CASH LIFELINE
12 freebies and discounts you can get on the state pension this month worth up to £10,820
Find out how to unlock savings in your later years
ANYONE receiving the state pension can tap into extra freebies and discounts worth thousands of pounds.
The benefit is paid to those who have reached the state pension age, which is currently 66.
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Those claiming the full new state pension receive £221.20 a week, equal to £11,501 a year.
If you haven't got any other savings or a private pension to help you get by, this sum won't stretch too far.
But fortunately, the benefit unlocks other valuable perks that can help ease financial pressures, including discounts on monthly bills, such as energy, council tax.
These extra benefits can help you to enjoy life after work without worrying about money.
Read more on the state pension
Here is what you could claim this month to save yourself thousands of pounds...
Free bus pass - £988
If you live in England, you can get a bus pass giving you free travel when you reach the state pension age.
Or if you're in London, you can travel free on buses, tubes and other transport when you’re 60 years old.
An annual bus pass costs £988 in the capital.
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Could you be eligible for Pension Credit?
National Insurance exemption – £1,791.44
When you reach state pension age, you no longer have to pay National Insurance (NI).
This means you get to keep more of your earnings if you're still working.
The threshold for NI payments is currently £242 a week from one job for employed people or £12,570 a year for self-employed workers.
If you're earning the average UK salary of £34,963, this would translate to a saving of £1,791.44.
Pension Credit – £3,900 a year
If your weekly income is below £218.15 and you’re single, or your joint income is below £332.95, you're very likely to be eligible for Pension Credit.
This added benefit will top up a pensioner's income to the level outlined above. It's thought to be worth £75 a week on average, which adds up to £3,900 a year.
An estimated 800,000 people who are entitled to this cash, don't claim it.
Not only are they missing on the extra money, but there is more support available if you claim Pension Credit.
Crucially, the Winter Fuel Payment worth up to £300 and paid in November or December is now being restricted to pensioners claiming Pension Credit and other means-tested benefits.
If you claim Pension Credit, you can also get help with council tax, support with mortgage interest payments, and a free TV licence and housing benefit if you rent. More details on these are outlined below.
Crucial to claim Pension Credit if you can
HUNDREDS of thousands of pensioners are missing out on Pension Credit.
The Sun's Assistant Consumer Editor Lana Clements explains why it's imperative to apply for the benefit..
Pension Credit is designed to top up the income of the UK's poorest pensioners.
In itself the payment is a vital lifeline for older people with little income.
It will take weekly income up to to £218.15 if you’re single or joint income to £332.95.
Yet, an estimated 800,000 don't claim this support. Not only are they missing on this cash, but far more extra support that is unlocked when claiming Pension Credit.
With the winter fuel payment - worth up to £300 now being restricted to pensioners claiming Pension Credit - it's more important than ever to claim the benefit if you can.
Pension Credit also opens up help with housing costs, council tax or heating bills and even a free TV licence if you are 75 or older.
All this extra support can make a huge difference to the quality of life for a struggling pensioner.
It's not difficult to apply for Pension Credit, you can do it up to four months before you reach state pension age through the government website or by calling 0800 99 1234.
You’ll just need your National Insurance number, as well as information about income, savings and investments.
Cold weather payment – £25
As well as the Winter Fuel payment, people on Pension Credit are also eligible for cold weather payments.
These ad-hoc payments are worth £25 every time the average temperature in your area is recorded as, or forecast to be, 0 degrees Celsius or below over seven consecutive days.
Warm home discount – worth £150
The Warm Home Discount Scheme is a one-off £150 discount off your electricity bill.
You can qualify if you are on Pension Credit.
If you’re eligible, your electricity supplier will apply the discount to your bill.
Free council tax – up to £2,171
If you get the guarantee part of Pension Credit, you might be able to get your council tax completely cancelled out.
With the average Band D council tax in England this year at £2,171, it means a big saving.
If you don’t get Pension Credit but have a low income and less than £16,000 in savings, you may still get some help.
You need to contact your local council to start a claim.
Free dental treatment – £26.80
You’re entitled to free dental treatment if you or your spouse receives the Guarantee Element of Pension Credit.
The exact amount you can save depends on whether you need extra work. At the minimum, you'll save the cost of a check-ups which is £26.80 on the NHS.
Crowns cost as much as £319.10, meaning that you can make big savings if you need extra work.
Free TV licence – £169.50
If you’re over 75 and get Pension Credit, you can get a free TV licence. which costs £169.50 a year.
You also get the benefit if you live with a partner who gets Pension Credit.
or by phoning TV licensing on 0300 790 6071.
Savings credit – £884.52
Savings Credit is linked to Pension Credit and you can get up to £17.01 a week if you’re single, while a couple gets up to £19.04 a week.
To qualify, you need to have reached state pension age before April 6, 2016.
You also must have some additional money saved for retirement, usually in a workplace scheme.
You don’t need to receive the Guaranteed Element of Pension Credit to get Savings Credit.
Free prescriptions – £114.50
Everyone aged over 60 gets free prescriptions in the UK.
The prescription charge is currently £9.90 saving pensioners.
If you are getting regular prescriptions - for example, each month, the savings mount up
A prescription pre-payment certificate cost £114.50 and save people money under state pension age if you need more than 11 prescribed items in a single year.
Discounted broadband costs - £300
Most broadband companies have social tariffs, which are usually available to people who claim Pension Credit.
The amount you'll save varies, though it can be worth hundreds of pounds as one woman previously revealed.
There's a list of all the providers with social tariffs on telecoms regulator Ofcom's website.
Discounted water bills - £300
If you’re on a low income, you may be able to get a social tariff from your water provider.
These vary by company, some companies offer a percentage discount, while others offer a fixed rate.
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For example, under South East Water’s Social Tariff scheme your annual bill will be capped at £182.82 (East) or £146.94 (West).
The average water bill is £448 a year, according to Water UK meaning in this case you could save more than £300.
How does the state pension work?
AT the moment the current state pension is paid to both men and women from age 66 - but it's due to rise to 67 by 2028 and 68 by 2046.
The state pension is a recurring payment from the government most Brits start getting when they reach State Pension age.
But not everyone gets the same amount, and you are awarded depending on your National Insurance record.
For most pensioners, it forms only part of their retirement income, as they could have other pots from a workplace pension, earning and savings.
The new state pension is based on people's National Insurance records.
Workers must have 35 qualifying years of National Insurance to get the maximum amount of the new state pension.
You earn National Insurance qualifying years through work, or by getting credits, for instance when you are looking after children and claiming child benefit.
If you have gaps, you can top up your record by paying in voluntary National Insurance contributions.
To get the old, full basic state pension, you will need 30 years of contributions or credits.
You will need at least 10 years on your NI record to get any state pension.
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