Homemaker's Scheme or Home Carer's scheme

[Mothergoose]

I am confused about these two schemes. I am trying to maximise my State pension contributions. From 2002 to 2004 I have only a total of 25 credited contributions. These were the years when my children were very young. I was able to do occsional agency work to keep up my skills hence the 25 credited contributions for 2002 to 2004. However, my understanding was that I had to be out of work for a full year for those years to claim Homemakers credits towards my State pension, but I also read somewhere that it doesn't have to be a whole year out of work now. This agency work probably netted me 150 per day for the 25 days over 2 years thar I did it.

I contacted social welfare about a year ago and they said that all my years when I took time out of the workforce and was receiving child benefit up to the age my children were 12 qualifies for the Homemaker's Scheme but this is at odds with what I have read elsewhere.

I am also not sure if I shoud apply for Homecarer's or carer's credits now?

Social welfare stated I did not need to apply for Homemaker credited contributions until the year I retire but I read that I should have applied for them when I began to take Homemaker's leave.

I am so confused! I would really welcome some clarification if anyone is familiar with either of these schemes.

 

[S class]

I am using guesswork here.

The operational guidelines for Homemakers scheme state....

"The homemaker may not work outside the home. However they may engage in limited self employment (yearly reckonable income of less than €5,000) or employment (less than €38 per week) provided the full time care and attention requirement is satisfied."

This implies that if the homemaker gets any full rate paid Prsi contributions, they would not qualify for Homemakers disregard for the particular year in which the full rate paid contribution occured.

If they were full time home carers for the weeks during those years when they did not get a full rate paid contribution, they should be entitled to Home caring credits.

This probably means that for the years 2002 to 2004 you would get 52 reckonable Prsi contributions. These will consist of full rate paid and home caring credited contributions.

(This makes sense, because if these years were disregarded you would be gaining a double advantage. i.e. year not counted but Prsi contributions in the year counted)

This is the case for the partial years at the start and end of the caring period.

So while you lose out on the number of disregarded years, this is compensated for by getting extra reckonable contributions for any years which include full rate paid contributions.


The operational guidelines state....

"A claim may be backdated where the person can prove to the satisfaction of the Deciding Officer or Appeals Officer that they satisfied the qualifying conditions during that period and that there was good cause for delay in making the claim.

Normally a person must apply to become a homemaker up to the end of the contribution year following the year in which homemaking commenced"

You should apply now.

Apply for both schemes.

Homemakers scheme applies when your pension is calculated using the yearly average method.

Home caring period scheme applies when your pension is calculated using the total contributions method.

If you reach age 66 before 2034, your pension could be calculated using both of these methods.

 

[Mothergoose]

Thanks S Class. That's a really clear explanation! I actually have a partial year in 2010 when I have only 30 credits as I took some time out caring for my children when they were both in primary school and my childcare arrangements came to an end.

So, how do I apply for both the Homemaker's Scheme and the Home Carer credits? Do I apply online or do I contact Pension Carer Supports in the DSP in Buncrana? I don't want to get another reply saying I should wait until retirement to apply. I will be retiring in 2032.

 

[Premos]

I contacted the social welfare in 2008 or 2009 concerning the homemaker scheme and I was also told to apply when I retire.
But reading into it now, it seems to be different
.

 

[Annieindublin]

I was checking my contributions and I was missing some for years when I was taking unpaid leave to cover childcare in the summer holidays. I applied for credits for the missing weeks and it was added very quickly.
It was 6-7 weeks, not a full year and my son was under 12.

I applied online. I can’t call which scheme it was and the application, which I’ve just checked now. Doesn’t say. But I think it was Homemakers scheme.
I needed my sons DOB and PPS number and the dates I was off work. I picked the dates from my contribution summary.

I wanted to check it all out before I retire and not be panicking at the last minute,

 

[Premos]

I have just done it this morning. I had only one long period of care but the system allows to input several periods.

 

[S class]

So, how do I apply for both the Homemaker's Scheme and the Home Carer credits?

You can apply online through mywelfare.

Click Explore services

Click Pensions and older people

Click Pension Caring Supports

The one online form seems to cover both schemes.

 

[S class]

I actually have a partial year in 2010 when I have only 30 credits as I took some time out caring for my children when they were both in primary school and my childcare arrangements came to an end.

Is this period when they were over age 12 ?

If it is you won't get carers credits to fill the gap on your Prsi record.

If you think that including all your paid class A contributions and carers credits and pre entry credits, that you might not reach 2080 Reckonable Prsi contributions, you could email DSP and ask if they would fill this gap with Jobseekers credits.

You could state that at the time you didn't realise that you needed to apply for Jobseekers credits after your entitlement to carers credits ended.

This might not work, but it is worthwhile trying.

 

[Annieindublin]

My understanding is that it’s best to apply for jobseekers whenever you are off work, but I was told you had to be actively looking for work and available.

So if the kids are over 12 I should have signed on? But logically I was only off for a few weeks and not looking. Not sure anyone is going to look that closely.

I was reminding my niece to sign on for credits, she works term Time only, no kids. She’s worried that they’ll make her look for work and she wants a break. Happy to have no income (?) I get the desire for a break and she’s only available until school starts up in September but future niece will be grateful I think. A few extra credits.

 

[ClubMan]

She’s worried that they’ll make her look for work and she wants a break. Happy to have no income (?)

Credited social insurance contributions

A credited social insurance contribution is a contribution given to you and recorded on your social insurance record. This page explains the rules on credited contributions for students, carers, homemakers, voluntary development workers and people who retire early.

www.citizensinformation.ie

If you are unemployed and don’t qualify for a jobseeker’s payment, you can still sign on for credits, if you meet the qualifying conditions.

 

[S class]

@Annieindublin

She should always apply for Jobseekers benefit.

She can apply online.

She will be awarded payment if she meets the Prsi rules.
The award letter will include an appointment at her local Intreo center to sign on about a month later.

It's unlikely that she will get any hassle regarding looking for employment.

Even if she does she can apply online for a job and show the application at the Intreo center.

It's very important to keep your Prsi contributions ongoing and she is entitled to the payments.

 

[Mothergoose]

Hi! S Class, thanks so much for all this information. I will apply online tonight for HomeCarers and HomeMaker's credits. In relation to your question re the caring period between 2010 and 2012 - my children were both under 12 at that stage. I see that student credits can also be claimed I was a student in UCC for a year in 1984 to 1985 and 1985 to 1986 at the Leinster Secretarial Institute in Dublin and then from 1992 to 1993. Would I get retrospective credits for these periods. I don't have my student number from UCC and the Leinster Secretarial Institute has been closed many years ago. I don't understand the Jobseekers credits - do you mean claiming them retrospectively? I am currently employed part-time.