By Charlotte Reid 
To receive a 100% pension, the statutory age is not enough; a minimum number of years of contributions is required, which will gradually increase until 2027.
In the UK, reaching the statutory retirement age does not guarantee access to a full pension. An employee who has contributed for 36 years and five months will be denied a full pension by the Social Security Service in 2025. The reason lies in the 2013 pension reform, which tightened the requirements for applicants and set a minimum contribution period of 36 years and six months for 2025 and 2026 in order to receive a full pension base. This system, which many people are unaware of, is being phased in until 2027.
Keys to accessing a full pension
It is important not to confuse the requirements for retirement with the requirements for receiving 100% of the benefit. To be eligible for a pension, you must have a minimum pensionable service of 15 years, but the age for this varies. In 2025, the standard retirement age is set at 66 years and 8 months. However, it will be reduced to 65 if the worker can prove that they have contributed for more than 38 years and three months. As economic expert Pilar García de la Granja warns, eight out of ten people believe that their current job entitles them to a pension, the amount of which depends on their salary, but the system is more complex.
The path to a full pension is a long-distance race. Law 27/2011 established a gradual increase in both the retirement age and the insurance period required to receive 100% of the standard base. Those who do not reach the threshold of 36.5 years of contributions by 2025 will be able to retire, but their pensions will be smaller. This scenario has led to difficult situations, such as when a pensioner had to return €60,000 after the Social Security Service suspended his pension payments.
Pension calculation: what percentage am I entitled to?
The percentage of the compulsory base received depends directly on the number of years of contributions. With a minimum of 15 years of service, you are entitled to 50%. After that, the percentage gradually increases. For example, with 16 years of contributions, the amount reaches 52.52%. To illustrate this with a practical example: an employee with a mandatory base of €1,500 per month will earn €750 for 15 years of contributions. Only if he can prove that by 2025 his length of service will be 36.5 years will he receive the full amount of €1,500.
A long career with contributions also does not guarantee additional benefits, unless the person decides to retire early. This is the case of José Antonio Benito, who was dismissed and forced to retire early at the age of 61: ‘I started working at the age of 14, and after 45 years of contributions, 24% of my pension was taken away for life.’ These situations highlight the importance of knowing how pensions are calculated, especially given the increase in pensions for a certain group of pensioners in September.
100% of the standard base is not the maximum pension amount
Another confusing concept is the difference between receiving 100% of your pension and receiving the maximum pension. Receiving 100% means receiving the full individual pension base, which is calculated based on contributions over the last 25 years. This amount is unique to each employee.
On the other hand, the maximum pension is a statutory limit paid by the Social Security Service, regardless of whether the pensioner’s tax base is higher. For 2025, this limit is set at €3,267.60 per month (€45,746.40 per year, divided into 14 payments). As explained by Minister for Inclusion and Social Security Elma Saiz, even if an employee meets all the requirements to receive 100%, they will never be able to exceed the maximum amount set by law.