Q. I am aged 64 and my wife is 57. We’ve been thinking about our retirement plans and, in particular, how much we’re entitled to from the state pension. As far as we’re aware, we have both accrued full service histories for the state pension. Can you help?
A. You will be entitled to your state pension on your 65th birthday. As your wife is not 60 (when she becomes entitled) for 3 years or so, you will receive the Married Persons Allowance. This is approximately £154 per week. When your wife is 60 she will receive her state pension. This will be the Single Persons Allowance and is approximately £90 per week today.
At this point your entitlement will alter to the Single Persons Allowance. Therefore, once you both reach state pension age you will both receive £90 per week, in today’s money. This amount is taxable as pension income and will increase in line with the Retail Prices Index annually (although the link to National Average Earnings has been proposed to be restored in 2012).
I hope this helps!
About Ray Prince
