Michael Moynihan (Cork North West, Fianna Fail)
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290. To ask the Minister for Social Protection if he will change the means assessment applied to persons who are aged 18 to 24 years of age for jobseeker's allowance to exclude their parents' income in view of the fact that the maximum payment they can receive is already reduced significantly and results in persons being unable to afford to live independently of their parents; and if he will make a statement on the matter. [25790/17]

Leo Varadkar (Dublin West, Fine Gael)
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Social welfare legislation provides that where a person under 25 years of age claims jobseeker’s allowance or supplementary welfare allowance and is living with a parent or step-parent in the family home, an assessment is made of the yearly value of any benefit and privilege enjoyed by that person by virtue of residing there.

The value of the benefit and privilege assessed is based on the level of the parents' assessable income. Parental income is calculated as gross income less tax, PRSI, Universal Social Charge, superannuation and union dues. Rent or mortgage repayments are then disregarded, where appropriate, and, finally, a parental allowance of €600 per week per couple plus €30 per week in respect of each additional dependent children is also disregarded. The balance is assessed at 34% and this constitutes the weekly value of benefit and privilege to the claimant. This weekly value is deducted from the maximum personal rate applicable (generally €100 per week) to determine the level of weekly entitlement. Where the level of entitlement as calculated is at least €1 per week and less than €40 per week, a minimum rate of €40 per week is payable.

There are two exceptions to this rule. No assessment is made where a son or daughter and his or her spouse / civil partner / partner is living with his / her parents. In addition, where a person returns to the parental home having had an independent life elsewhere in Ireland or abroad for an appreciable length of time e.g. at least three years, the assessment in this case is €7 per week. It should be noted that once a person reaches 25 years of age, the value of any benefit and privilege is no longer be regarded as means.

Any change to the assessment of means for jobseeker’s allowance and supplementary welfare allowance claimants who live in the parental home would have to be considered in a budgetary context having regard to the overall resources available for welfare improvements.