The State Pension (Contributory) is a social insurance-based payment made to people at age 66. It is not means-tested, so a person can continue to work or have other income such as an occupational pension. 

The qualifying age was due to rise to 67 in 2021 but that has been deferred pending review by the Commission for Pensions. 

To qualify for a State Pension you must have sufficient social insurance contributions. You also must have paid PRSI contributions before a certain age, have accumulated a certain number of paid PRSI contributions, and have a certain yearly average number of PRSI contributions since you first started to pay PRSI (the average rule) or have a certain total number of PRSI contributions (the total contributions approach).

The average rule is complex, as there’s a normal average rule and the alternative average rule.

Normal average rule: From the year you first entered insurance to reaching pension age, you need an average of 10 contributions a year to qualify for a minimum pension and average of 48 a year to get the maximum pension. 

In Association with

Alternative average rule: For a maximum pension, the rule says you must have an average of 48 PRSI contributions for each contribution year since 1979. 

With a yearly average of 48 or more contributions, the current weekly pension payment is €248.30. If the average is 40-47 contributions, the payment reduces to €243.40. For a working life average annual PRSI contributions of 30-39, the weekly State Pensions payment is €223.20, and it’s €211.40 if the average is 20-29. 

A PRSI contributions history of 15-19 annual average reduces the payment to €161.80, while an average of 10-14 annual contributions currently pays out €99.20 per week until death. Recipients of the State Pension also qualify for a payment for adult dependents which is also determined by the PRSI contributions history over four decades.

With average life expectancy in Ireland currently 84 for women and 80 for men, a full State Pension can currently pay out an average of €180,000 for men and €230,000 for women. 

State Pension rules make allowances for homemakers, and if you have worked in one or more EU states your social insurance contributions from each EU state will be added to your Irish PRSI contributions. 

Individuals who want to inquire about their PRSI contributions history can do so through the Social Protection office in Sligo (071 9157100).

There is also the State Pension (Non-Contributory), which is means tested and pays slightly less than the contributory pension to people who may never have made a PRSI contribution in their lives. The current maximum personal payment is €237 a week.