Michael Creed (Cork North West, Fine Gael)
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385. To ask the Minister for Employment Affairs and Social Protection if she will clarify the position regarding the means test for social welfare payments as it applies to jobseeker’s allowance and non-contributory old age pensions with regard to the treatment of capital on deposit; and if she will make a statement on the matter. [43446/20]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The Department operates a range of means-tested social assistance payments, including Jobseeker's Allowance (JA) and the State Pension Non-Contributory (SPNC). Social welfare legislation provides that the means test takes account of the income and assets of the person (and their spouse/partner, if applicable) applying for the relevant scheme.

The means assessment reflects the fact that there is an expectation that people with reasonable amounts of income or capital are in a position to use these resources to support themselves so that social welfare expenditure can be directed towards those who need it most.

In assessing means for social assistance payments including JA and SPNC, account is taken of the value of capital and property belonging to the person and their spouse or partner. The family home is not liable for assessment.

The capital assessment formula for both schemes is outlined in the table below

The first €30 of weekly means from any source is disregarded in the means test for SPNC. This means that a claimant of SPNC, with no other income, can have capital of €40,000 (which would result in a weekly means assessment from capital of €30) and this would have no impact on their payment.

Any proposals to amend the means test for social assistance schemes would need to be considered in an overall budgetary and policy context.

I trust this clarifies the matter for the Deputy.