If you earn more than the Lower Earnings Limit (For 2007/08 tax year this is £5,435), then you will get a notional credit towards your secondary state pension even though you have not made any National Insurance contributions.
For this to be effective your employer must report your earnings at the end of the tax year on the employers end of year return form P35 and form P14.
You should ensure that you get a P60 from your employer showing your earnings at the end of the year, as this will prove that your earnings have been declared to the HMRC, and mean that you receive a notional credit for state pension purposes.
By Jo Nockels
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