Dáil Éireann Debate, Tuesday - 9 April 2024
495. Deputy Michael Moynihan asked the Minister for Education to clarify if a retiring teacher who previously served as a principal, but was not a principal at the time of retirement, can receive the principal’s allowance on their teacher’s pension; and if she will make a statement on the matter. [14667/24]
View answerThe pension benefits of teachers, as with all pensionable public servants, are governed by legislation and/or circulars and are paid in accordance with public sector pension policy.
In general teachers employed prior to 1st January 2013 are members of the legacy teachers pension schemes. Pensionable remuneration is a fundamental parameter in the calculation of personal benefits (retirement lump sum and pension) in the Primary and Post Primary School Teachers legacy pension schemes. Pensionable remuneration is based on final pay, which comprises of retiring salary plus pensionable allowances as held by the retiring teacher on his or her last day of service.
In assessing the pensionable allowances component of pensionable remuneration, any individual allowance not held for the full reckonable three-year period leading up to retirement will be averaged. Only allowances held in the previous 3 years are considered. Therefore, if the teacher concerned did not hold the allowance in the three years prior to their retirement, under the rules of the teachers' pension scheme, the allowance will not be included in the reckoning of their pension benefits.
In general, teachers employed after 1 January 2013, or those returning following a break in service are members of the Single Pension Scheme.
The Single Pension Scheme is a defined benefit scheme, with retirement benefits based on career-average pay (not final salary). Each scheme member generates pension credits and retirement lump sum credits throughout their career. These money credits, called “ referable amounts”, accrue as percentages of pay on an ongoing basis.
If teacher in question is a member of the single pension scheme than referable amounts would have accrued on the teachers' principals allowance during the period they were in receipt of this allowance.
