Dáil Éireann Debate, Thursday - 24 October 2024
227. Deputy Jackie Cahill asked the Minister for Social Protection if a person born before 1946 can get credit for caring for family members in order to qualify for the contributory pension, similar to the home caring periods scheme; and if she will make a statement on the matter. [43619/24]
View answerFrom September 2012, the rates of State Pension (Contributory) paid to those who had a yearly average of less than 40 contributions was lowered.
In recognition that these rate changes may have negatively impacted certain cohorts, in January 2018, the Government announced an Interim Total Contributions Approach (TCA) to calculate the entitlement of pensioners who reached State pension age on or after 1 September 2012 (i.e., those born on or after 1 September 1946) and who had a reduced rate pension entitlement based on those post Budget 2012 rate bands. As part of the Total Contributions Approach, HomeCaring Periods were introduced for the first time which allowed those who cared for children, or other dependent relatives, claim up to 20 years in lieu of contributions. People whose pensions were decided under the 2000-2012 rate bands (i.e., those born before 1 September 1946) were subject to a significantly more generous payment regime than those who qualified before or afterwards, as a Yearly Average of only 20 contributions per year (out of a possible maximum of 52) could attract a 98% pension. If pre-2012 pensioners were also allowed avail of the interim Total Contributions Approach, including HomeCaring Periods, their arrangements, as a group, would be significantly more generous than those of post-2012 pensioners.
It should be noted that since January 2024, long-term carer's contributions can be awarded to a person who has cared for an incapacitated person for a period of 20 years or more. These contributions will be treated the same as paid contributions for State Pension (Contributory) entitlement only and can be used to fill any gaps in a person's contribution record, including satisfying the minimum 520 contributions required for eligibility. Individuals born before 1946 are eligible for long-term carer's contributions where they have been caring for an incapacitated dependent. Such a person can apply for long-term carer's contributions and receive a State Pension (Contributory) or an enhanced rate of pension if already in receipt of less than the maximum rate from 1st January 2024 where eligible.
I trust this clarifies the matter for the Deputy.
