Written answers

Tuesday, 28 September 2021

Department of Employment Affairs and Social Protection

Social Welfare Schemes

Photo of Claire KerraneClaire Kerrane (Roscommon-Galway, Sinn Fein)
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492. To ask the Minister for Employment Affairs and Social Protection the consideration that has been given to extending the purchasing of voluntary contributions to those who are no longer in the workforce to ensure that persons can reach the required number of PRSI contributions to qualify for the State pension (contributory); if she will advise any review of the process behind voluntary contributions overall; and if she will make a statement on the matter. [45943/21]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The purpose of the voluntary contribution scheme is to provide persons who were but are no longer compulsorily insured under the social insurance system with the opportunity to pay contributions directly to my Department. Voluntary contributions ensure continuity of social insurance for pension purposes during periods where former contributors are no longer insured as employed or self-employed persons or are not in receipt of credited employment contributions.

The scheme’s entry criteria require applicants to have at least 520 social insurance contributions paid from either employment or self-employment. The Scheme was changed relatively recently in February 2017 when the period of time in which an application to become a voluntary contributor must be made was extended from 12 months to 60 months (5 years) from the end of the contribution year during which the applicant last paid a compulsory social insurance contribution or was last awarded a credited employment contribution. This change has already substantially widened the opportunity for individuals to participate on the scheme.

I trust this clarifies the matter for the Deputy.

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