More women could be eligible for extra pension cash

The Department for Work and Pensions (DWP) released details of how up to 19,000 county residents could benefit as it called on women in their late 50s to avoid missing out on more money in retirement.

Traditionally many women have missed out on state pension money because of taking time out to have children or care for elderly relatives.

From April 2010, both men and women will only need 30 years’ of National Insurance contributions to get a full basic pension, rather than the current 44 for men and 39 for women, and new credits will help stay-at-home mums and carers build up full records.

Some women can buy an extra six years of voluntary National Insurance contributions to boost their pension by as much as £20 a week adding up to an extra £20,000 in retirement.

Angela Eagle, minister for pensions and ageing society said: “In the past, millions of women who chose to stay home and care for family and children have missed out on pension cash in retirement.

“From April 2010 this, at last, will change and the system will be fairer for women and carers so that 9 out of 10 women will be able to build up a full basic pension in their own right, making it more universal and generous.”

Terry Moran, head of the Pension Service, said there are five simple things women can do to plan ahead with confidence.

BLOB Make sure you know the exact date when you can get your state pension from, as this is changing for women.

BLOB Find out how much state pension you have built up by getting your own state pension forecast.

BLOB Explore your work options. If you work past state pension age you won’t pay any National Insurance so you’ll take home more money each month.

BLOB Think about whether putting off your pension could boost your money in retirement.

BLOB Find out if buying extra National Insurance contributions could give you a bigger pension.

For more information visit log on to direct.gov.uk/pensions