Dáil Éireann Debate, Wednesday - 25 October 2023
121. Deputy Claire Kerrane asked the Minister for Social Protection if farmers who were in receipt of farm assist between the years 1998 and 2016, and who accrued class S contributions during this time are eligible for the State pension; if she will advise on any changes to the system of calculating class S contributions from those on farm assist regarding the State pension since 2016; and if she will make a statement on the matter. [46808/23]
View answerThe Farm Assist scheme was introduced in 1999 to provide income support for low income farmers. It replaced the former smallholders’ unemployment assistance payment. In line with the then existing arrangements for unemployment assistance (including smallholders) and pre-retirement allowance, the income of farm assist recipients was exempt from class S PRSI for self-employed workers. Recipients of farm assist who had previously paid class S social insurance had the option of paying voluntary contributions to maintain their social insurance record, including their entitlement to State pension contributory, provided they satisfied the qualifying conditions.
Since 1st January 2007, the exemption from class S PRSI has been removed and those receiving jobseeker’s allowance and farm assist are subject to class S PRSI as self-employed contributors on their self-employed income, provided their annual income is €5,000 or more.
Since April 1988, class S contributions are reckonable for the State Pension (contributory). A minimum of 520 paid contributions, which may be class S, are required to access the State Pension (contributory).
There has been no changes to how Class S contributions are assessed for State Pension purposes since 2016.
I hope this clarifies the matter for the Deputy.
