Did you raise a family between 1978 and 2000? If so, you could be owed a free top-up to your State Pension.
The taxman, HMRC, is urging those nearing retirement to check if they’re eligible for a bit of extra cash in their old age. HMRC has already contacted over 250,000 people who are already retired and may have been underpaid. Now, they are reaching out to those still working towards retirement.
What is this free money all about?
It’s linked to a scheme called Home Responsibilities Protection (HRP). This scheme was designed to help parents and carers who took time out of work to look after their families. It was replaced by National Insurance Credits in 2010.
If you claimed Child Benefit between 1978 and 2000, you may be eligible for this extra pension boost.
Why could I be missing out?
If you claimed Child Benefit before May 2000 and didn’t provide your National Insurance (NI) number, HRP may not have been added to your record. This could mean you’re missing out on some of your State Pension.
This is especially true if you spent a lot of time away from work to raise a family.
How do I check if I’m eligible?
HMRC has set up a simple online tool called the HRP eligibility checker. Click here to access it. Here are the questions they’ll ask:
- Were you claiming Child Benefit for a child under 16?
- Did you care for a child with your partner, who claimed Child Benefit instead of you?
- Were you getting Income Support because you were caring for someone sick or disabled?
- Were you caring for a sick or disabled person who was claiming certain benefits?
If you answer yes to any of these questions, then you may be eligible for HRP.
What if I’m eligible?
You can then apply for HRP online and it should only take around 15 minutes.
If your claim is successful, HMRC will update your NI record and the Department for Work and Pensions (DWP) will recalculate your State Pension.
This could mean your State Pension is increased, or it might remain the same depending on your situation. If you are eligible, you may also be entitled to back payments.
Don’t miss out!
If you think you might be eligible for HRP, it’s well worth checking. A few minutes of your time now could mean a significant boost to your retirement income.