Author Topic: Why Do My Calcultions Not Agree With Pensions Service  (Read 855 times)

Prudence

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Why Do My Calcultions Not Agree With Pensions Service
« on: Sep 03, 2019, 04:09:47 PM »

I have recently been widowed, until now I did not receive enough state pension to pay income tax, but now I do. The pensions department have informed the tax office of my income from them as higher than I calculate.


I have counted my pension that has been paid to me since April 19, from my bank account, and the new amount which I will receive from them until March 20, thirteen payments in all.


I have taken this up with the pensions service, who inform me that my calculations are incorrect, but they do say that their original figure was TOO LOW. They say that the computer has worked this out ( of course ) but how can they dispute the figures which can be proved by me ? I have worked in accounts most of my working life, so I do know what I'm doing, Ah yes, they say, but we work things out differently ! On a weekly basis, but the actual money paid cannot be changed, even though they might like to.

Diasi

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Re: Why Do My Calculations Not Agree With Pensions Service.
« Reply #1 on: Sep 03, 2019, 04:41:20 PM »
I have recently been widowed, until now I did not receive enough state pension to pay income tax, but now I do. The pensions department have informed the tax office of my income from them as higher than I calculate.

I have counted my pension that has been paid to me since April 19, from my bank account, and the new amount which I will receive from them until March 20, thirteen payments in all.

I have taken this up with the pensions service, who inform me that my calculations are incorrect, but they do say that their original figure was TOO LOW. They say that the computer has worked this out ( of course ) but how can they dispute the figures which can be proved by me ? I have worked in accounts most of my working life, so I do know what I'm doing, Ah yes, they say, but we work things out differently ! On a weekly basis, but the actual money paid cannot be changed, even though they might like to.

Although the State Pension is a taxable payment, it isn't a high enough amount to incur tax on it's own as it's below the tax threshold,  so I have to assume that you have other income, which you haven't mentioned in your post.

Therefore it's difficult to make an informed reply.

The State Pension is calculated as a weekly amount although it's paid monthly.

P.S. Welcome to the forum.
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GrannyMac

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Re: Why Do My Calcultions Not Agree With Pensions Service
« Reply #2 on: Sep 03, 2019, 05:57:52 PM »
Its important to know whether the state pension is paid per calendar month or every four weeks.
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Diasi

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Re: Why Do My Calcultions Not Agree With Pensions Service
« Reply #3 on: Sep 03, 2019, 06:01:15 PM »
Its important to know whether the state pension is paid per calendar month or every four weeks.

The State Pension isn't paid per calendar monthly, it can be paid either weekly or 4 weekly or 13 weekly.
Make every day count, each day is precious.
"Death leaves a heartache no one can heal, love leaves a memory no one can steal".  (Cassandra)

GrannyMac

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Re: Why Do My Calcultions Not Agree With Pensions Service
« Reply #4 on: Sep 03, 2019, 06:17:06 PM »
Apologies! Other pensions tend to be calendar monthly.
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Goingtoseed

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Re: Why Do My Calculations Not Agree With Pensions Service.
« Reply #5 on: Sep 04, 2019, 07:47:50 PM »
Although the State Pension is a taxable payment, it isn't a high enough amount to incur tax on it's own as it's below the tax threshold,  so I have to assume that you have other income, which you haven't mentioned in your post.

Therefore it's difficult to make an informed reply.

The State Pension is calculated as a weekly amount although it's paid monthly.

P.S. Welcome to the forum.

At the moment in my case the 'old' State Pension is just under the £12500 threshold by £19 a week so no tax is payable if that was my only taxable income. But it is getting ever closer to going over in time.

Diasi

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Re: Why Do My Calculations Not Agree With Pensions Service.
« Reply #6 on: Sep 04, 2019, 10:39:21 PM »
At the moment in my case the 'old' State Pension is just under the £12500 threshold by £19 a week so no tax is payable if that was my only taxable income. But it is getting ever closer to going over in time.

The old State Pension is £129.20 per week so I'm struggling to make that more than £6,718.40 per year.

From your figures you must be getting a State Pension of around £221 per week.


Make every day count, each day is precious.
"Death leaves a heartache no one can heal, love leaves a memory no one can steal".  (Cassandra)