Simon Harris (Wicklow, Fine Gael)
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Question 255: To ask the Minister for Social Protection the income guideline criteria she sets for carer's allowance applications; if she takes into account existing fixed outgoings of applicants, that is, mortgage payments, when at the assessment stage; if not, if the deciding officer has any discretion in this regard or if she intends to reform this area; and if she will make a statement on the matter. [35483/11]

Joan Burton (Dublin West, Labour)
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Carers allowance is a means-tested payment for people living in Ireland who are looking after someone who needs support because of age, physical or learning disability or illness, including mental illness. It is mainly aimed at carers on low incomes who live with and look after certain people who need full-time care and attention.

By its nature the means test takes account of the income a person or couple has in terms of cash, property (other than the home) and capital; it does not take account of a person's expenditure. The combination of means test and awarding of differentiated rates of payment is premised on ensuring that social welfare payments are paid to those most in need.

The means test for carers allowance has been significantly eased over the years, and is now one of the most generous means tests in the social welfare system, most notably with regard to spouse's earnings. Since April 2008, the income disregard has been €332.50 per week for a single person and €665 per week for a couple. This means that a couple with two children can earn in the region of €35,400 and qualify for the maximum rate of carers allowance as well as the associated free travel and household benefits. A couple with an income in the region of €59,300 can still qualify for a minimum payment, as well as the associated free travel and household benefits package.

The actual income from investments and money in a savings account is not taken as means. Instead, investment items such as money in a savings account, cash-in-hand or money in a current account and the cash value of investments and property are taken into account for the means assessment. If the carer is getting a social welfare payment from another State an amount up to the maximum rate of the Irish State pension (contributory) is exempt from the means test. Any foreign social welfare payment above the maximum State pension (contributory) is treated as income for the means test.

Mortgage payments or other fixed payments are not taken into account for carers allowance when assessing the means. Where a person who is applying for the carers allowance has a second mortgage, any outstanding mortgage against the capital value of the property is taken into account. On payslips, the following items are exempt when calculating the means - union subscriptions, PRSI, pension, PRSAs, AVCs, pension levy, travel expenses (max €15). The deciding officer has no discretion in this matter. I have no plans to change the current procedures.