National Insurance credits in 2022: what they are and your eligibility

What are National Insurance credits? What are they used for? Am I eligible? If you cannot pay National Insurance contributions, you may be eligible for National Insurance credits. Then, you could fill gaps in your record. This is important for benefits such as State Pension. Your Benefits will tell you everything you need to know.

What are National Insurance credits?

You may be wondering what National Insurance credits are. Credits can aid in filling in gaps that you may have in your National Insurance record. Indeed, National Insurance can help you get financial aid like the State Pension. If you are eligible to be claiming benefits, you could qualify.

You could be eligible for National Insurance credits if you are not making National Insurance contributions. Indeed, this could be because you receive certain benefits. Then, if you qualify for these certain benefits because of an illness, or you are not working, you could be eligible.

There are two types of National Insurance credits. The first is Class 1 credits. These help you to receive certain rates of State Pension. Additionally, they can aid in receiving other types of benefits. In other words, these credits can count towards your State Pension.

Benefits impacted by National Insurance

Not only are some benefits impacted by National Insurance, but some are impacted by the type of National Insurance that you pay. More specifically, they are as follows:

Indeed, the type of National Insurance that you pay impacts the benefits above. As such, it’s important to know if you are eligible for Class 1 or Class 3 credits. Depending on which you earn, you will be eligible for different financial aid. 

How to get National Insurance credits

You can receive National Insurance credits if you are eligible. Then, you may not have to apply. You could get credits automatically. However, if this is not the case, you may have to apply. 

You may be able to transfer National Insurance credits if you received some through applying for Child Benefit. Then, you could give credits to your partner or spouse. In fact, this is if you made National Insurance contributions for one year. This is also known as a ‘qualifying year’.

You may want to see if you have any credits already. Then, you may do so on the Gov.UK website. Furthermore, you may have tried to get credits, but it shows up incorrectly on your record. Then, you need to notify the office to which you made your claim.

Can I get National Insurance credits?

There are a lot of situation that may make you eligible for National Insurance credits. You may be on sick pay or have a disability or illness. In fact, you could receive Statutory Sick Pay. Additionally, you could not make enough to have a ‘qualifying year’. Then, you can apply for Class 1 credits at the following address:

PT Operations North East England
HM Revenue and Customs
BX9 1AN
United Kingdom

When applying, make sure that you give your National Insurance number. Additionally, indicate the person who would receive the credits, and how you qualify. 

You could also receive Employment and Support Allowance (ESA). You also qualify if you receive the Unemployability Allowance or Supplement. Then, you will automatically receive Class 1 credit. If you do not get ESA but are eligible, you need to claim ‘new style’ ESA to receive Class 1 credits.

You could be looking for a job. If you do not get Jobseeker’s Allowance (JSA), notify a Jobcentre in your area to receive Class 1 credits. If you do get Jobseeker’s Allowance (JSA), you need to also either be working 16 hours or more weekly, or not be in education. Then, you will automatically receive Class 1 credits.

National insurance credits for parents

You could be a parent, or will soon be one. If you registered for Child Benefit for a child younger than 12 years old, you will automatically receive Class 3 National Insurance credits. This is the case even if you do not get the benefit.

Finally, you may live in Scotland and be a kinship carer or foster carer. Then, you may apply for Class 3 credits. You can do so online on the Gov.UK website.

If you receive the Maternity Allowance, you will automatically receive Class 1 credits. However, you may instead get one of the following benefits:

• Adoption Pay;
• Paternity Pay;
• Additional Statutory Paternity Pay;
• Statutory Maternity Pay.

Additionally, you may not be able to have a qualifying year. Then, you need to apply to receive Class 1 credits. Indeed, you will need to include your National Insurance number, how you qualify, and the person that will receive the credits. Send your form to the address shown earlier in the article.

What if I’m a parent but in another situation?

You may be a parent or carer whose situation is different. Indeed, you may have lived in Scotland and been a kinship or foster carer in the period of 6 April 2003 to 5 April 2010. Then, to receive Class 3 National Insurance credits, you need to apply to Home Responsibilities Protection (HRP) first.

Finally, you may want to transfer the credits to a partner or spouse. To do so, you need to apply to transfer HRP ‘between parents’. Then, you could receive Class 3 credits. 

National Insurance credits for carers

You could be a carer and receive National Insurance credits. Indeed, if you receive Carer’s Allowance, you will automatically receive Class 1 credits. You will automatically receive Class 3 credits if you care for someone regularly and receive Income Support. 

You may also be a family member older than 16 years old. Additionally, you could be below State Pension age, and caring for a child younger than 12 years old. In this case, you can claim Specified Adult Childcare Class 3 credits. 

Can I get NI credits if I get benefits?

You may receive Working Tax Credit. Additionally, you receive a disability premium. Furthermore, you may work and receive less than the Lower Earnings Limit. This is set at £6,396 for the current tax year. Otherwise, you may be self-employed and have profits below £6,725. 

If the conditions above apply to you, you could automatically receive Class 1 National Insurance credits. Other conditions may make you able to automatically receive Class 3 credits. This is the case if you get the benefit without a disability premium. Then, the earnings requirements are the same as above.

Both you and your partner may receive the benefit. Then, only one person will receive Class 3 credits. However, the National Insurance credits will be awarded automatically.

Finally, you may receive Universal Credit. If this is the case, you will automatically receive Class 3 National Insurance credits. 

Can I get credits if I am in training or jury service?

You may be older than 18 years old. Furthermore, you are on a government approved training course, recommended by Jobcentre Plus. If the course is 1 year long or less, then you will automatically receive Class 1 credits.

However, the course may last for more than a year. However, the course was not recommended to you by Jobcentre Plus. Then, you can claim Class 1 credits. You will need to give your NI number, tell how you qualify, and who will get the credits. Send your form to the address shown earlier in the article.

You may also be in jury service. Additionally, you may not be self-employed. If this is the case for you, you can claim Class 1 credits. You will need to give your National Insurance number, indicate how you qualify, and who will get the credits. Send your form to the address indicated earlier in the article.

Can I get National Insurance credits if I was wrongly imprisoned or my partner is in the armed forces?

You may have been wrongly imprisoned. If your conviction was suppressed by the Court of Appeal, or Court of Criminal Appeal for Scotland, you can claim Class 1 credits. Give your National Insurance number, how you qualify, and who will get the credits. Send your form to the address indicated earlier in the article.

Lastly, you may be a civil partner or married to someone in the armed forces. Additionally, you accompanied your partner abroad later than 6 April 1975. Then, you may have been State Pension age on 6 April 2016 or later. Then, if you do not receive Class 1 credits, you can apply for Class 3 credits.