State pension UK: How much new rates are is explained ahead of amount rise in April 2020 | Personal Finance | Finance
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The state pension is a payment which can be claimed by the eligible person once they reach state pension age. That said, it doesn’t have to be claimed at this age – as a person can instead defer it should they wish to.
There are two types of state pension, and these are the basic state pension and the new state pension.
The type a person can get is dependent on when they were born and when they reached state pension age.
Men born before April 6, 1951 and women born before April 6, 1953 can claim the basic state pension.
However, those who were born later would need to claim the new state pension instead.
READ MORE: What state pension will I get when I retire?
State pension payments are dependent on a person’s National Insurance record.
How much is the basic state pension?
The most a person can currently get under the basic state pension is £129.20 per week, the government website states.
How much is the new state pension?
Meanwhile, the full new State Pension is £168.60 per week.
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The actual amount a person gets depends on their National Insurance record.
The Department for Work and Pensions (DWP) has also pointed out that some people may receive less than the full rate because they were previously in an occupational pension scheme, therefore receiving those benefits in addition to the state pension.
In April 2020, the state pension will rise by 3.9 percent.
This is under the triple lock mechanism, which means it increases each year by whichever is the highest out of 2.5 percent, the average rise in earnings, or inflation.
Meanwhile, the weekly rate of the basic state pension would increase by £5.05, reaching £134.25 per week.
However, some people will receive less than this amount, and others more.
It’s possible to get a state pension forecast online, using the “Check your state pension” tool on the Gov.uk website.
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