Fine tuning State pension increase

[bluedonkey]

I have recently reached State pension age. Instead of taking it straight away, I want to delay slightly and get the increase given for deferring.

By delaying 9 weeks, the starting pension will be 1% higher than it otherwise would be. However, if my starting date is just one day short, I don't get the extra 1%. On the other hand, if I delay to say 10 weeks, I lose a week's pension for no reason. Does anyone know how to do this precisely bearing in mind the potential for getting the starting date wrong either way?

[swill453]

On the other hand, if I delay to say 10 weeks, I lose a week's pension for no reason.

That's not my understanding.

This page (https://www.gov.uk/deferring-state-pension/what-you-get) says:

"Your State Pension will increase every week you defer, as long as you defer for at least 9 weeks."

So it seems you'd get a ninth of 1% for every week beyond the 9 weeks.

Scott.

[bluedonkey]

On the other hand, if I delay to say 10 weeks, I lose a week's pension for no reason.

That's not my understanding.

This page (https://www.gov.uk/deferring-state-pension/what-you-get) says:

"Your State Pension will increase every week you defer, as long as you defer for at least 9 weeks."

So it seems you'd get a ninth of 1% for every week beyond the 9 weeks.

Scott.

Thanks, I read that gov.uk page but obviously didn't take it in properly.

Following the link also gives:
"After you claim your State Pension, the extra amount you get because you deferred will usually increase each year based on the Consumer Price Index."

So the uplift is linked to the CPI rather than the triple lock.

[Dod101]

That's not my understanding.

This page (https://www.gov.uk/deferring-state-pension/what-you-get) says:

"Your State Pension will increase every week you defer, as long as you defer for at least 9 weeks."

So it seems you'd get a ninth of 1% for every week beyond the 9 weeks.

Scott.

Thanks, I read that gov.uk page but obviously didn't take it in properly.

Following the link also gives:
"After you claim your State Pension, the extra amount you get because you deferred will usually increase each year based on the Consumer Price Index."

So the uplift is linked to the CPI rather than the triple lock.

But surely the triple lock is the link to CPI.

Dod

[mc2fool]

Thanks, I read that gov.uk page but obviously didn't take it in properly.

Following the link also gives:
"After you claim your State Pension, the extra amount you get because you deferred will usually increase each year based on the Consumer Price Index."

So the uplift is linked to the CPI rather than the triple lock.

But surely the triple lock is the link to CPI.

Dod

No, the triple lock is the higher of CPI, average national earnings and 2.5%. So what this is saying is that the extra amount from deferring will only be increased by CPI, even if average national earnings and/or 2.5% are higher.

[Dod101]

But surely the triple lock is the link to CPI.

Dod

No, the triple lock is the higher of CPI, average national earnings and 2.5%. So what this is saying is that the extra amount from deferring will only be increased by CPI, even if average national earnings and/or 2.5% are higher.

So be it. I will say no more.

Dod

[mearnsfool]

Get a life guys,

If the OP is getting an uplift on their state pension from waiting some time after there state pension age to collect there increased state pension. Then they get an uplift again in next April, let's stop going on about whether they will receive the CPI increase or the triple lock increase that may well no longer exist in the future.

They are getting a reasonable increase on their state pension.

[chas49]

Moderator Message:
Please can we not have a discussion about whether any increase to the State Pension (or a part of it) is reasonable. That's off-topic for this board. Clarification of the rules around how much the increase will be is, of course, on-topic here! (chas49)