Non-Contributary Pension Overpayment

Discussion in 'Wills, inheritances and gifts' started by TomDoodle, Aug 3, 2018.

  1. TomDoodle

    TomDoodle New Member

    Posts:
    1
    A relative is currently dealing with the estate of his parents who died within 3 months of each other. It seems that his mother, who died first, was in receipt of a full non-contributary pension when the couples assets were roughly 160k (at time of death). Clearly there is the issue of overpayment but we're wondering how that overpayment is likely to be calculated.

    As his mother died first does this mean that only her half of the assets (80k) is liable to be reclaimed or does revenue have a claim on her husband's half of the assets also?

    Can revenue target the home if there is not sufficient assets to replay the overpayment? Or is the home off limits because her husband survived her?

    Assuming there was an overpayment, could revenue reclaim the entire 160k or would the estate retain 20k, given that a non-contributary recipient is allowed to have 20k in assets.

    How exactly is the overpayment calculated?

    Any advice appreciated.
     
  2. Mary55555

    Mary55555 Frequent Poster

    Posts:
    52
    Hello,

    Don’t panic just yet!!

    In order to claim an old age non contributory pension it is means tested..but fortunately the family home isn’t included.. was this include in the €160k valuation??

    How much were the other assets , how much was the family home valued at???..

    Secondly based on current rules the first 20k of a persons savings are ignored for the means test... savings of a couple are added up and divided by 2, and the half portion is assessed for means...

    Generally the Solictors dealing with the estate will write to social welfare and they will write back saying if anything was over claimed. It will be at that stage you will know if there is an issue ....

    Revenue will ask to see the letter of clearance from social welfare to make sure everything is sorted ...
     
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