain benefits.
National Insurance credits can plug holes in your National Insurance record, which is used to calculate how much state pension your are entitled to. These credits are usually provided to people on certain benefits like Carer’s Allowance and Child Benefit to stop people from losing out on state pension entitlement due to caring for loved ones.
However, there are four circumstances where people do not need to be receiving any benefits in order to get National Insurance credits. However, some will not be provided automatically and people will need to claim their entitlement or risk missing out.
Training courses
People who are over the age of 18 and have been sent on a Government-approved training course by Jobcentre Plus should automatically get Class 1 National Insurance credits. However, this is only provided if the course lasts no longer than one year.
If you are over 18 and on a Government-approved training course that does not last more than one year but you were not sent by the Jobcentre, you may still be eligible for credits but you will need to apply. To do this, you will need to write to HMRC explaining when the credits are for and why you are eligible.
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Jury service
People who are not self-employed and have been called for jury service may be able to get National Insurance credits to cover the time they have attended court. You will need to write to HMRC to apply for these Class 1 credits.
Partners of people in armed forces
You need to be married to, or a civil partner of, a member of the armed forces and went with your partner on an overseas posting in order to potentially claim National Insurance credits.
If you left for the posting after April 6, 2010 and are returning to the UK you can apply for Class 1 credits. If you were on an overseas posting after 6 April 1975, reached state pension age on or after 6 April 2016, and are not getting Class 1 credits then you can apply for Class 3 credits instead.
Wrongly imprisoned
If your conviction was quashed by the Court of Appeal, or the Court of Criminal Appeal in Scotland, you can apply for Class 1 credits. You’ll need to write to HMRC, include your National Insurance number and explain why you are eligible. Details on how and where to apply for these credits can be found on the Gov.uk website.
Class 1 National Insurance credits count towards other benefits like Jobseeker’s Allowance and your state pension. Class 3 National Insurance credits only count towards your state pension entitlement.
You can check your National Insurance record and state pension forecast online to see if there are any gaps that you could top up with credits and to check that any credits you have applied for are put in correctly.
