Dáil Éireann Debate, Thursday - 23 July 2020
180. Deputy Michael Healy-Rae asked the Minister for Employment Affairs and Social Protection if the entitlement of a person (details supplied) to a contributory pension will be reviewed; and if she will make a statement on the matter. [17902/20]
View answerPension entitlement is determined on the basis of the eligibility conditions applicable on the date an individual reaches pension age. The person concerned was born in 1956. The new Programme for Government “Our Shared Future” states that the planned increase in the State pension age (to 67 years) next year will be deferred. This will require amendment to primary legislation which will be introduced later this year.
Future pension entitlement will depend on factors such as a person’s social insurance record, their attachment to the workforce, and their countries of employment. It is advisable that all contributors maintain their social insurance record as fully as possible over their working life.
Under current eligibility conditions an individual must have 520 full-rate paid contributions in order to qualify for State pension (contributory). Credits cannot be used to satisfy this condition. 520 full-rate contributions equate to 10 years of full-rate insurable employment.
The person’s social insurance record indicates that much of their working life has been spent in self-employment. Under current social welfare legislation, a qualifying condition for State pension (contributory) for self-employed contributors is that all self-employment liabilities must be paid in full. Failure to discharge any outstanding liabilities for any years of self-employment contributions may result in a delay in the date of eligibility for State pension (contributory).
The person concerned should apply for State pension (contributory) approximately 6 months before reaching pension age. Their entitlement to pension will then be determined on the basis of the eligibility conditions in force and they will be notified in writing of the decision. Deciding Officers must remain within the provisions of the governing legislation when determining pension entitlements.
An alternative to the State pension (contributory) is the means-tested, residency-based State pension (non-contributory). Social welfare legislation provides that the means test takes account of the income and assets of the applicant and spouse/civil partner/cohabitant as applicable. Income and assets include income from employment, self-employment, occupational pensions, maintenance payments as well as property owned (other than the family home) and capital such as savings, shares and other investments. Applicants with assessed weekly income of less than €262.50 (at current rates) may qualify for a State pension (non-contributory).
I hope this clarifies the position for the Deputy.
