Entitlement to pension

B

Buffalobill

New Member
Messages
2
I will be retiring in 2 years and be receiving a public sector pension of approx 32,000 and lump sum of around 90,000. We are a married couple, my wife has no pension.
I paid class D PRSI contributions. Can I apply for an old age contributory pension when I retire?
What should we aware of regarding tax as a retired couple?
 
If you ever worked and earned class A PRSI (eg in private sector) then you may be entitled to a partial contributory pension. However it is likely to be small. Look up Total Contribution Approach to understand how it is calculated.
In addition, you may if you have AVCs which on retiring you convert to an ARF, may purchase class S PRSI stamp which would add to your stamps. I believe you need to have annual drawdown of €5k to permit this. Best of luck in the retirement.
 
Check your Prsi record on mywelfare.
You might have some reckonable paid Prsi contributions from your pre establishment days.

If you can reach 260 reckonable paid Prsi contributions you can qualify for a pro rata pension. If you reach 520 reckonable paid Prsi contributions you can qualify for a larger pension.

You can gain reckonable Prsi contributions up to age 70.

As stated above these reckonable contributions can be achieved if you have an ARF.

What age are you retiring at ?
 
Last edited:
Thank you all for your replies it has clarified things for us. I would have only a few years in private sector and doubt very much my employer paid any PRSI for me at the time. Maybe this post might enlighten other people with similar questions.
 
Do you have your record of SI contributions?

If you think that you have paid some SI at class A, you should check your record of contributions.
 
Buffalobill said:
Thank you all for your replies it has clarified things for us. I would have only a few years in private sector and doubt very much my employer paid any PRSI for me at the time. Maybe this post might enlighten other people with similar questions.
Click to expand...
Don't give up too soon.
Get your Prsi record and find out what your exact position is.
If you previously worked and didn't get Prsi contributions you should try to trace back to see if they can be added to your record. Contact Social Protection and tell them that there are contributions missing from your record.

Read the post below, there are ways of getting Prsi contributions up to age 70.


Key Post - PRSI and planning retirement

This Key Post is in the form of a FAQ where I don't know many of the answers. I will update the post as I get answers. 1. PRSI payable on reaching state pension age Answer: 0 (Class M) 1a. Does this relate to the start of the tax year in which you become 66? Or to after your birthday? Answer...
www.askaboutmoney.com
 
HI BuffaloBill,
In your case, It is also worth noting that if in your retirement year, you work for just one week at class A before the end of that year. You can claim 52 Credited Class A's for the previous tax year and 52 Credited Class A's from Jan of retirement year every year under the Change of Status rules. Your last paid D contribution changes from a Class ‘D’ to a Class ‘A’ contribution. To get the ones after retirement, you can then sign on for Class A credits yearly at your local Social Welfare office.
Example: if you retire on 1st July 25 - you work at class A for one week before year end - You can get credited Class A's from Jan 24 - age 70 (or until you qualify for State Pension)

See "Change of Status Credits" paragraph at:
h&ttps://www.gov.ie/en/publication/99f84f-operational-guidelines-prsi-credited-social-insurance-contributions/

Of course, all of these credits, will not be any use to you, unless you can reach 260 paid contributions, as already stated, you can now pay PRSI up to age 70 and an ARF may be the easiest way to get the paid contribution
 
You must log in or register to reply here.
Back
Top