HMRC tells households ‘don’t miss’ £1,354 benefit that boosts State Pension | Personal Finance | Finance

HM Revenue and Customs (HMRC) is urging households not to miss out on a benefit worth at least £1,354 per year that can also boost their State Pension in the future.

Parents and carers who are responsible for raising a child under the age of 16 (or under 20 if they stay in approved education or training) can claim Child Benefit from HMRC. It is paid every four weeks and currently gives parents £26.05 per week for their first child, and £17.25 for any additional children. It means that parents with one child can get £1,354.60 per year from HMRC, while those with two children can get £2,251.60 and parents with three children can get £3,148.60.

But there’s no limit – other than the Benefit Cap – which means if you had four children, or five, and so on, you could get even more than £3,148, with £897 for each additional child.

HMRC issued a reminder to households on Thursday (March 5) to make a claim and gain at least £1,354 per year to help with childcare costs – and boost your State Pension payments.

In a post on X (formerly Twitter), HMRC said: “Don’t miss out on Child Benefit! Over 1.4 million parents and carers have claimed Child Benefit online.

“£26.05/week for your first child, £17.25/week for each additional child. Plus National Insurance credits towards your State Pension. Claim today via the HMRC app or online. Find out more here.”

Child Benefit doesn’t just help with childcare costs as it can also help to boost your State Pension payments as you receive National Insurance credits automatically just by claiming it and if your child is under 12, and these count towards your State Pension.

This can help to plug any gaps in your National Insurance record, such as if you’re not working or you don’t earn enough to pay National Insurance contributions, which can affect how much you’ll get once you start claiming your State Pension in the future.

To get any new State Pension at all, you’ll need a minimum of 10 qualifying years on your National Insurance record and generally, you’ll need at least 35 qualifying years to get the full rate, which is currently £230.25 per week.

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Child Benefit is also due to rise from April 6 by 3.8% to £27.05 per week for the eldest child and £17.90 for additional children, giving eligible claimants an extra boost of cash from April.

You can claim Child Benefit 48 hours after you’ve registered the birth of your child, or once a child comes to live with you, and it can be backdated for up to three months from the date you make the claim.

Only one person can get Child Benefit for a child, so it’s up to parents and carers to decide who is the best person to claim it. Whoever makes the claim will get the National Insurance credits towards their State Pension.