Jackie Cahill (Tipperary, Fianna Fail)
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1193. To ask the Minister for Employment Affairs and Social Protection the amount of capital a person can have without it affecting their lone parent family income payments; and if she will make a statement on the matter. [20363/21]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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The assessment of a person’s capital is just one element of the means test for One-Parent Family Payment (OFP), and other social assistance payments. Calculating the amount of capital that a person can have and still qualify for an OFP payment is complex and the value of a person’s capital for this purpose depends on a range of factors.

For the purposes of OFP, capital (which includes savings and investments) and the value of property owned but not personally used or enjoyed are assessed as means. Where capital or property is assessed on this basis, any income received from its use (for example interest on savings, dividends from shares, or rent from property let) is not assessed as cash income.

There are provisions within the capital assessment to take account of a range of other scenarios which can arise, such as second properties, the assessment of land let, the letting of farms, and property offered for sale.

The house in which a person resides, together with furniture and personal effects, is not assessed.

The following formula which came into operation on 2^ndJune 2005 is used to calculate the weekly value of capital in the means test for certain social welfare schemes, including OFP:

- The first €20,000 is assessed with a nil value

- Amounts between €20,000 and €30,000 are assessed at €1 per €1,000

- Amounts between €30,000 and €40,000 are assessed at €2 per €1,000

- Amounts in excess of €40,000 are assessed at €4 per €1,000.

Full details of how means are assessed for social welfare schemes are available on my Department’s website.

I trust that clarifies the matter for the Deputy.