Dáil Éireann Debate, Tuesday - 22 October 2019
595. Deputy Michael Healy-Rae asked the Minister for Employment Affairs and Social Protection if the pension of a person (details supplied) will be reviewed; and if she will make a statement on the matter. [43077/19]
View answerThe person concerned applied for State pension (contributory) on 14 September 2018 and was awarded a pension at 85% of the maximum rate with effect from their 66th birthday.
Their pension entitlement was subsequently reviewed in July 2019 under a new Total Contributions Approach (TCA) to pension calculation which includes provision for homecaring periods. The person’s pension entitlement, based on their full-rate contributions and credits, plus homecaring periods, increased to 90.14% of the maximum rate of State pension (contributory), with effect from their 66th birthday. They were notified in writing of this decision on 12 July 2019.
Provisions also exist for the award of a mixed insurance pro rata state pension, where a person has substantial periods of PRSI coverage that are not reckonable for pension purposes, in this case their employment in the Department of Education. Whether or not such a pension is more advantageous to a person depends upon their individual circumstances. Their pro rata pension entitlement was assessed as 85.36% of the maximum pension rate, which is less than their 90.14% pension entitlement based on their full-rate social insurance record.
The person concerned is on the most financially beneficial rate of State pension (contributory) and the correct rate of pension commensurate with their contribution history. They have been notified accordingly on 17 October 2019.
I hope this clarifies the matter for the Deputy.
