Appendix 3 - Mixed insurance pro-rata State Pension (Transition) or State Pension (Contributory)


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Mixed insurance pro-rata State Pension (Transition) or State Pension (Contributory)

To qualify for this pension you must:

  • be age 65 for State Pension (Transition) or 66 for State Pension (Contributory), and
  • satisfy certain social insurance contribution conditions.

Social insurance contribution conditions

You must have:

  • started paying social insurance before reaching age 55, for State Pension (Transition), or 56, for State Pension (Contributory),
  • paid at least 260 full-rate employment contributions (see page 27 for changes from 6 April 2012),
  • paid contributions at a modified rate,
  • a yearly average of at least 24 paid or credited contributions for State Pension (Transition),
    or
  • a yearly average of at least 10 paid or credited contributions for State Pension (Contributory).

You cannot qualify for a mixed insurance pro-rata State Pension (Transition) based on a combination of only full-rate and self-employment contributions. However, if you have full-rate, self-employment and modified-rate contributions, you may qualify for this mixed insurance pension. To work out if you qualify, we treat your self-employment contributions in the same way as your modified-rate contributions.

Changes from 6 April 2012

If you reach pension age on or after 6 April 2012:

  • you must have paid at least 520 full-rate employment contributions,
    or
  • if you have paid at least 260 full-rate employment contributions, you can make up the balance of the required 520 with modified-rate employment contributions.

The following is an example of how we work out a mixed insurance pension.

Example:

You have 280 full-rate contributions and 1,170 modified-rate contributions over 30 years from the date you started insurable employment up to the end of the tax year before you reach pension age.

Step 1
We work out the 'notional' pension, the pension that you would get if all social insurance contributions (both full-rate and modified-rate) were full-rate contributions.

To do this, we first add together the full-rate and modified-rate contributions and then we divide the total by the number of years to get the yearly average number of contributions.

Contributions
280 full-rate + 1,170 modified rate 1,450
1,450 contributions ÷ 30 years 48

A yearly average of 48 or more would give you a maximum weekly personal pension of €230.30. * (notional amount).

*These figures are based on January 2010 rates.

Step 2
We multiply the notional pension by the number of full-rate contributions and divide the answer by the total number of contributions. This gives the pro-rata pension payment.

Personal amount
€230.30 x 280 €44.47
1450

If your pension includes an Increase for a Qualified Adult (IQA), we multiply the notional amount, including the IQA, by the number of full-rate contributions and divide the answer by the total number of contributions.

Personal amount plus Increase for a Qualified Adult under 66
€383.80 x 280 €74.11
1450

These figures are based on January 2010 rates.

Note
You will get the full Qualified Child Increase with the mixed insurance pension, if you qualify for it. For more information, log on to 'www.welfare.ie'.

Last modified:26/05/2010
 

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