State Pension is paid to individuals who have reached the official State Pension age, which is laid out by the government. Pensioners can expect to receive their sum once every four weeks, paid into a bank account of their choice. At present, the State Pension system is split into two streams, with different people entitled to varying amounts.
State Pension is often viewed as a valuable stream of income, and therefore keeping a finger on the pulse of entitlement is key.
Fortunately, there is one simple way Britons can check their State Pension amount, and it can be done online.
The government has provided future pensioners with a State Pension calculator which could shed more light on how much a person is currently set to receive.
To access the State Pension calculator, a person will need a Government Gateway user ID and password, which can be accessed online by providing details such as a National Insurance number or a valid UK passport.
It cannot be used if a person is already getting their State Pension, or if they have deferred claiming it.
Once accessing the calculator, Britons can find out a number of interesting details about their State Pension sum.
The calculator will tell people how much State Pension they could possibly get, known as a State Pension forecast, as well as when they are set to receive it.
The calculator also provides insight on how Britons may be able to increase their State Pension sum if they can.
However the statement, while helpful, is only an estimate of how much people will ultimately receive.
This is because the government website states it does not take into account inflation, nor is it a guarantee.
Inflation has one of the biggest impacts on a State Pension sum a person is likely to receive.
The Triple Lock Mechanism, first introduced in 2010, sees the State Pension figure rise each year.
It will increase annually by the higher of inflation, average earnings or 2.5 percent.
The mechanism is designed to protect the State Pension sum, and ensure pensioners receive a sum which will assist them in retirement.
Published at Mon, 10 Aug 2020 07:16:00 +0000