Latest news with #HRP
Leader Live
15 hours ago
- General
- Leader Live
State pension error means parents could be owed thousands
In his latest update, Money Saving Expert founder Martin Lewis is highlighting a State Pension error which saw parents and carers who took time off work between 1978 and 2010 to look after children due £100,000 or more when they retire, known as Home Responsibilities Protection (HRP). The post says: "If you cared for a child or someone with a long-term disability between 1978 and 2010, you could wrongly have National Insurance gaps that reduce your State Pension. 100,000s could be affected, and while the Govt was contacting people, it isn't any longer - as highlighted by former Pensions Minister Steve Webb. Thus the onus is on you to proactively check. The impact can be huge." State Pension error! Did you take time off work (1978 to 2010) to look after children or someone with long term disability? You could be owed £10,000s Full help to check in... In brief: 100,000s wrongly have Nat Insurance gaps that reduce your State… Home Responsibilities Protection (HRP) was given for full tax years (6 April to 5 April) between 1978 and 2010, if any of the following were true: National Insurance credits for parents and carers replaced HRP from 6 April 2010. Most people got HRP automatically if they were: If your partner claimed Child Benefit instead of you, you may be able to transfer HRP from a partner you lived with if they claimed Child Benefit while you both cared for a child under 16 and they do not need the HRP. If you reached State Pension age before 6 April 2008, you cannot transfer HRP. If you became a parent before May 2000, you may have Home Responsibilities Protection (HRP) missing from your National Insurance record. This could mean you're missing out on State Pension payments. Check if you can apply for HRP below. ⬇️ If you spent at least 35 hours a week caring for someone with a long-term illness or disability between 6 April 1978 and 5 April 2002, you may also be able to claim. They must have been getting one of the following benefits: The benefit must have been paid for 48 weeks of each tax year on or after 6 April 1988 or every week of each tax year before 6 April 1988. You do not need to apply for HRP if you were getting Carer's Allowance. You'll automatically get National Insurance credits and would not usually have needed HRP, but check - just to be sure. In a post on X, HMRC said: "If you became a parent before May 2000, you may have Home Responsibilities Protection (HRP) missing from your National Insurance record. This could mean you're missing out on State Pension payments." For someone with 13 missing years, who lives for another 20 years, it can be worth as much as £100,000 or more in State Pension payments. Recommended reading: You can also apply if, for a full tax year between 2003 and 2010, you were either: All of the following must also be true: You cannot get HRP for any complete tax year if you were a married woman or a widow and had chosen to pay reduced rate Class 1 National Insurance contributions as an employee (commonly known as the small stamp), or you had chosen not to pay Class 2 National Insurance contributions when self-employed
Scottish Sun
16 hours ago
- General
- Scottish Sun
Parents can claim back £10,000s if they took time off to raise kids in certain time frame – are you eligible?
Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) PARENTS and carers could be missing out on tens of thousands of pounds due to a Government error. More than 100,000 people are thought to have incorrect gaps in their National Insurance records, reducing their state pension pots. Sign up for Scottish Sun newsletter Sign up 1 The issue is mostly impacting women who took time off work to look after a child The issue has impacted some people who cared for a child or someone with a long-term disability between 1978 and 2010. At the time, the Government had a system in place to make sure people would still get the state pension if they were taking time off work to look after a child or a loved one. The system was called Home Responsibilities Protection (HRP) and it should have been automatically awarded to those claiming Child Benefit. But there were errors in the system and it meant hundreds of thousands of people were left with gaps in their National Insurance records that shouldn't be there. Those affected are being underpaid the state pension, or could be in future. The HRP error was first discovered in September 2022 and published in the DWP's annual report. The Government department said the error was the "second largest" it had found relating to state pensions. Earlier this year, the Government confirmed all cases relating to the issue would be resolved by March 2027. It said people had up to two years from March 2025 to provide any additional information so they could claim back the money. The DWP and HMRC have already identified about 119,000 cases of - largely women - who were underpaid due to the error. How to protect your pension and Inheritance from the new Budget Between them they have received £735million. But it's thought there are still thousands of eligible people who are yet to respond to letters sent by the Government telling them they could be owed money. It is understood this is due to the Government requiring further documentation from them. What is Home Responsibilities Protection (HRP)? BELOW we reveal what Home Responsibilities Protection (HRP) is and why if you received it before 2000 you could be missing out on cash. From 1978 to 2010, protection was provided for parents to avoid gaps in their "qualifying years" by a system known as Home Responsibilities Protection (HRP) credits. This system was then replaced in 2010 by the one we have now, called National Insurance Credits. Most people got HRP automatically if they were getting child benefit in their name for a child under the age of 16 and they had given the child benefit office their National Insurance (NI) number. If someone claimed child benefit before May 2000 and did not provide their NI number on the form, it's possible that their credits may not have been transferred to their NI account from the child benefit computer. This may affect their pension entitlement and women who are now in their 60s and 70s are most likely to be affected. If you think you may be entitled, but you have questions, the Pension Service can be reached using the website or by calling 0800 731 0469. Could you be affected? It might be worth checking to see if you're affected if the following apply to you: You're currently aged between 41 and 90 You took time away from paid work to look after a child or a person with a long-term disability or illness at any point between 1978 and 2010 You claimed Child Benefit or Income Support for the first time between May 2000 OR Your partner claimed Child Benefit but you stayed at home to look after a child or person with a long-term health condition at any point between 1978 and 2010 OR You didn't include your National Insurance number on your claim. How can you check? If you're not sure whether you're being paid the right amount in your state pension, you can try these checks. First look at your state pension forecast or statement on the website. Another option is to call the Future Pension Centre, who can post you a copy of your forecast. Make sure you have your National Insurance number to hand when you call. If you're not getting the full state pension, or your forecast says you're not on track to get it, you should then check your National Insurance record for gaps. You can do this online on the website or call up the National Insurance Helpline on 0300 200 3500. If there are gaps in your record between 1978 and 2010, and these were years you took off work to care for a child, you may be missing Home Responsibilities Protection. What should you do next? You may have already received a letter if you're likely to have been affected. But HMRC has said many people didn't act on the letter - perhaps because they thought it was a scam or didn't need to take action. If you think you're eligible for HRP you can still claim without the letter. You can make a claim on the Government website here. The process takes about 15 minutes. You can also claim by post by filling in a CF411 form which can be downloaded off the link above or call the HMRC helpline on 0300 200 3500.
Metro
17 hours ago
- Business
- Metro
Martin Lewis' MSE says parents with kids aged 47 to 16 could be owed thousands
Finance guru, Martin Lewis' Money Saving Expert has issued new pension advice for thousands of Brits. If you took time off work to look after your children between 1978 and 2010, you could actually be owed tens of thousands of pounds, due to National Insurance gaps that may have reduced your state pension. The loophole also applies if you took a career break to care for someone with a long-term disability or illness. Previously, the government was taking the time to contact those impacted – but now, the onus is completely on you to claim the cash back. Between 1978 and 2010, a system called the Home Responsibilities Protection (HRP) was in place to ensure that those who didn't earn enough to accrue a state pension through paid work – mainly women who were caring for their family members – weren't financially penalised. During this time period, you were eligible for the benefit from the birth of your child, to their 16th birthday. This means, those children now would be aged between 47 and 15. It was automatically handed out to those who were either claiming child benefit or income support, specifically while caring for someone with a long-term illness, effectively reducing the number of National Insurance credits needed to qualify for a full state pension. It meant that, if you needed 30 years' worth of NI credits to receive the pension, but took five years off in the late 1970s or onwards to look after your child, the system would've lowered the number you'd need to be eligible to 25. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video These back payments can end up being rather hefty, as one woman, named Cilla, revealed to MSE that she recently received 15 years' worth of missed payments amounting to £31,674. But in the latest Money Saving Expert newsletter, Martin Lewis's team says that the system was completely 'beset with errors' – and as a result, the hundreds of thousands who cared for children had gaps in their NI records that, plainly, shouldn't have been there. The finance gurus remind us that you're most likely to be impacted if you: Are currently aged between 41 and 90 (though it mainly impacts women in their 60s and 70s) Took time out from paid work either to look after a child or a person with a long-term disability or illness between 1978 and 2010 Claimed child benefit but stayed at home to look after a child or a person with a long-term disability or illness between 1978 and 2010 Didn't include your National Insurance number on your claim. Wondering whether you're being paid the correct amount in state pension? There are a few different ways you can check. It's worth noting that HMRC issued letters to those likely to be impacted by the missing HRP by the end of June 2025, though MSE notes that many still haven't acted on this. More Trending But if you're still not sure, you can take a look at your state pension forecast or statement, which you can do either by logging into the Gov UK website or by calling the Future Pension Centre. They'll be able to post a copy of your statement – but you'll need to have your National Insurance number to hand when you call. Then, if you do find you're not receiving a full state pension when you should be – or your forecast says you're not on track for one – you'll need to check your National Insurance record to identify any gaps. View More » This can also be done on the Gov UK website, or by calling the National Insurance Helpline on 0300 200 3500. And if you're successful, your pension pot could end up significantly heavier. Do you have a story to share? Get in touch by emailing MetroLifestyleTeam@ MORE: Should I take a mortgage holiday? The pros and cons if you need a financial break MORE: I'm scared my lesbian relationship will mean I can't afford a baby MORE: 'I was scared of being judged' – The last taboo of motherhood Your free newsletter guide to the best London has on offer, from drinks deals to restaurant reviews.
Daily Mirror
17 hours ago
- General
- Daily Mirror
Older women urged to check for State Pension back payments worth over £8,300
The DWP has said thousands of women may be owed back payments in State Pension - but many haven't claimed yet. The reason might surprise you The Department for Work and Pensions (DWP) has revealed that between January 8, 2024 and March 31, 2025, a joint State Pensions corrections exercise with HM Revenue and Customs (HMRC), identified 12,379 State Pension underpayments to women due to incorrect National Insurance records. In 2022, the DWP discovered several State Pension cases where it seemed that historic periods of Home Responsibilities Protection (HRP) were missing, resulting in inaccurate State Pension payments. To date, approximately £104 million in arrears have been paid out, with an average payment of £8,377. Retirement expert Helen Morrissey is encouraging older individuals to fill out the online form or get in touch with the Pension Service if they believe they have been affected. This comes after new research from the DWP highlighted the main reasons why those who received a letter from HMRC asking them to check their State Pension - as it could be incorrect - failed to do so. HMRC has dispatched over 370,000 letters - primarily to women - urging them to verify their State Pension payments as they may be lower than what they are entitled to. However, DWP research suggests that the majority of people who received a letter did not proceed to apply for HRP, reports the Daily Record. Barriers included not understanding the letter, thinking the communication was a scam and relying on digital methods to make a claim. HRP was a scheme intended to safeguard parents' and carers' entitlement to the State Pension and was superseded by NI credits from April 6, 2010. HMRC is using National Insurance records to identify individuals who may have been entitled to Home Responsibilities Protection between 1978 and 2010 but have no HRP on their NI record. Post May 2000, it became compulsory to include a NI number on claims, hence those claiming after this point will not have been affected. The head of retirement analysis at Hargreaves Lansdown said: "This research lays bare the complexities the government faces in resolving the long running issue of underpaid State Pensions. "The State Pension system has become so confusing that even when the UK Government has communicated with those who may have a claim, the complexity and jargon has put many of them off. This means many thousands are getting less than they are entitled to." "Issues identified by the government include the use of jargon. Many simply didn't understand what was being asked of them -that mistakes made decades ago had been identified and could be rectified." "Terms such as Home Responsibilities Protection haven't been used for many years - it's understandable that people may have little recollection as to whether they claimed it or not," theye explained. "The reliance on online forms to claim refunds was also a significant barrier, with many not feeling internet savvy enough to navigate the system without help." READ MORE: HMRC warning to anyone with a pension pot who's tempted to cash in early Ms Morrissey went on: "Notably many people decided not to take action because they feared doing so might actually reduce their state pension or they were scared that they had been targeted by scammers. It's clear the government faces an uphill battle if it is to successfully reunite those affected with their extra pension payments. "The introduction of the New State Pension system in 2016 was meant to simplify things - and it should, but again challenges remain for these younger groups. Those who opted out of Child Benefit because of the High-Income Child Benefit Charge will not have known that by doing so they risk missing out on National Insurance credits towards their State Pension." The UK Government has implemented measures to address this issue, but Ms Morrissey cautions it remains something that can "trip people up and so awareness needs to be raised on an ongoing basis". The retirement specialist continued: "Encouraging people to check their State Pension record to see if there are any gaps is vital - if there are mistakes, then they have time to correct them." "If the gap has occurred during a period of time when they qualified for a benefit, such as Child Benefit, then they can backdate a claim and get the gaps filled for free. There's also the option of paying for voluntary contributions to make sure you get the most from your state pension." How to use the online HRP tool You might still be eligible to apply for HRP, for full tax years (6 April to 5 April) between 1978 and 2010, if any of the following were true: You were claiming Child Benefit for a child under the age of 16 You were caring for a child with your partner who claimed Child Benefit, instead of you You were getting Income Support because you were caring for someone who was sick or disabled You were caring for a sick or disabled person who was claiming certain benefits Additionally, you can apply if, for a full tax year between 2003 and 2010, you were either: A foster carer Taking care of a friend or family member's child ('kinship carer') in Scotland Who automatically qualified for HRP The guidance on clarifies that most individuals automatically received HRP if they were: Getting Child Benefit in their name for a child under 16 and they had given the Child Benefit Office their National Insurance number Getting Income Support and they did not need to register for work because they were taking care of someone who was sick/disabled If your partner claimed Child Benefit instead of you If you reached State Pension age before 6 April 2008, you cannot transfer HRP. However, you may be able to transfer HRP from a partner you lived with if they claimed Child Benefit while you both cared for a child under 16 and they do not need the HRP. They can transfer the HRP to you for any 'qualifying years' they have on their National Insurance record between April 1978 and April 2010. This will be converted into National Insurance credits. Married women or widows You cannot get HRP for any complete tax year if you were a married woman or a widow and: You chose to pay reduced rate Class 1 National Insurance contributions as an employee (this is commonly known as the small stamp) You chose not to pay Class 2 National Insurance contributions during self-employment If you were caring for a sick or disabled person You can only claim HRP for the years you spent caring for someone with a long-term illness or disability between 6 April 1978 and 5 April 2002. You must have spent at least 35 hours a week caring for them and they must have been getting one of the following benefits: Attendance Allowance Disability Living Allowance Constant Attendance Allowance The benefit must have been paid for 48 weeks of each tax year on or after 6 April 1988 or every week of each tax year before 6 April 1988. Even if you are over the State Pension age, you can still apply. However, any increase in State Pension that may have been due for previous years will not usually be paid. If you were receiving Carer's Allowance There's no need to apply for HRP if you were receiving Carer's Allowance. You'll automatically receive National Insurance credits and would not typically have needed HRP. If you were a foster carer or caring for a friend or family member's child You must apply for HRP if, for a full tax year between 2003 and 2010, you were either:. All of the following must also be true: You haven't received Child Benefits You weren't employed You didn't earn enough money in a tax year for it to count towards the State Pension Article continues below If you reached State Pension age on or after 6 April 2010 Any HRP you had for full tax years before 6 April 2010 was automatically converted into National Insurance credits, if you needed them, up to a maximum of 22 qualifying years. A comprehensive overview of HRP can be found on here.
Daily Record
20 hours ago
- Business
- Daily Record
Older women urged to check for State Pension back payments worth over £8,300
The Department for Work and Pensions (DWP) has said that between January 8, 2024 and March 31, 2025, a joint State Pensions corrections exercise with HM Revenue and Customs (HMRC), identified 12,379 State Pension underpayments to women whose National Insurance (NI) records are incorrect. In 2022, the DWP became aware of a number of State Pension cases where it appeared that historic periods of Home Responsibilities Protection (HRP) were missing, leading to inaccurate State Pension payments. So far, around £104 million in arrears have been paid out, with an average payment of £8,377. Retirement expert Helen Morrissey is urging older people to complete the online form or contact the Pension Service if they think they have been affected after new research from the DWP showed the main reasons why those who have received a letter from HMRC asking them to check their State Pension - as it could be wrong - have failed to do so. HMRC has sent out more than 370,000 letters - mostly to women - urging them to check their State Pension payments as they may be lower than they are entitled to. However, the DWP research indicates that the majority of people contacted by letter did not go on to apply for HRP. Barriers included: Not understanding the letter Thinking the communication was a scam Reliance on digital methods to put in a claim HRP was a scheme designed to help protect parents' and carers' entitlement to the State Pension and was replaced by NI credits from April 6, 2010. HMRC is using NI records to identify as many people as possible who might have been entitled to HRP between 1978 and 2010 and have no HRP on their NI record. After May 2000, it became mandatory to include a NI number on claims so people claiming after this point will not have been affected. The head of retirement analysis at Hargreaves Lansdown, said: 'This research lays bare the complexities the government faces in resolving the long running issue of underpaid State Pensions. The State Pension system has become so confusing that even when the UK Government has communicated with those who may have a claim, the complexity and jargon has put many of them off. This means many thousands are getting less than they are entitled to. 'Issues identified by the government include the use of jargon. Many simply didn't understand what was being asked of them -that mistakes made decades ago had been identified and could be rectified. 'Terms such as Home Responsibilities Protection haven't been used for many years - it's understandable that people may have little recollection as to whether they claimed it or not. 'The reliance on online forms to claim refunds was also a significant barrier, with many not feeling internet savvy enough to navigate the system without help.' Ms Morrissey continued: 'Notably many people decided not to take action because they feared doing so might actually reduce their state pension or they were scared that they had been targeted by scammers. It's clear the government faces an uphill battle if it is to successfully reunite those affected with their extra pension payments. 'The introduction of the New State Pension system in 2016 was meant to simplify things - and it should, but again challenges remain for these younger groups. Those who opted out of Child Benefit because of the High-Income Child Benefit Charge will not have known that by doing so they risk missing out on National Insurance credits towards their State Pension.' The UK Government has put measures in place to deal with this, but Ms Morrissey warns it remains something that can 'trip people up and so awareness needs to be raised on an ongoing basis'. The retirement expert added: 'Encouraging people to check their State Pension record to see if there are any gaps is vital - if there are mistakes, then they have time to correct them. 'If the gap has occurred during a period of time when they qualified for a benefit, such as Child Benefit, then they can backdate a claim and get the gaps filled for free. There's also the option of paying for voluntary contributions to make sure you get the most from your state pension.' How to use the online HRP tool You may still be able to apply for HRP, for full tax years (6 April to 5 April) between 1978 and 2010, if any of the following were true: you were claiming Child Benefit for a child under 16 you were caring for a child with your partner who claimed Child Benefit instead of you you were getting Income Support because you were caring for someone who was sick or disabled you were caring for a sick or disabled person who was claiming certain benefits You can also apply if, for a full tax year between 2003 and 2010, you were either: Who qualified automatically for HRP The guidance on explains that most people got HRP automatically if they were: getting Child Benefit in their name for a child under the age of 16 and they had given the Child Benefit Office their National Insurance number getting Income Support and they did not need to register for work because they were caring for someone who was sick or disabled If your partner claimed Child Benefit instead of you If you reached State Pension age before April 6, 2008, you cannot transfer HRP. However, you may be able to transfer HRP from a partner you lived with if they claimed Child Benefit while you both cared for a child under 16 and they do not need the HRP. They can transfer the HRP to you for any 'qualifying years' they have on their National Insurance record between April 1978 and April 2010. This will be converted into National Insurance credits. Married women or widows You cannot get HRP for any complete tax year if you were a married woman or a widow and: you had chosen to pay reduced rate Class 1 National Insurance contributions as an employee (commonly known as the small stamp) you had chosen not to pay Class 2 National Insurance contributions when self-employed If you were caring for a sick or disabled person You can only claim HRP for the years you spent caring for someone with a long-term illness or disability between April 6, 1978 and April 5, 2002. You must have spent at least 35 hours a week caring for them and they must have been getting one of the following benefits: Attendance Allowance Disability Living Allowance at the middle or highest rate for personal care Constant Attendance Allowance The benefit must have been paid for 48 weeks of each tax year on or after April 6, 1988 or every week of each tax year before April 6, 1988. You can still apply if you are over State Pension age. You will not usually be paid any increase in State Pension that may have been due for previous years. If you were getting Carer's Allowance You do not need to apply for HRP if you were getting Carer's Allowance. You'll automatically get National Insurance credits and would not usually have needed HRP. If you were a foster carer or caring for a friend or family member's child You have to apply for HRP if, for a full tax year between 2003 and 2010, you were either: a foster carer caring for a friend or family member's child ('kinship carer') in Scotland All of the following must also be true: you were not getting Child Benefit you were not in paid work you did not earn enough in a tax year for it to count towards the State Pension If you reached State Pension age on or after 6 April 2010 Any HRP you had for full tax years before April 6, 2010 was automatically converted into National Insurance credits, if you needed them, up to a maximum of 22 qualifying years. A full overview of HRP can be found on here.
