Niamh Smyth (Cavan-Monaghan, Fianna Fail)
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465. To ask the Minister for Employment Affairs and Social Protection to review the case of a person earning minimum class A contributory losing all of the class S contributory; and if she will make a statement on the matter. [36858/24]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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If a self employed contributor with earned income (for example from a business or trade) paying class S PRSI has additional work in the same year for which a class A PRSI contribution(s) is payable there is no effect on the class S contributions, and they remain on the person's insurance record.

In relation to unearned income (for example income from rents or investments), under provisions of the Social Welfare and Pensions Act 2013, which came into effect on 1 January 2014, PRSI contributions became liable by certain insurably employed contributors on their unearned income, subject to the unearned income reaching the chargeable person threshold of €5,000 per annum set by the Revenue Commissioners. This contribution, recorded as PRSI class K, does not provide entitlement to any social insurance benefits.

If an individual has solely unearned income and they do not have income from insurable employment in the same year, then PRSI class S is charged under self-assessment, as long as the threshold of €5,000 per annum is reached.

If the Deputy has additional detail on the case she refers to, my Department is happy to examine the matter to ensure the correct rate of PRSI is being applied for the person concerned.

I trust this clarifies the matter for the Deputy.