NI Exemption - what does it mean for benefits?

[kindredspirits]

I can't get a straight answer out of anyone in the Tax office - I have done my tax and worked out that I will be earning £1200 profit this year estimated from last years figures. This puts me well into the qualification for a NI exemption certificate, but what i cannot work out is how it will affect any future benefit entitlement. For example maternity allowance??

Anyone know anything that can help here?
thanks, Anna xx

[huggableshelly]

you wont beable to claim maternity allowance.

You are not allowed to sickness allowance either but I think that goes on being self employed rather than NI

you will still gain a state pension (if one exists by then) but it may possibly be lower.

I havent got my exemption form to hand but I worked out what I would lose wouldnt matter as not planning on having another baby.

[Princess Sara]

You can choose to pay it back to make yourself up-to-date later down the line iyswim. But untill then you won't be eligable for benifits as pp said.

Although I heard that if you are looking after (your own) children under 12 it gets paid for you but you're not eligable for benifits? Can't remember where I heard this, or if it is even true though.

[Chatterbox Childcare]

You don't get anything - no maternity, sick pay etc... Can affect your pension too.

Would get specialist advice

Personally, I had a friend who had cancer and had treatment and took time off from minding. She had paid her Class 2 (about £100 per year) and got some money back. Seems a small price to pay

[SmartKids]

I queried this last year with the tax office - they said won't affect your state pension if you have the responsibility for your own children under 16yrs but you can't claim other benefits.

[sarah707]

I queried this last year with the tax office - they said won't affect your state pension if you have the responsibility for your own children under 16yrs but you can't claim other benefits.

That's exactly what I have always been told. :D

[Pauline]

I queried this last year with the tax office - they said won't affect your state pension if you have the responsibility for your own children under 16yrs but you can't claim other benefits.

and it can be extended if they stay on for further education - or it could when mine where that age, although it is over10 years ago!

[barbarella68]

When you say responsibility of own children,do you mean with no partner and only a single parent will get a pension.

[sarah707]

I do not pay NI because my contributions are covered by the fact I have children at home.

My pension credits are made up of when I used to work and pay NI and my ex-husband's contributions.

If I get remarried I will be covered by my new husband's contributions (rather than the exes).

If you intend to have another child take advice ...

I also suggest you get yourself a pension forecast so you can see how it all works.

Hth :D

[haribo]

so if your married and your hubby pays full ni does it cover you? my hubby said yes and the tax office said no so ive just opted to pay class 2 voluntarily , do i not need to then? my earnings are low eough to get an exemption certificate again but my youngest just turned 18 so i thought id be better paying? can anyone advise me what to do for the best

[Chatterbox Childcare]

so if your married and your hubby pays full ni does it cover you? my hubby said yes and the tax office said no so ive just opted to pay class 2 voluntarily , do i not need to then? my earnings are low eough to get an exemption certificate again but my youngest just turned 18 so i thought id be better paying? can anyone advise me what to do for the best

If you want the health benefits or maternity benefits then pay it.

[haribo]

dont think i would claim those benefits ever to be honest ,i just dont want to have no pension when i retire. would this be the case ? my kids are both over 18 now .

[kindredspirits]

am i right in thinking however if i ws unable to work due to illness etc that having a 2 year old son and dh out of work they wouldn't tell me i'm not entitle to any support??