ALMOST one million pensioners could miss their £1,800-a-year retirement investment as well as additional benefits and gifts.
Retirement credit gives you extra cash if you reach state pension age and have a low income, and it offers many other benefits.
MoneySavingExpert founder Martin Lewis says it’s important to apply for retirement credit, as it can help you access additional financial assistance as well as extra cash.
This benefit is designed to help retirees low income by giving them extra money to help cover living costs.
The amount you receive depends on your specific circumstances, including whether you have a partner, whether you have a disability, and whether you have child care responsibilities.
The maximum basic allowance is currently £177.10 for singles and £270.30 for couples. From April this will increase to £182.60 and £278.70 respectively.
According to the latest data, 958,000 people are missing out on pension credit, with £1.8 billion going unclaimed.
That is to say, the average person of state pension age is losing £1,878.91 a year.
“The reason this is so important is because it is a gateway benefit,” Martin said on ITV’s Martin Lewis Money Show Live.
If you qualify for retirement credit, you can also get other benefits like a free TV license for over-75s.
You can apply for a discount on council tax and cold weather payments.
Martin added: “It’s really important to trigger getting this.”
How can I apply for retirement credit?
According to official government figures, almost one million people are eligible miss Pension Credit worth an average of £938.63.
To qualify, you (or your partner if you live with one) must have reached State Pension Age, i.e. currently set at 66.
You also need to live in England, Scotland or Wales
Your household income will be calculated when you apply, and if you do not meet the threshold, you will be awarded an additional deposit.
Your income includes:
- Pension scheme
- Other pensions
- income from employment and self-employment
- most social security benefits, eg Carer Allowance
If you have £10,000 or less in savings and investments, this will not affect your Pension Credit.
If you have more than £10,000, every £500 over £10,000 counts as £1 weekly income.
You can start your application up to four months before you reach State Pension age.
You can apply any time after reaching State Pension age but your application can only be deferred after three months.
You can use the online service if:
- you have applied for your State Benefit
- no children or youth are included in your application
You can register online using government services.
Alternatively, you can apply by phone at the Pension Credit claim line on 0800 99 1234.
To register by mail, print out and fill out the Pension Credit claim form or call the complaints line to request one.
https://www.thesun.co.uk/money/17436058/pensioners-missing-out-on-extra-pension-credit-cash/ One million pensioners could lose up to £1,800 a year