If you're retiring because of ill-health you may be able to take your benefits before the set age. If you have serious ill-health and your life expectancy is less than a year you can retire at any age. You can take up to 100 per cent of your pension fund as a tax-free lump sum.
You need 30 years of National Insurance Contributions or credits to be eligible for the full basic State Pension. This means you were either: working and paying National Insurance.
You do not pay National Insurance after you reach State Pension age - unless you're self-employed and pay Class 4 contributions. You stop paying Class 4 contributions at the end of the tax year in which you reach State Pension age.
Your employer and any pension provider will normally tell HM Revenue & Customs (HMRC) when you retire. To prevent a delay that might result in an overpayment or underpayment of tax, you should also tell them. If you're self-employed and about to retire, you must always contact HMRC.
In the UK, everyone over the age of 60 gets free prescriptions and NHS eye tests. You can also get free NHS dental treatment if you're over 60 and claiming pension guarantee credits or other benefits if you're under state pension age.
You might not get a full State Pension if you contracted out
Normally, you need to have paid 35 years of National Insurance contributions to qualify for the full new State Pension. However. Back in the day many workplaces offered pension schemes that allowed you to 'contract out' of the State Pension.
If you're not getting the full amount or are not on track for it, then it's worth considering topping up. The cost of doing this is effectively subsidised by the Government which means it can be very good value for money.
You usually need a total of 30 qualifying years of National Insurance contributions or credits to get the full basic State Pension. If you have fewer than 30 qualifying years, your basic State Pension will be less than £141.85 per week.
Probably the biggest indicator that it's really ok to retire early is that your debts are paid off, or they're very close to it. Debt-free living, financial freedom, or whichever way you choose to refer it, means you've fulfilled all or most of your obligations, and you'll be under much less strain in the years ahead.
Unfortunately, the answer is no. The earliest age you can begin receiving Social Security retirement benefits is 62. There is a catch. You will reduce your benefit amount if you take Social Security benefits before reaching your new standard retirement age.
Retiring at 50 isn't easy, mainly because you'll have fewer years to accumulate assets. How you can make up for that loss of time varies. If you're fortunate enough to draw a large salary, you could afford to invest more modestly and still have enough wealth to retire by 50.
Taking money out of your pension is known as a drawdown. 25% of your pension pot can be withdrawn tax-free, but you'll need to pay income tax on the rest. You can choose whether to withdraw the full tax-free part in one go or over time.
In 2019, the average retirement age was 65.3 years old for men and 64.3 for women. This figure has fluctuated over the years, sinking to 63.1 and 60.6 in 1995 for men and women respectively, from highs of 67.2 and 63.9 in 1950.
If you continue working
Show your employer proof of your age (a birth certificate or passport, for example) to make sure you stop paying National Insurance. If you do not want your employer to see your birth certificate or passport, HM Revenue and Customs ( HMRC ) can send you a letter to show them instead.
You can usually pay voluntary contributions for the past 6 years. The deadline is 5 April each year. You have until 5 April 2022 to make up for gaps for the tax year 2015 to 2016. You can sometimes pay for gaps from more than 6 years ago, depending on your age.
Thus, if you're not paying your National Insurance contributions you'll end up with gaps in your NI record, and won't be able to qualify for some benefits. On top of that, you'll be penalised by the HMRC for missing your National Insurance payments.
The full new State Pension is £185.15 per week. The only reasons you can get more than the full State Pension are if: you have over a certain amount of Additional State Pension.
The short answer is, yes you can. There are lots of reasons you might want to access your pension savings before you stop working and you can do this with most personal pensions from age 55 (rising to 57 in 2028).
For men and women, you can access your state pension from age 66. The state pension age is scheduled to rise to 67 between 2026 and 2028. However, you can access your private or workplace pension when you reach age 55.
Whether or not you've reached state pension age, the level of state pension income you receive could be affected if you were ever contracted out of SERPS or S2P. The new state pension was introduced from 6 April 2016. If you reached state pension age before this, you'll receive the old 'basic state pension'.
For up to date information on winter fuel allowance see the government grants guide. Every household with someone aged 60 or over is entitled to help towards their winter energy costs.
You qualify for a Winter Fuel Payment if both the following apply: you were born on or before 25 September 1956. you lived in the UK for at least one day during the week of 19 to 25 September 2022 - this is called the 'qualifying week'
Winter Fuel Payment is an annual tax-free payment for households that include someone born on or before 25 September 1956. It's designed to help you cover your heating costs in winter.