Almost certainly, yes.We are in a position to pay the €500 for years 2018 - 2020 at the moment but I am struggling to figure out whether this will ultimately benefit her when hopefully qualifying for State Pension in a number if years time.
Thanks for the quick response and an indication of cost vs benefit. Much appreciated & seems to be worth making the contribution.Almost certainly, yes.
The eligibility rules are complex but in general terms a year's contributions gets you 1/40th of the way to a full contributory state pension.
If you were to buy a contributory state pension on the market it would be something like €350k. So about €9k of eventual value for a €500 contribution. I would do it.
Her payments started in early 90s so presumably she is around 50 now.That would help to decide if it is worthwhile,
I can’t either, in this example, the 31 years from ‘91 to ‘21, there are 10 years with no credited contributions at all, that will mean, if left unattended, a likely 30-39 contribution average, so a reduced contributory pension (from Max available)of over €1,300 a year, every year.Her payments started in early 90s so presumably she is around 50 now.
What are the circumstances where it would not be worthwhile? It's possible they exist but I can't think of any.
Also, in case it is relevant. if she was not working for those years with no credits, because of minding her children, credits are due for those, you would need to contact SW if that were the case.
She needs to start paying voluntary contributions within 60 months of her last payment. As her last payment 2017 so she would need to start voluntary payments in 2022.
Then she should get homemakers credit until the youngest is 12 I think.We have children born in 2007, 2009 & 2016 so this may be relevant, I will get her to contact SW as a priority
Thanks, that seems to indicate that there is no need to make the voluntary contribution for the missing years - quote from Citizens information belowThe Homemaker's scheme is relevant here.
Homemaker's Scheme
If you care full-time for children, or for an ill or disabled person, the Homemaker’s Scheme makes it easier for you to qualify for a State Pension (Contributory).www.citizensinformation.ie
Thank you, that's what i was thinking from the information provided.If your wife was a SAHP, and assuming she meets the conditions, there are no extra PRSI conts to be made.
Her State Pension will not suffer due to the gap in her PRSI record.
Max age of child is 12.
Max SI gap is 20 years.
Write to DSP to confirm that she should be eligible for the homemakers scheme. This is supposed to be automatic if a child is receiving CB but in practice it sometimes isn't.Thank you, that's what i was thinking from the information provided.
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