# Class S PRSI and the State pension



## Marianne (20 Feb 2012)

Hi, 

As far as I know Class S PRSI is payable by self-employed people once income is €5,000 in a year.  It's paid at the rate of 4% with a minimum payment of €253.00.  

My question is this - if someone is working part-time during a year (and relaxing for the rest of the year  ), earns €5,000 for say 10 weeks work, pays the appropriate tax on the €5,000 at the end of the tax year and pays their Class S PRSI, do they get allocated 52 weeks Class S PRSI for that year?

Thanks.


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## Time (20 Feb 2012)

Yes. It counts as a years contributions for the pension.


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## Marianne (21 Feb 2012)

Many thanks.


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## Palerider (3 Mar 2012)

In terms of value this has to be the best way to fund a non contributory non means tested state pension in the future, Is there better value anywhere in the pensions industry..I don't think so.


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## Black Sheep (4 Mar 2012)

This  would become a Contributory Pension if you fund it in the above manner.
Could you continue it for 30 years?


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## Protocol (4 Mar 2012)

Palerider,


good point, 253 pa for 10 years gets you 230 pw forever.

However, things may change in the future.


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## Black Sheep (6 Mar 2012)

Protocol
Sorry to burst your bubble but it's not as simple as that. Remember the small print


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## Time (6 Mar 2012)

What small print?


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## RETIRED2017 (17 Feb 2018)

Palerider said:


> In terms of value this has to be the best way to fund a non contributory non means tested state pension in the future, Is there better value anywhere in the pensions industry..I don't think so.


No problem,The top 10% love paying there taxes when you think about all of the above who will be retiring each year for the next forty years,there will be nothing left for the people who pay all of the tax .

The good news is they don't mind,


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