Six in every hundred state pension claims were underpaid last year – up from five in one hundred in the previous year.
State pensioners have been urged to claim THOUSANDS using one simple form. Six in every hundred state pension claims were underpaid last year – up from five in one hundred in the previous year.
One of the main reasons for underpayments was down to Home Responsibilities Protection which saw parents – mostly mothers – missing out on credits for time spent at home bringing up children. The average back payment from the Department for Work and Pensions or DWP, as it administers refunds, for eligible retirees so far has been just under £8,000.
But some people have received up to £11,000. Fleur Iannazzo, money wellbeing expert and coach at Aon, said: “Anyone who thinks they might’ve been underpaid their state pension due to missing Home Responsibilities Protection (HRP) years should act now.
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“The form to apply is CF411 and is found on the Government’s website, with help also available online or through the Department for Work and Pensions’ helpline. It can also be a good idea to get a trusted friend or family member to support you with this process.”
Ms Iannazzo said: “In the most serious cases where someone is on a full state pension, people could be missing out on thousands of pounds a year in back pay.”
Kristian Manton, financial adviser at Octopus Money, said: “If you suspect you’ve been underpaid – or a relative has – the first step is to check your National Insurance record and state pension entitlement via your personal tax account on the Government Gateway.
“Compare this against what you’ve been receiving. If there’s a discrepancy, contact the WDP to have it reviewed.” He said: “It’s important to check your state pension regularly, especially as it’s a taxable income.
“If you have multiple sources of income in retirement, it’s possible tax code errors or misreporting can affect your payments too. Staying on top of your records ensures you’re receiving everything you’re entitled to.”
HRP reduced the number of qualifying years you need on your National Insurance record to claim the state pension. It was claimed by parents and carers when they had to take time off work to look after children or other family members, and was replaced by National Insurance credits in 2010.
HMRC says: “Use the online service or postal form CF411 to apply for National Insurance Home Responsibilities Protection, or to transfer it from a spouse or partner.”
