The changes you are referring to mean that from April this year, the number of qualifying years in terms of National Insurance Contributions an individual has to accrue to qualify for the full basic state pension in the UK drops to 30 years for both women and men. As you probably know, currently women have to accrue 39 years and men 44 years of contributions although certain groups (for instance - carers, mothers of young children, some disabled people, the registered unemployed) who are currently not in paid employment do receive National Insurance contributions credits. However, if you achieve the 39 or 44 years’ worth of contributions, are under state pension age but are still working and earning above the point at which NICs are due, you have to continue to pay them until you do reach state pension age.

And the changes being introduced in April do not alter that. Even though the total number of qualifying years will reduce, you will still have to continue paying national insurance contributions on your salary/ wages up to the time you reach state pension age. Once you reach state pension age, if you are still working, you do not need to pay National Insurance Contributions on your salary/wages.

What’s that saying ? There are only two certainties in life: death and taxes…

(March 2010)