1. What you may get

You don’t have to claim your State Pension as soon as you reach State Pension age. You may get extra money if you defer your State Pension.

If you reach State Pension age on or after 6 April 2016

The State Pension is changing. There are different rules for deferring your state pension if you’re:

  • a man born on or after 6 April 1951
  • a woman born on or after 6 April 1953

If you reach State Pension before 6 April 2016

Extra State Pension

You may earn extra State Pension if you put off claiming your State Pension for at least 5 weeks.

Your State Pension will increase by 1% for every 5 weeks you put off claiming. This is the same as 10.4% for every full year you put off claiming.

Example
You get the full State Pension of £113.10 per week.

Your basic State Pension will be £5,881.20 a year.

By deferring for a year, you’ll get an extra £611 (10.4% of £5,881.20).

Once you claim your State Pension, any extra State Pension you have built up will usually increase each year.

Lump sum payment

You may choose to get a one-off lump sum payment if you put off claiming your State Pension for at least 12 months in a row. This will include interest of 2% above the Bank of England base rate.

Your extra State Pension counts as income and you have to pay tax on it. Your lump sum is taxed at the highest tax rate that applies to your other income.

Get help and advice

Find an Information Point to get face-to-face advice or leaflets about the State Pension.

You must make an appointment to get face-to-face advice.

You can also download guidance notes on State Pension deferral.