KnowMyPay

Is it worth topping up your State Pension?

Buying a missing National Insurance year is one of the best-value uses of a lump sum. This works out what it costs, what it adds for life, and how quickly it pays back.

Updated for 2026/27 Checked against gov.uk · last reviewed 2026-09-06
Net gain over 20 years of retirement
£18,640
Buying 3 full years costs £2,870 and adds £1,076 to your pension every year for life.
Extra per year, for life
£1,076
Extra per week
£20.68
Pays back in
2 years 8 months
Check your gov.uk State Pension forecast for gaps. Most people can fill up to 6 recent years.
From State Pension age (currently 66, rising to 67). A man of 66 lives about 19 more years on average, a woman about 21.

Estimate only, using 2026/27 rates. Check your own forecast and speak to the Future Pension Centre before paying, as some years may not raise your pension.

How the top-up maths works

The new State Pension is built from qualifying National Insurance years. You need about 35 years for the full amount, and each year is worth one thirty-fifth of it. If you have gaps, for example from time abroad, low earnings or caring years that were not credited, you can often pay to fill them with voluntary Class 3 contributions.

Cost of one full year (Class 3, 2026/27)£18.40/week · £957/year
Extra pension one year buys£6.89/week · £359/year
Break-evenabout 2 years 8 months

Worked example

Suppose you have three gap years you can fill. At about £957 each, that is £2,870 up front. It lifts your State Pension by roughly £1,076 a year, every year, for the rest of your life. After about 2 years 8 months you have recovered your outlay, and everything after that is gain. Over a typical 20-year retirement those three years are worth about £21,510 in extra pension, a net gain of £18,640.

Before you pay

  • Check your forecast first. Log in to your gov.uk State Pension forecast to see your gaps and whether filling a year actually raises your amount. Some years, especially recent ones you are still building, will not.
  • Note the deadlines. You can usually go back six tax years; older years have special deadlines.
  • Call the Future Pension Centre. They confirm which specific years are worth buying for you. This is free.

Common questions

Is it worth topping up my State Pension?

For most people, yes. One voluntary Class 3 year costs about £957 and adds roughly £359 to your State Pension every year for life. That pays for itself in about 2 years 8 months, so if you live longer than that in retirement you are better off. Always check your State Pension forecast first, because some years will not increase your pension.

How much does one year of voluntary National Insurance cost?

A full Class 3 year for 2026/27 costs about £18.40 a week, which is about £957 for the year. Older years can sometimes be cheaper or dearer.

How much does one extra year add to my pension?

The full new State Pension is based on 35 qualifying years, so one year adds one thirty-fifth of it, about £7 a week, or roughly £359 a year.

Why can gov.uk not tell me if a year is worth buying?

The forecast shows your record and the cost, but not whether a specific year raises your own pension, which depends on your full history. That is the gap this tool helps you reason about. Confirm with the Future Pension Centre before you pay.

Sources

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