Paul Murphy (Dublin South West, Anti-Austerity Alliance)
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64. To ask the Minister for Social Protection if he will review the way child maintenance is considered in means tested payments in view of the fact that often families can be worse off if in receipt of the payment; and if he will make a statement on the matter. [36027/16]

Leo Varadkar (Dublin West, Fine Gael)
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My Department operates a range of means tested social assistance payments such as jobseeker’s allowance, one-parent family payment and so on. Social welfare legislation provides that the means test for these schemes takes account of the income and assets of the person and a spouse/partner, if applicable. Income and assets include income from employment, self-employment, occupational pensions, maintenance payments as well as property owned (other than the family home) and capital such as savings, shares and other investments.

Maintenance payments (whether or not it is paid in respect of a child) are assessed by first disregarding any housing costs incurred up to €4,952 per annum (or €95.23 per week), and then assessing the remainder at 50%.

Accordingly, the total value of any maintenance payments is never assessed as means for these weekly income support payments and the total income received by the family (social welfare payment and maintenance payment combined) will be higher than someone not receiving maintenance payments.

Unlike schemes such as jobseeker’s allowance and one parent family payment, family income supplement (FIS) is an income supplement for employees who work 19 hours or more per week. It is an income tested scheme and account is taken, in determining entitlement, of all net income from employment, weekly welfare payments (if payable), income from any self-employment, maintenance payments and income from any other source. A family in receipt of maintenance will always be better off than a family where maintenance is not a factor as FIS replaces just 60% of the difference between total family income and the relevant FIS threshold.

I trust this clarifies the matter for the Deputy.