State contributory pension - seeking confirmation

[Orga]

Hi,
I would be very grateful for you to offer a view on whether I have understood the situation correctly that is described below:

1. State contributory pension is (currently) only payable from age 66
2. I have a mix of contributions types 100 A1, 111 D1, 3 K1, 5 K, 616 D (at end of this year as this is current employment), 54 A, 16 J, 778 B and I understand this means that I have 162 contributions that reckon for state contributory pension and hence, would it be worthwhile to pay S0 PRSI (minimum 500eur/year) on a second self-employed job I could do for the next 4 years before I take early retirement (aged 56)? My calculations from the gov.ie/pensions information suggests that taking the Total Contribution Approach I would qualify for 52 *4 years = 208 + 162 = 370 / 2080 * 100 % of pension rate which would yield about 2500eur/year (this would be taxable) from age 66.

I have sent multiple emails and phone calls to welfare but their answers are very hard to understand as they want to be non-commital.

Many thanks for any and all ideas and comments.

 

[S class]

You currently have 154 reckonable contributions (class A)

Are you saying that you are currently working in class D employment ?

A person in class D employment will get class K prsi from a second self employment.

Class K is not reckonable for the contributory pension.

Are you paying AVCs ?

If you can manage to set up an ARF when you retire and take drawdowns of at least 5000 euro per year, you will gain 52 class S contributions up to age 66.

In order to use the calculation method you have used you would need a minimum of 520 reckonable paid contributions.

If you have from 260 up to 519 reckonable paid contributions you calculate your pension using the pro rata calculation method.

Read these threads for more information.

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[Orga]

Thank you so much S Class, that's the clearest, most helpful information I've received, better than from anyone in the Dept Soc Protection.
I am paying class D as my current employment.
Thank you again!
Hopefully I can repay the karmic goodwil!