Bernard Durkan (Kildare North, Fine Gael)
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538. To ask the Minister for Employment Affairs and Social Protection if records have now been updated to reflect payments of PRSI in the case of a person (details supplied) in 2021 and to date in 2022 respectively, who recently applied for the State pension (contributory) given recent correspondence; if their application can be reviewed on the basis of same; and if she will make a statement on the matter. [52003/22]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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According to the records of my Department, the person concerned reached pension age on 24 August 2022 and their application for State pension (contributory) was received on 08 August 2022.

The person concerned was initially disallowed State Pension (contributory) as they did not have the requisite 520 paid contributions. They were notified of this decision in writing on 22 August 2022.

Since April 2019, all new State Pension (Contributory) applications are assessed under all possible rate calculation methods, including the Yearly Average and the interim Total Contributions Approach, with the most beneficial rate paid to the pensioner.

Following a review of their record, contributions paid in respect of 2021 have now been included. The person concerned was awarded the State Pension (contributory) at the weekly rate of €165.10 from 24 August 2022. They were also awarded a living alone increase of €22.00 per week. This rate of pension is based on the average number of PRSI contributions (paid or credited) from the year they first paid PRSI to the end of the tax year before they reached pension age, giving a yearly average of 15 contributions. Any contributions paid in 2022 cannot be included in the yearly average calculation. Their entitlement to a Total Contributions Approach which would take contributions paid in respect of 2022 was examined; however, it is financially more beneficial for them to receive the pension awarded based on the yearly average.

I hope this clarifies the position for the Deputy.