Voluntary NI Contributions – Should I Use Them?

How do you get the best State Pension deal? Ideally, the solution is to get 35 “qualifying years” onto your National Insurance (NI) record. Doing so provides £230.25 a week under the full new State Pension in 2025-26 (i.e. £11,973 a year).

However, what if you do not have 35 qualifying years on your record? Here, voluntary National Insurance Contributions (NICs) could be an option. In this guide, we explain how voluntary NICs work, when they can be suitable for an individual, and some other options to consider.

What are Voluntary National Insurance Contributions?

To get any State Pension at all, you need at least 10 years of NICs on your record. After that, your income is largely determined by how many “full” or “qualifying” years you have accumulated.

The calculation for determining a “full” year can be complex, but is determined on weeks (if based on credit) or annual income across the tax year (6th April – 5th April).

If you have not contributed enough in NICs to earn a full year (in a previous tax year), this will show up on your National Insurance record. You can check this for free online using gov.uk/check-national-insurance-record.

Any “incomplete” years will appear on the list of tax years in your account. Some of these years might entitle you to some income in the future when you claim your State Pension. Others may not provide any at all.

Some of these gaps in your record could be “rebuilt” by making voluntary NICs. This involves contacting HMRC, discussing your situation and arranging payment (if you decide to go ahead).

How much does it cost?

In 2024-25, the rate for a Class 3 standard voluntary contribution was £17.45 per week (about £907.40 for a full year). In 2025-26, this has increased to £17.75 a week, in line with inflation- i.e. £923 to cover a full year.

Voluntary NICs are not dependent on earnings. You can pay them regardless of how much you earn or even if you earn nothing.

Certain individuals might qualify to make Class 2 contributions (low-earning self-employed). Here, a standard voluntary contribution was £3.45 per week in 2024-25 (about £179.40 for a full year). In 2025-26, this has risen to £3.50 – i.e. £182 for a full year.

This latter system is targeted at people whose earnings are below the small profits threshold. HMRC decides whether you’re eligible to pay Class 2 contributions, and it usually applies if you lived/worked abroad or had a small business.

Should I make voluntary NICs?

Naturally, there is no need to make further contributions if you already have 35 qualifying years on your NI record (or you will achieve this by the time you retire).

However, if you have an incomplete NI record, voluntary contributions could be a good idea. This is especially so if you have fewer than 10 qualifying years on your record (in which case, you are at risk of not receiving any State Pension at all).

A voluntary contribution could add £6.32 more a week (£328.64 a year) in State Pension income (2024-25 rates). For instance, if you live another 20 years after claiming your State Pension, this could add £6,000+ to your income across retirement.

This raises the question of longevity. If your health is good and you expect to live a good while after reaching State Pension age, then voluntary NICs become more worthwhile. However, if you have a low life expectancy (e.g. 3-5 years), the contributions may not pay for themselves.

Ideas for retirement planning

If you are in a committed relationship (e.g. married or in a civil partnership), also consider your partner’s/spouse’s State Pension. Remember, each person can receive their own income based on their NI record once they reach their State Pension age (currently 66 for men and women).

Suppose one person has a complete NI record, but the other does not. One option could be to work together to bring the latter’s record up to 35 qualifying years using voluntary NICs. After all, you could both benefit from the combined income in retirement.

Despite the power of the State Pension, it is also important to recognise its limits. On its own, the State Pension is unlikely to provide most people with a comfortable retirement income. To achieve your goals, you will probably need additional income sources to work alongside your State Pension – e.g. annuities, flexi-income drawdown (from pension savings) or defined benefit pensions from a former employer.

Here, it can help to explore your options with a financial adviser to aim towards a healthy and sustainable income across retirement. If you want to ensure you’re taking the right steps to safeguard your financial future, please get in touch.

The value of your investments and pensions (and any income from them) can go down as well as up which would have an impact on the level of benefits available