# EU State pension confusion



## SteveScot (Feb 11, 2013)

Hopefully someone can shed more light than the EU website I looked at....

I'm hoping to retire to Spain in 10 years time at age 55. This all depends on how well my financial planning goes of course, but as part of that planning, I'd like to be able to get an idea of what state pension I'd be likely to get once I hit the magical age of 67 / 68 (or who knows, maybe 75 by that time!!).

I have worked both in the UK and the Republic of Ireland, and assuming that if I was retired already in Spain, then I would apply to DWP in UK for them to sort it all out.

I have absolutely NO CLUE about what I'd be entitled to and hoping that someone in a similar position may be able to help.

Obviously there is a lot of crystal ball gazing involved, being so far out in terms of time, but it would be a great help if someone was able to post figures for today's pension rates for someone who's worked in UK and Ireland... then I'd be able to compare that to cost of living etc. I won't have any housing costs, just general bills...

Many thanks


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## 90199 (Mar 21, 2010)

I receive 538.68 pounds sterling monthly.


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## SteveScot (Feb 11, 2013)

Hepa said:


> I receive 538.68 pounds sterling monthly.


Hi Hepa,

have you worked / paid NI in more than just The UK?


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## Alcalaina (Aug 6, 2010)

The UK will have moved to flat rate pensions by then. These are scheduled to come in in 2016. So if you have worked and paid contributions for the required number of years you will get a full pension.

There is a website here where you can calculate what you will get.
https://www.gov.uk/calculate-state-pension

This of course is a long way off and if Britain decides to leave the EU things might be very different.


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## 90199 (Mar 21, 2010)

SteveScot said:


> Hi Hepa,
> 
> have you worked / paid NI in more than just The UK?


No, just the U.K. for over 50 years.


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## gus-lopez (Jan 4, 2010)

Here are the rules if you have worked in more than one EU country. You are supposed to claim in the country in which you live unless you have never worked there when you claim in the last country you did work in.



EU - Pension claims and calculation of EU pensions-Your Europe


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## Justina (Jan 25, 2013)

SteveScot,
You should phone Newcastle first of all and find out your situation. They will give you a general idea of what you will get and if you are a few years short, for whatever reason, they will allow you to add in to your pension fund.


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## SteveScot (Feb 11, 2013)

Justina said:


> SteveScot,
> You should phone Newcastle first of all and find out your situation. They will give you a general idea of what you will get and if you are a few years short, for whatever reason, they will allow you to add in to your pension fund.


Thanks  

I did phone them a number of years ago on my return to working in the UK, but to be honest, the person that I spoke to was as much use as a chocolate teapot. I may need to try again and hope that I get some firmer answers...

I've looked at the EU web page on the subject of having worked in different EU countries, but couldn't really get my head around how the final figure is worked out. It's all pro-rata this and that, then somehow they get to a magical figure lol....

I do know that the Irish state pension is considerably more than the UK basic state pension, but it would be nice to know:

If I continued to pay into the UK NI scheme until I have the number of qualifying years needed, and taking into account my time working in Ireland and paying PRSI (their NI), at current rates I would get X amount.

Then I could work out how much I will need in the pot so to speak.


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## Justina (Jan 25, 2013)

Well, if the Irish one offers more dosh, then get onto them and perhaps being a smaller country and the powers that be may be able to get through to Newcastle. I survived with Newcastle from Mexico, not a walk in the park, their layout and their language was all but incomprehensible and eventually had to phone them. It is a little like getting blood out of a stone, but do it, cos if you have missed out on payments for whatever reason, you do have a chance to make them up and they do have second class payments. It took them about three years to change the dosh I was putting in to explain that I did in fact qualify for the above second class payments. Also do not go by a telephone call, ask for a letter., cos every time you phone them you get the usual cheery voice that doesn't always know it's you know what from you know where, you need ze letter.


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## Muggers (May 15, 2014)

As I understand it, as a quick rule of thumb, you can arrive at the figure you will get from a UK state pension like this.
Take the amount you would get if you received a full pension, divide it by the number of qualifying years needed to get full pension, then multiply the result by the number of qualifying years you actually have.
For example, say a full pension was worth 110 pounds per week, and you needed 30 qualifying years to get it, but you only have 25. Then..
110 divided by 30 = 3.66 x 25 = 91.50
You will have to do some research though. The number of qualifying years depends on when you were born. If and when the Govt changes to a flat rate pension, you will likely be able to use the same formula to work out how much you would get. Just change the numbers. A qualifying year means any year in which you paid enough NI, or receiver credit for NI, for example by being unemployed. You can find out how many qualifying years you have from Newcastle national insurance offices.


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## SteveScot (Feb 11, 2013)

I phoned Newcastle pensions dept today and was told that I should be able to receive pensions from both the UK and Ireland as I have paid into both systems. I predict by the time I want to take early retirement, that I will have about 28 years UK credits, so just shy of a full pensions entitlement, but may be able to top a couple of years up to bring it up to the 30...

In Ireland, I've only paid in around 7.5 years, which is under the 10 years qualifying, so I'll need to look into the position there.

Edit:- I just found this link to a video on the welfare.ie website which actually explains it quite well!

http://ec.europa.eu/avservices/video/player.cfm?sitelang=en&ref=I072535


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## gus-lopez (Jan 4, 2010)

SteveScot said:


> I phoned Newcastle pensions dept today and was told that I should be able to receive pensions from both the UK and Ireland as I have paid into both systems. I predict by the time I want to take early retirement, that I will have about 28 years UK credits, so just shy of a full pensions entitlement, but may be able to top a couple of years up to bring it up to the 30...
> 
> In Ireland, I've only paid in around 7.5 years, which is under the 10 years qualifying, so I'll need to look into the position there.
> 
> Still quite confused as to what exactly I may get haha....


The Uk is changing, apparently, to a 'flat rate ' pension. when it does ypou will need 35 years to qualify. 
With regards to the Ireland pension , it is similar to Spain where 15 is the minimum; BUT as you have worked in more than one EU state it now ALL counts . So the 7.5 years would be taken in to account as a % of the full Irish rate & then multiplied by the increased EU rate . Ireland would have to pay that as a part of your pension. The UK 28 years would be exactly the same & multiplied by the EU rate. This tends to increase pensions by between 25-30%. How it works & how they worked it out I have no idea but I certainly don't think anyone gave much thought to A , the cost & B , how many people it might apply to!


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## SteveScot (Feb 11, 2013)

It seems from the video that I'd be likely to get 28/30ths of UK state pension PLUS 7.5 years pro rata of an Irish state pension.


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## SteveScot (Feb 11, 2013)

gus-lopez said:


> The Uk is changing, apparently, to a 'flat rate ' pension. when it does ypou will need 35 years to qualify.
> With regards to the Ireland pension , it is similar to Spain where 15 is the minimum; BUT as you have worked in more than one EU state it now ALL counts . So the 7.5 years would be taken in to account as a % of the full Irish rate & then multiplied by the increased EU rate . Ireland would have to pay that as a part of your pension. The UK 28 years would be exactly the same & multiplied by the EU rate. This tends to increase pensions by between 25-30%. How it works & how they worked it out I have no idea but I certainly don't think anyone gave much thought to A , the cost & B , how many people it might apply to!


Ah....!

That explains it.... Yes, so by the time I retire (hopefully, funds permitting) I reckon I'll have about 37 years paid into the 2 country's systems, so hopefully all should be well on that front. And the thought of it being 25-30% higher sounds great to me 

This of course could all go up in smoke if a certain Mr. Farage gets his way haha...


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