query re amount of Class A contributions needed

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I started paying PRSI IN 1980. I have 30 years full PRSI contributions made. From 1980 to 1992 I have 4 years when I paid none at all as I was abroad and the other years where I never paid a full year as my work was casual, not full time.
When I retire I will be getting an integrated pension, part from public service and part from social welfare.
My question is do I have enough PRSI payments for the full social welfare payment?
Will the gaps and years when I paid less have a negative effect even though I've 30 full years paid.?
thanks
 
DireTrouble1234 said:
When I retire I will be getting an integrated pension, part from public service and part from social welfare.
Click to expand...

Just to note that the level of State Pension that you qualify for will be based on your total PRSI record. It is irrelevant to the DEASP whether some or all of your record relates to your public service employment.

You don't say your age or whether you are continuing to accumulate PRSI. However, for a current applicant the DEASP will assess eligibility based on both the Total Contributions Approach and the Averaging Approach. They will base your pension on whichever one is more favourable to you.

Using the Total Contributions Approach, you qualify for a full pension if you have 2080 PRSI contributions (40 years equivalent). Up to 520 of these may be credited (10 years equivalent). If, for example, you have a total of 35 years worth of contributions at 66 you get 35/40 of the full pension rate. (I take it you don't qualify for Home Caring credits, which would complicate the calculation).

Alternatively, the Averaging Approach is used. Your yearly average since you first entered insurance (1980 in your case) up to your 66 birthday is calculated. You need an average of at least 48 contributions per year (paid or credited) for the full pension rate. If you average between 40-47 there is only a small decrease in the rate awarded, but it continues to decrease as the yearly average lowers.

More details here: https://www.citizensinformation.ie/...people/state_pension_contributory.html#l1f4da
 

Looking at the Averaging approach, someone arrived in Ireland in 2000 from another EU country and worked here ever since, reaches age 66 in 2023 and will have an average of over 48 contributions per year over the 23 years they were working here. They qualify for a partial State pension from the EU country they lived and worked in up to 2000. Will such a person get a full Irish State pension given that they only entered insurance in Ireland in 2000?

Thank you.
 

As far as I know (subject to correction) such a person would qualify for a full Irish State Pension under the Averaging Approach (one of the major anomalies in this method).

However, just to note that that the Total Contribution Approach was meant to replace the Averaging Approach from 2020 onwards but this was postponed along with the proposed rise in pension age to 67. Instead a Commision for Pensions was set up and is supposed to report with recommendations by the coming summer. Whether the Averaging Approach will survive this, and how soon it might be phased out, remains to be seen.
 
Early Riser is absolutely correct. It is an anomaly of the current “totals and average” system that so long as one has an average of 48 or more contributions per annum over their PRSI history (subject to a minimum of 10 years - 520 paid contributions), they would qualify for the full State Pension. So as an extreme example, if a foreign national came to Ireland at age 55 and worked in the Private Sector (Class A) until age 66, their average yearly contributions over their years in the system would exceed 48 and thus they would qualify for the full State Pension. This was due to change to a new calculation model (1/40 for each year of contribution) from 2020, but following the Election and the State Pension becoming a political football, the whole State Pension model was kicked into the long grass and a Pensions Commission was established to review the system. It is supposed to report mid 2021. So we will just have to wait and see what they recommend.
 
Thanks very much I am still working and paying PRSI so should be ok. It's good that when they calculate they give you the better of the two calculations.
 
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