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Pensions Reform

Dáil Éireann Debate, Wednesday - 24 February 2021

Wednesday, 24 February 2021

Questions (559)

Catherine Connolly

Question:

559. Deputy Catherine Connolly asked the Minister for Social Protection her plans to extend eligibility to persons aged 65 years who do not have the required paid contributions for 2019 but who have many years of contributions prior to that with regard to the newly announced benefit payment; the provisions that will be made for persons aged 65 years who had a gap in contributions for 2019 before they resumed in 2020; and if she will make a statement on the matter. [9485/21]

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Written answers

I recently announced the introduction of the new Benefit Payment for 65 Year Olds. This fulfils a key commitment in the Programme for Government to provide a benefit payment for people who are aged 65 and who are required to or who choose to retire early, without a requirement to sign on, partake in any activation measures or be available for and genuinely seeking work.

This new payment is specifically designed to bridge the gap for people who are required to or who choose to retire at age 65 but who do not qualify for the State Pension until they reach age 66.

To be eligible to apply for the payment a person must no longer be engaged in employment or self employment. New applicants must also satisfy the PRSI conditionality for the scheme which includes having the required contributions in the Governing Contribution Year (GCY), which is the second last complete tax year. For example, for a claim in 2021 the second last complete tax year is 2019.

If a person does not have the required 13 paid contributions in the GCY they must have the 13 contributions paid in either of the two tax years before the GCY, the last complete tax year or the current tax year.

Jobseekers Benefit is normally paid for 9 months (234 days) for people with 260 or more PRSI contributions paid and for 6 months (156 days) for people with fewer than 260 PRSI contributions paid. Jobseekers over 65 years of age whose benefit had expired may be paid benefit up until pensionable age (66 years) provided they satisfy the necessary contribution conditions.

Any person who does not meet the qualifying conditions for receipt of the new Benefit Payment for 65 year olds may apply for the means tested jobseeker's allowance subject to satisfying the rules of that scheme.

If the Deputy has a specific case in mind, the details should be forwarded to the Department for review of the individual circumstances.

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