Self-employed 'big winners' from new state pension

New state pension comes into force today

Carmen Reichman
clock • 3 min read

The self-employed will be the 'big winners' from the government's new flat rate state pension, as others are set to lose out, provider Aegon has said.

Self-employed workers will be better off under the new rules because they will have access to the same £155.65 a week pension entitlement as others. Under the previous system, the self-employed were excluded from the additional earnings-related pension others were entitled to, so their maximum possible state pension was £119.30 - £36.35 less. The new single-tier pension comes into force on 6 April, offering those who have paid full rate National Insurance contributions (Class 2 for the self-employed) for 35 years or more the full rate £8,000 a year. Under the previous system, entit...

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