Will I qualify for a State Pension?

Discussion in 'Pensions' started by Starbuck, Jul 9, 2017.

  1. Starbuck

    Starbuck Frequent Poster

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    Hi All, I've had a look around the site and can't find an answer to this question, so please give me your opinions.

    I started employment in Ireland in 1980 and paid my Social Welfare Contributions for over 30 years. I emigrated in 2010.
    Since I stopped being employed in Ireland I have no further contributions.

    I'm currently 58 y.o. and wondering if I can claim an Irish Pension at some point.

    I wrote to the folks at Welfare.ie and the answer I got was not that helpful - I was just told they can't comment on individual entitlements in future. They also told me that the Pensionable age will be incrementally increased in 2021 and 2028. I reckon my Pensionable Age (67) will currently be in 2026.

    Meantime I have asked them for a statement of my contributions record.

    I've heard that there is an option to make voluntary contributions to keep your Pension entitlements alive in a case like mine, but I have no idea how much that costs, or if I'm already too late to start making doing so.

    If they are costly it might not be worth my while even making them, considering the risk that I might not live long enough to collect on them, or to enjoy them for very long. Perhaps saving the money would be more fruitful.

    I realise this is a complex question, so I really appreciate any insights the experts here might have.

    Many thanks!
     
  2. Monbretia

    Monbretia Frequent Poster

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    You're way too late to start making voluntary contributions for a start anyway. When you get your record of contributions I would advise ringing Citizens Information helpline and they would more than likely be able to give you an indication of what the situation might be when you reach retirement age.

    Lot of info here if you want a read http://www.citizensinformation.ie/e...etired_people/state_pension_contributory.html

    As it happens I am the same age as you, started work in 1979 and finished in 2010 but I continued to sign for credits until I became self employed and now pay annual prsi. However I understand my 30yrs of contributions will entitle me to full pension anyway.

    I don't know what the situation is if you are not living in the country at pension age.
     
  3. Early Riser

    Early Riser Frequent Poster

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    Hello Starbuck. You should certainly qualify for some level of State pension. However, as your pension date is 2026, no one can tell you at what level that will be - this is because the basis for calculating pension entitlements is due to change in the meantime. The proposed date of change is 2020, after which 30 years worth of contributions would qualify for a full pension (and proportionally up to this, eg, ten years yielding one-third of full pension). However, this has not been legislated for as yet, so the exact date of change and the exact nature of the changes may vary from the proposal.

    In the meantime, the best you can do is get an estimate of the rate you would qualify for under the current system by following the link provided above by Monbretia.
     
  4. Starbuck

    Starbuck Frequent Poster

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    167
    Last edited: Aug 8, 2017
    Hi Folks. After some delay (postal!) I've now received my Statement of Contributions from the Department of Social Welfare.

    The statement shows I have a total of 1,485 'Reckonable paid or credited contributions' since I began employment in 1978 (I'm now 58 y.o.).
    As I mentioned above, I emigrated in May 2010 and stopped contributing.

    The people at the Social Welfare Services Dept told me; "Under current legislation a person needs at least 520 paid contributions and a yearly average of 10 to qualify for minimum rate pension."

    I have made the required 520 contributions.

    When I turn 66 in 2025 I will have been in the system for 46 years, which would seem to qualify me for a 'minimum rate pension' under the current rules.

    They also said; "A yearly average of 48-52 is required for maximum rate pension."
    I will not have this level of contribution.

    Question. 1: I can't find a definition/rate for 'minimum' and 'maximum' pension. Can anyone enlighten me?

    Question 2: Their statement shows some 'Paid Contributions' for years 2014, 2015. and 2016. I don't know why those are there - but I think they are contributions deducted from my private occupational pension (which commenced in 2014). They do not show as 'Reckonable Contributions" in the State Pension Statement. Why not?

    Thanks!
     
    Last edited: Aug 8, 2017
  5. Monbretia

    Monbretia Frequent Poster

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  6. Jim2007

    Jim2007 Frequent Poster

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    Where did you go to? If the EU/EEA/CH, then the response will be different. If not the EU/EEA/CH is there is a social agreement with the country you moved to?
     
  7. Black Sheep

    Black Sheep Frequent Poster

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    The PRSI paid in 2014 onwards are most likely Class K or M which are not reckonable for pension. Only Class A or S are reckonable.
    Voluntary contributions must be made within 5 years of your last payment or credit
     
  8. Starbuck

    Starbuck Frequent Poster

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    Australia Jim - but although they have a Social Security pact with Ireland I'm not working here, so not contributing.
    Whats more important is, will they pay my Pension if I'm not resident in Ireland?

    Thanks Monbretia. It would seem I'm qualified for a Pension of 209.70 if I read that right.
     
  9. gimp

    gimp Frequent Poster

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    Whats more important is, will they pay my Pension if I'm not resident in Ireland?............

    Yes...........
     
  10. Starbuck

    Starbuck Frequent Poster

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