Class 3 NICs are a voluntary contribution paid by those wishing to fill gaps in their NICs’ record and can be used by those who have not made enough compulsory contributions in order to benefit from the full basic State Pension and for bereavement benefit purposes.

Individuals can pay by monthly direct debit or receive quarterly bills from HMRC in July, October, January and April.

HMRC suggest the following reasons that you may want to pay voluntary contributions:

• you’re close to State Pension age and don’t have enough qualifying years to get the full State Pension
• you know you won’t be able to get the qualifying years you need to get the full State Pension during your working life
• you want to increase the bereavement benefits your spouse or civil partner gets if you die
• you’re self-employed and don’t have to pay Class 2 contributions because you have low profits or live outside the UK, but you want to qualify for some benefits.

The application form (CA5603 ) to pay voluntary Class 3 NICs has recently been updated.