Know Your Rights
Wednesday, 15th August 2012
Changes in pension payments
Question: I will be 66 in October and retiring from work. I will be applying for a State Pension based on my PRSI contributions. I heard that the rates of payment have been reduced. Will I get less than my husband is getting at the moment on his State Pension?
Answer: At the moment you get the full rate of pension if you have a yearly average of 48 or more PRSI contributions. However, people with a reduced average of 20-47 PRSI contributions per year over their working life receive a weekly State Pension of only €4.50 less.
From September 2012 a lower pension will be payable to new applicants who have a yearly average of less than 48 PRSI contributions. The new rates are in the following table:
New State Pension (Contributory) rates from September 2012
Yearly average Personal rate Increase for a Increase for a qualified adult
(under 66) (66 and over)
48 or over 230.30 153.50 206.30
40-47 225.80 146.00 196.00
30-39 207.00 139.00 186.00
20-29 196.00 130.00 175.00
15-19 150.00 100.00 134.00
10-14 92.00 61.00 83.00
for qualified adults are means-tested payments.
The new rates will not affect anyone who, like your husband, is already receiving the State Pension.
You can read Frequently Asked Questions about the changes on http://www.welfare.ie.
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