Share this page:
Stay connected:
Welcome to the Citywire Money Forums, where members share investment ideas and discuss everything to do with their money.

You'll need to log in or set up an account to start new discussions or reply to existing ones. See you inside!

Notification

Icon
Error

Tricky one - landord abroad, class 2 or 3?
Lorraine Smith
Posted: 16 February 2018 05:59:57(UTC)
#1

Joined: 16/02/2018(UTC)
Posts: 1

Hi

Hoping for some opinions on the following situation if that's OK.

I am 50. I left full time employment in 2006 and started investing in buy to let property. All NI contributions stopped. I think I am eligible to pay class 2 contribtions for this period, as I meet the criteria as advised in the National Insurance Manual NIM23800 (extract below). I am effectively 'Bob'. I have 11 properties and have actively built these up over the years. I managed the properties myself, working full time as a landlord.

Extract from national insurance manual
Bob owns ten properties which are let out to students. He works full time as a landlord and is continually seeking to increase the number of properties he owns for letting. Bob is running a business for NICs purposes.


I have lived abroad since mid 2013. I contacted the contributions office who said if I want to top up my pension I can pay class 2 from the time I left the UK. However they added I would have to pay class 3 from 2006 to mid 2013, my time from stopping full time emplyment to leaving the UK.

So my questions are...

1) I think I qualify for class 2 prior to going abroad also. The form that I filled in asking pay contributions from abroad wasn’t adequate enough to explain my situation was Bob, that’s why I think HMRC have come back and said class 3. Has anyone experienice of this?
2) If so,is it just a case of calling HMRC and informing them of this, or do I need proof, and if so what would this need to be?
3)I have paid 21 qualifying years years, and need at least another 10 years to get full pension. If HMRC are adamant I have to pay class 3 for the years 2006 to mid 2013, do I just start paying my 10 years starting mid 2013 at the class 2 rate (hope that makes sense)?

Thanks for any suggestions/thoughts!
andy mac
Posted: 16 February 2018 12:01:00(UTC)
#2

Joined: 12/02/2016(UTC)
Posts: 219

Thanks: 132 times
Was thanked: 187 time(s) in 103 post(s)
I think you need 35 years to get a full pension and if any of the 21 yrs you were opted out it will be more or get less

With 17ytears to go until the current pension age ( may be 70 by the time you get there ) I think you need a crystal ball to guess what might happen

Good luck
+ Reply to discussion

Markets

Other markets