Social Insurance Payments

Dáil Éireann Debate, Friday - 7 September 2018

Friday, 7 September 2018

Questions (1214)

Seán Fleming

Question:

1214. Deputy Sean Fleming asked the Minister for Employment Affairs and Social Protection if the class S PRSI for a self-employed person that is 66 years of age can be used to satisfy the minimum 260 contribution weeks for the criteria necessary to qualify for the half-rate pension in view of the fact that they satisfy the minimum 520 paid contributions condition for the State pension (contributory) eligibility; and if she will make a statement on the matter. [35635/18]

Written answers

Minister for Employment Affairs and Social Protection

The self-employed have been obliged to pay social insurance since 1988. One of the eligibility requirements for the State Pension (contributory) is that a person's first paid social insurance contribution should be 10 years before they reach state pension age. As such, self-employed people who were over the age of 55 in 1988 could not meet that requirement, and did not qualify for a contributory state pension.

In April 1999, a special pro-rata pension was introduced for them. Only people aged 56 or over on 6 April 1988 (born on or before 6 April 1932) qualify for this pension.

A person with over 520 contributions, paid or credited, will be eligible for the State Pension (contributory). They may also be eligible for the means-tested State Pension (non-contributory). Persons can apply for both pensions and will be paid whichever rate is most beneficial to them.

I hope this clarifies the matter for the Deputy.