Written answers
Tuesday, 5 November 2024
Department of Employment Affairs and Social Protection
Social Welfare Benefits
John Lahart (Dublin South West, Fianna Fail)
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637. To ask the Minister for Employment Affairs and Social Protection how the procedures for means testing for disability allowance are carried out; and if she will make a statement on the matter. [44089/24]
Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Disability allowance (DA) is a means-tested payment for people with a specified disability who are aged 16 or over and under the age of 66. The applicant must be suffering from an injury, disease, congenital deformity or physical or mental illness or defect which has lasted for one year or is expected to last for one year and, as a result of which, they are substantially restricted in undertaking work which would otherwise be suitable having regard to the person’s age, experience and qualifications. The person must also satisfy a means test and be habitually resident in the State.
Legislation provides that the means test takes account of the income and assets of the person (and spouse, civil partner or cohabitant) applying to the scheme. Income and assets include income from employment, self-employment, occupational pensions, maintenance payments as well as property owned (other than the family home) and capital such as savings, shares and other investments.
Recognising that all work is rehabilitative, DA is structured to encourage recipients to avail of opportunities to engage in either insurable employment or self-employment. When an individual engages in work, they can avail of an income disregard of 100% of the first €165 earned per week. 50% of their earnings between €165 and €375 are then disregarded for the purpose of the means test. Any amounts over €375 are assessed in full. This disregard is available to all DA recipients who engage in employment and there are no restrictions on the hours worked each week.
In June 2024, the introduction of new legislation meant that child maintenance payments are now excluded from all social welfare means tests.
Capital is assessed as means and includes savings and investments and the value of property owned, but not personally used. The table below sets out how capital is assessed.
Formula | Weekly Means |
---|---|
First €50,000 | Nil |
Next €10,000 | €1 per €1,000 |
Next €10,000 | €2 per €1,000 |
Excess of €70,000 | €4 per €1,000 |
Once the means assessed on a person’s claim are below their statutory limit (for a single person, this is usually the maximum personal rate of €232.00), they will be entitled to retain a weekly payment.
If the Deputy has a particular case in mind, you might provide the relevant details so that my officials can examine the specific case.
I trust this clarifies the matter for the Deputy.
John Lahart (Dublin South West, Fianna Fail)
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638. To ask the Minister for Employment Affairs and Social Protection how the procedures for means testing for carer’s allowance are carried out; and if she will make a statement on the matter. [44090/24]
Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Carer's Allowance (CA) is a means-tested social assistance payment made to a person who is habitually resident in the State and who is providing full-time care and attention to a child or an adult who has such a disability that as a result they require that level of care.
Legislation provides that the means test takes account of the income and assets of the person (and spouse, civil partner or cohabitant) applying to the scheme. Income and assets include income from employment, self-employment, occupational pensions, as well as property owned (other than the family home) and capital such as savings, shares and other investments.
If a carer is single, the first €450 of their gross weekly income is disregarded. If a carer is married, in a civil partnership or cohabiting, the first €900 of their combined gross weekly income is disregarded. For a couple, their combined gross weekly income (less any disregards) is then halved to give the carer's weekly means. PRSI, union dues, superannuation and travel expenses are also deductible. As part of Budget 2025, the weekly income disregard will increase from €450 to €625 for a single person, and from €900 to €1,250 for carers with a spouse / partner. These changes to the income disregard will take effect from July 2025.
In June 2024, the introduction of new legislation meant that child maintenance payments are now excluded from all social welfare means tests.
Capital is assessed as means and includes savings and investments and the value of property owned, but not personally used. The table below sets out how capital is assessed.
Formula | Weekly Means |
---|---|
First €50,000 | Nil |
Next €10,000 | €1 per €1,000 |
Next €10,000 | €2 per €1,000 |
Excess of €70,000 | €4 per €1,000 |
If the Deputy has a particular case in mind, you might provide the relevant details so that my officials can examine the specific case.
I trust this clarifies the matter for the Deputy.
Pádraig O'Sullivan (Cork North Central, Fianna Fail)
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639. To ask the Minister for Employment Affairs and Social Protection when a decision will be made on an application for a person (details supplied); and if she will make a statement on the matter. [44137/24]
Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Disability Allowance (DA) is a weekly allowance paid to people with a specified disability who are aged 16 or over and under the age of 66. The disability must be expected to last for at least one year and the allowance is subject to a medical assessment, means test and habitual residency conditions.
The DA claim of the person concerned was reviewed by a Social Welfare Inspector during (SWI) 2023 due to their spouse’s self-employment income. Whilst the review was ongoing the person concerned transferred to Maternity Benefit and their DA was stopped on the 19 August 2023.
Their Maternity Benefit stopped on the 17 February 2024 and they applied to have their DA payment re-instated. An information request issued to the person concerned on the 20 March 2024, requesting details of the household. This information was received back on the 4 April 2024.
Their application was referred back to the SWI on 14 June 2024 for a report on the person’s means, their spouse’s self-employment and circumstances. The SWI met with the person concerned on the 4 July 2024 and again on the 27 July 2024. When all outstanding documents were received, the SWI report was returned for consideration on the 27 September 2024.
Based on the evidence supplied in support of this person’s application review, they were advised that they did not meet the means criteria for receipt of DA, with effect from the 21 February 2024. A means assessment had determined that their means exceeded the statutory maximum allowed under the DA scheme. They were assessed with weekly means of €726.57 which is higher than the statutory limit of €478.00. Means were derived from their spouse’s self-employment.
The person concerned was notified in writing of this decision on 24 October 2024 and of their right to request a review of this decision or to appeal directly to the Social Welfare Appeals Office.
I trust this clarifies the matter for the Deputy.
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