Like every year, the May bank holidays affect state pension and benefit payment dates as the DWP does not make payments on bank holidays
The Department for Work and Pensions (DWP) is set to pay thousands of older Brits their state pension early this week due to the late May bank holiday.
Like every year, the two bank holidays in May affect payment dates as the DWP does not pay the state pension or benefits on bank holidays. So, if you are due a payment on the bank holiday Monday next week, then you will get it early this month.
If you are due a payment on Monday, May 26, your payment will instead come to you on Friday, May 23 instead. This is because this is the last working day before the bank holiday.
You can find out if you are impacted by the bank holiday changes through the two-digit code linked to your pension payments.
State pensions are paid every four weeks, and the day your payments are issued depends on your national insurance number – and more specifically, the last two digits.
These digits specify which day of the week you will get your pension payment – and the following numbers cover each day.
- 00 to 19 – paid on Monday
- 20 to 39 – paid on Tuesday
- 40 to 59 – paid on Wednesday
- 60 to 79 – paid on Thursday
- 80 to 99 – paid on Friday
It’s important to note that there are different rules if you live abroad. So, if your national insurance number ends with a number between 00 and 19 then your usual state pension payment will be affected next week.
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If you’re due to be paid on a different day, you won’t need to do anything – the money will be paid into your account as normal. The amount you get will also remain the same, and it will also be paid into the same account in which you normally receive your state pension payment.
It’s also very important to note that although receiving your state pension payment earlier may sound like a good thing, it does mean that you need to make your money last longer, even if it is just by one day.
If your money does not arrive in your account on the new payment date, you will need to contact the Pension Service as soon as possible. This is because government offices will be closed on the bank holiday. You can contact the Pensions Service by calling 0800 731 0469.
The DWP currently pays two different state pensions; the basic state pension and the new state pension. Which one you get will depend on when you were born and when you reach the state pension age.
You can claim the basic state pension if you’re a woman born before April, 6 1953, or a man born before April, 6 1951. If you are born after both of these dates, you will claim the new state pension.
The basic state pension increased from £169.50 per week to £176.45 from April. As you are paid every four weeks, you should receive a payment worth £705.80 a month if you get the full rate.
The new state pension rate rose from £221.20 per week to £230.25 in April. Those claiming this will receive a monthly payment of £921 per month.
It’s very important to note that state pensions are paid in arrears, so you will only get the new rates if you have a full four weeks after the new rates were introduced on April 7.
For example, if you received your state pension payment on Friday, April 4 then the new rates had not yet been introduced. This meant when you received your state pension payment on Friday, May 2 – you received the old rates. As the four week cycle began again after the new rates increased – your next state pension payment on May 30 will be the higher rates.
Those whose state pension is being paid early this week should receive the new rates.
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