Martin Lewis shares “one of the most substantial life-changing financial pieces” of advice

Martin Lewis revealed how Britons can ensure they get their full state pension when they retire.

The money-saving expert gave his advice when he appeared on Good Morning Britain (GMB) today to discuss his new ITV show, The Martin Lewis Money Show Live, which will hit screens in two episodes tonight.

In the first episode, which he describes as a “must watch for 45-70s,” Martin looks at how people check to see if they’re on track to get their full retirement, and what they can do to boost that .

He explained that missing National Insurance years means people are not getting their full pensions, but there is an opportunity to make up certain missing years through voluntary National Insurance contributions.

Martin revealed that the deadline for making voluntary contributions has just been extended – it was due to expire next month, but now people can take advantage of the scheme until April 2025.

Speaking on GMB this morning, he said, “This is probably one of the most substantial life-changing financial pieces out there, but it’s fundamentally underfunded.

‘The fact is that you need sufficient national insurance to receive your full state pension when you retire. Now the full number is around 35 [years’ worth] – it’s not 35, don’t think it’s 35, it’s around 35. There’s no exact number. I have to say that every time.

“So what I’m going to talk to people about step-by-step tonight is how to check if you’re on your way to a full state pension.

And if you’re not on your way to a full state pension, you can go to gov.uk to see which National Insurance years you’re missing out on. The crucial thing is that at this point you can go back years to 2006.’

He explained that the scheme was about to end but had been extended, as the phone lines were overcrowded with people calling to make sure they could make payments and increase their pensions.

Martin added that the phones were so busy “mainly because [he’d] have done shows on the matter. And he said that while the extension meant people had longer to try out the plan, he warned “don’t rest on your laurels.”

Martin: ‘This is very important, and certainly for everyone who already receives state pension, the faster you do it, the faster you will gain it.

‘So the way it works is you can either get some National Insurance years for free in some cases, or you pay up to £800 for a National Insurance year. For some people it can be much cheaper than that.

Martin took to Twitter to share his reaction to the news that the government is extending the deadline for the voluntary payments

And for every year you buy if you don’t have the full state pension, it adds £250 a year to your pension.

‘So… you pay £800, that works out to £250 a year, the break-even point is three years. Most people live 20 years in their state pension, which is why they get so much more, but it’s fundamentally underexposed.’

He added that millions of people should potentially get this money, and it is inflation proof, and tens of thousands of people could benefit from it. He has described the numbers as complicated, but has said that if people reach traditional life expectancy, they will essentially get £5,000 back for every £100 spent.

After the government announced it would extend the deadline, Martin Lewis took to Twitter to respond to the news.

He wrote: ‘I suspect it’s no coincidence that this announcement comes out the day before my special on it, with the Minister of Pensions coming up, knowing I’d make a fuss about people having to call the Future Pension Service 100 times sooner. they get an answer.

“All in all, the extension is very good news.”