State Pension Reviews

State Pension Reviews

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I have recently heard from two clients who have received letters from The Pension Service advising them that the amounts of State Pension they have been paid over the years have been wrong.

The first client had been underpaid and received a lump sum as well as increased future amounts.

The second client had been overpaid and will receive less in the future but he does not have to pay back the excess for previous years. He also received a letter from NIC Office detailing the COD, but it differed from the amount shown in the letter from The Pension Service. 

I phoned NIC Office and was advised that The Pension Service have been reviewing individuals' NIC over the years and have found that "quite a number" of people have been paid the wrong amount of State Pension since reaching retirement age! The letter from NIC Office should not have been issued, as it referred to the COD that would have been correct when the individual was 65 (he is now 75).

All very confusing for elderly clients and potentially an unexpected reduction in their income!

Another fine mess!

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