Dáil debates

Thursday, 9 March 2006

Social Welfare Law Reform and Pensions Bill 2006: Report and Final Stages.

 

12:00 pm

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)

In respect of the case referred to by Deputy Penrose involving the accountant who has, unfortunately, been unwell, paragraph 2.7 on page 30 of the guide to social welfare services deals with voluntary PRSI contributions. According to this paragraph:

If an employee or self-employed contributor is no longer covered by compulsory PRSI and they are under the age of 66, they may opt to pay voluntary contributions (VCs). These can help maintain or improve a person's pension entitlements, but they do not provide cover for short-term benefits.

The Deputy is aware of this. To become a voluntary contributor, a person needs at least 260 weeks of PRSI paid either in employment or self-employment. The person must apply within 12 months at the end of the tax year during which he or she last paid PRSI or had a PRSI credit. It is difficult to pronounce on the case referred to by Deputy Penrose without knowing all the facts but, if the Deputy wishes, we will examine the case when all the facts become known to us. A total of 260 weeks adds up to more than five years. If the woman in question paid contributions as an employed or self-employed accountant, she could continue to pay them while she is ill. This is the best advice I can give at the moment.

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