While you might be aware of some perks of retirement – such as the free bus pass and the State Pension – there are many other benefits you could be claiming during your retirement.
If you’re not receiving everything you’re entitled to, you’re not alone. According to a recent report from Hargreaves Lansdown, a massive £2 billion of these benefits go unclaimed each year. And while some of these benefits are means-tested, others are dependent solely on your age.
Some benefits are received directly from the government and will be applied automatically, while others need to be claimed. Private companies and organisations also offer pensioner perks.
Here are some pensioner benefits you could be inadvertently missing out on.
1. The winter fuel payment
The winter fuel payment is designed to help cover the cost of household bills during the colder months. This is especially welcome this year, as the cost of living and the rising energy price cap looks set to leave many Brits struggling.
To qualify for a winter payment in 2022/23, you’ll need to have been born on or before 25 September 1956. You’ll also need to be living in the UK during the qualifying week, usually commencing on the third Monday in September, which this year is 19 September 2022.
The payment varies between £100 and £300, depending on your age and whether anyone else in your household qualifies.
The amount you receive will be sent automatically. It will be applied on top of any other one-off payments issued by the government in response to the current cost of living crisis.
The government website can help if you think you are eligible but haven’t received the payment you are due.
2. A free bus pass (and more discounted travel)
You’ll usually receive a free bus pass when you reach State Pension Age in England, although entitlement can vary in other parts of the UK. In Wales, Scotland, and Northern Ireland you can usually travel for free from age 60.
For those living in London, public transport becomes free from age 60, but only within London.
You might also consider a Senior Railcard. Starting from £30 for the year (or £70 for three years), you’ll be entitled to a third off most rail travel. This is worth an average annual saving of around £98.
3. Health and lifestyle
Healthcare
From the age of 60, prescriptions and eye tests become free of charge. You might also be entitled to free dental treatment on the NHS.
TV license
The government withdrew its funding of free TV licenses for the over-75s in 2020. From 1 August 2020, you can still get your TV license for free, but only if you are over age 75 and also in receipt of Pension Credit. This benefit is available to pensioners on low incomes.
You could save £159 a year during 2022/23.
Shops and company discounts
Many shops, private companies, and organisations also offer discounted rates for those in retirement. Discounted gym memberships, attraction tickets at reduced rates, and cut-price lifetime memberships, all exist if you shop around and know where to look.
Here are some of the benefits on offer.
- Boots – Double points (eight instead of four) for each pound spent with its Over 60s Rewards scheme.
- Odeon Silver Cinema – special screenings for over-60s at quieter times of the day, with tickets from £3.50, including tea, coffee, and biscuits.
- Sports events and season tickets – Local sports teams offer discounts, including £2 off Leicester Tigers match tickets and £10 off Club Membership Plus at Leicestershire Cricket Club.
Retailer Iceland also announced an over-60s discount in May 2022. As reported by iNews, the over-60s will receive a 10% discount, every Tuesday, with no minimum spend. As with some of the other promotions mentioned above, you’ll need to show proof of age, which could include a senior bus pass or railcard, as well as photo ID like a driving licence.
4. The State Pension
If you have at least 10 qualifying years on your National Insurance record, you’ll be eligible for the State Pension. The current State Pension Age is 66.
To receive the full State Pension, you’ll need 35 qualifying years. You’ll then be in line to receive the current full State Pension of £185.15 a week, or £9,627.89 a year.
You can use the government website to check your State Pension forecast and get a better idea of how much you might receive. It might be possible to make a top-up to ensure you receive the full amount.
5. National Insurance contribution benefits (unless you keep working)
In 2021, the government announced a rise in National Insurance, which came into force in April 2022. From 2023, it will become the “Health and Social Care Levy”.
The levy amounts to a 1.25 percentage point rise in National Insurance contributions (NICs) for employers and employees. From April 2023, it will also mark the first time that workers over the State Pension Age have been asked to make NICs.
It is still important to note, though, that if you stop working at State Pension Age you will also stop paying NICs.
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