Are persons on Jobseekers Allowance exempt from PRSI ( Form11)

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officepres

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I am self employed and have such a low income I am deemed eligible for a (reduced) Job Seekers Allowance Payment on top of my business earnings. I am now filling out my (Form11) Income tax form, and am being asked if I am exempt from PRSI. In the past I have said no to this; however I have read on this site that PRSI credits are made for those on JA. Can anyone clarify my situation to me with regard to PRSI. Thanks
 
You need to call into your sw office and clarify this situation. If you only had S class cons prior to going on jsa then you will not get credited contributions while on jsa. So its very important that you continue to pay S class contributions.
 
Thanks. You don't think it's a given that the non contributory old age pension will be phased out in the near future? Maybe I'm too cynical I just assumed there was no chance of me ever getting it if I needed it ( I'm 43 ).

EDIT: Also it turns out that on my Form 11 on ROS my income is below the threshold for PRSI so they didn't charge me it like they did in the past ... but apparantly I'm 'allowed' to pay it if I want ( up to €500 ) seemingly. So by the sounds of it you would think I should elect to pay this, but it's a lot of money to me and I really wonder if it will ever be worth it. Your thoughts are appreciated, thanks.
 
I didn't think they gave you to the option not to pay the minimum amount of €500.
 
Going by selfemployedsupports.ie/class_s.en.html ... "If you earn less than €5,000 from self-employment in a year you are exempt from PRSI, but you may pay €500 as a voluntary contributor"
 
I take that question on the Form 11 to mean "Are you exempt from PAYING PRSI" and the answer appears to be YES as you are below the €5000 level.

They are giving you the option of paying a voluntary contribution to maintain your pension entitlement, but you cannot pay a voluntary contribution if you are in receipt of credits. Therefore you should check with your local office if you are in receipt of credits while on JA.
 
officepres said:
You don't think it's a given that the non contributory old age pension will be phased out in the near future?
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Cant see it myself in the short term or even long term but that's not to say it won't be drastically reduced if the world economy doesn't improve soon, we are in real terms still a rich country.

Anyone else care to speculate on this.
 
I take that question on the Form 11 to mean "Are you exempt from PAYING PRSI" and the answer appears to be YES as you are below the €5000 level.
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... Actually I didn't tick the "exempt from prsi" box in the end but they still put me down as owing zero ... I really only deduced myself that the ros site had calculated the <5000 scenario. I presume the check box must be for something else.

They are giving you the option of paying a voluntary contribution to maintain your pension entitlement, but you cannot pay a voluntary contribution if you are in receipt of credits. Therefore you should check with your local office if you are in receipt of credits while on JA.
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I will do that
 
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