Class 2 NIC top up

How to pay missing weeks

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I am dealing with a situation where a client has got a pension forecast , always been self employed, but for some years (pre 2016 when it was paid direct)  he is just short of a full year , and to take example of one of the years , it shows   48 weeks of NIC paid  .

Question ,   can he top this up by paying 4 (or 5 ) weeks of class 2 ,  or    4 or 5 weeks of class 3 .  or does he have to pay 52 or 53 weeks of class 3 ?

sorry if thats a silly question , but I have been researching and cant seem to get a staight answer 

I am aware he can go back more than 6 years , provided he does so by 2025 

 

Thank you

 

 

 

 

 

Replies (8)

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By K81
22nd Apr 2024 15:11

contact NICO & ask them to send him what to pay for the incomplete years- they should also send a payment reference.

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By FactChecker
22nd Apr 2024 15:31

... but be aware that they're not renowned for suggesting the cheapest option (when there is an option), nor indeed for hinting at whether or not that it's a 'good idea'.

So still worth doing the basic research ... about which I'm afraid I don't know the answer.

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By lionofludesch
22nd Apr 2024 15:51

In the scenario you outline, he just needs to complete the year with Class 3. If he's not self employed in any week, he's not entitled to pay Class 2, but a mix is fine.

What was he doing in those four weeks? I'm not sure what you mean vis á vis 2016. Are you saying he just forgot to pay? Or is there a possibility that he was employed (Class 1 will cover it) of sick (credits should cover it)?

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By Ianhodges
22nd Apr 2024 16:03

Thank you . As from 2015/16 onwards class 2 is included on the SA return , so being self employed all year it will be correctly paid . It was years before that when it was not on the tax return and had to be paid separately , usually by direct debit, that payments seem to be missing .

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By lionofludesch
22nd Apr 2024 17:40

Ianhodges wrote:

Thank you . As from 2015/16 onwards class 2 is included on the SA return , so being self employed all year it will be correctly paid . It was years before that when it was not on the tax return and had to be paid separately , usually by direct debit, that payments seem to be missing .

Question still remains - did he forget to pay? Though there comes a point where he can't do much about it anyway.

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By Ianhodges
25th Apr 2024 10:04

Thank you . He didnt forget to pay as far as he is concerned , he was fully self employed throughout and thought he was paying it and was happy to do so . It was only recently he found out that a few weeks were missing from some years and he doesn't understand why

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By FactChecker
22nd Apr 2024 22:39

You say you're "aware he can go back more than 6 years , provided he does so by 2025" ... so presumably he's a man born after 5 April 1951 or a woman born after 5 April 1953 (in which case the extended deadline is 5 April 2025 to pay voluntary contributions to make up for gaps between tax years April 2006 and April 2016 if eligible*).
* eligible = per https://www.gov.uk/voluntary-national-insurance-contributions

If so, your question: "can he top this up by paying 4 (or 5) weeks of class 2; or 4 (or 5) weeks of class 3; or does he have to pay 52 or 53 weeks of class 3?"
The middle 'option' is the most likely to be acceptable (if he can't prove after all this time his S-E status for the missing weeks) - the last option certainly shouldn't be needed.

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By Ianhodges
25th Apr 2024 10:05

Thank you that is really useful and I think that gives us a way of getting back to the pension service

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