Eoghan Murphy
Question:74. Deputy Eoghan Murphy asked the Minister for Social Protection her Department's policy on dependants (details supplied). [52052/13]
View answerWednesday, 4 December 2013
Questions (74)
Written answers
The personal rate of State pension contributory is a non means-tested payment based on PRSI contributions paid to the Social Insurance Fund over a working life. To qualify a person needs to:
- enter insurable employment by age 55 for State Pension (transition) and age 56 for State Pension (contributory);
- have paid 520 full rate social insurance contributions;
- have a yearly average contributions of at least 10 for State pension (contributory), and at least 24 for State pension (transition).
The yearly average determines the weekly rate of payment.
An increase in the State pension for a spouse or partner (qualified adult) can be paid. This element of the State pension is means tested. Any income the qualified adult has from employment, self-employment, savings, investments and capital (for example, any property except the person’s home) is taken into account. Where there is joint savings or investments with the spouse or partner, half of that amount is taken into account. An increase for a qualified adult may be payable if the qualified adult has weekly income of less than €310.00.
The assessment of means is a way of checking if a person has enough means to support themselves and what amount of payment, if any, they may qualify for. The rules for assessing entitlement to an increase in the State pension for a spouse or partner (qualified adult) are provided for in social welfare legislation. I’m afraid that it is not therefore possible to exclude certain savings or investments on the basis that they have been set aside for a specific purpose, such as that outlined by the Deputy.
Where a person does not meet the qualifying conditions for State pension contributory, they may apply for the means-tested State pension non-contributory. The means test for State pension non-contributory takes into account the income and assets of both the claimant and his or her spouse or partner. Capital, property (excluding a person's home), savings and investments are assessed as capital and a formula is then used to assess the weekly means from capital. The weekly rate payable depends on the total weekly means of the person or couple.
The formula for assessing means from capital is as follows:
|
Capital |
Weekly means assessed |
|
First €20,000 |
Nil |
|
Next €10,000 |
€1 per €1,000 |
|
Next €10,000 |
€2 per €1,000 |
|
Balance |
€4 per €1,000 |
It is the policy of the Department to carry out regular reviews of benefits paid and where additional information is made available reviews of cases are carried out which may affect the benefit in payment.
In relation to caring and support from my Department, it is open to those who wish to avail of the carer’s schemes to apply for and be assessed for same. It is worth noting that the means test used in relation to the carers scheme is a more generous means test to that used for the qualified adult payment. A person who is currently in receipt of a social welfare payment may also qualify for a half rate carer’s allowance payment. I would encourage that those who need to avail of this scheme to apply for it.