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Dáil
‹ Ceisteanna ar Reachtaíocht a Gealladh - Questions on Promised Legislation

Pensions Commission PRSI proposal

Summary

Deputy Murnane O’Connor warned that removing the over-66 PRSI exemption could hit retired public servants and former gardaí hard. The Taoiseach said the matter would be considered in the round after further Government reflection on the pensions report.

The Commission on Pensions has asked for the removal of a special exemption that allows the over-66s to avoid PRSI on their non-State income. This would mean retired public servants would have to pay 4% PRSI on their public service pension on amounts over €100. Their pensions have been already reduced by the Government's pensions levy. Many of these pensioners are not in receipt of the State pension and should not be asked to contribute to something to which they are not entitled. I had a very upset former garda in my office this week who said he could end up having to pay €64 per month on his reduced pension if this were to happen. More than 350,000 pensioners could be hit with this. It is unfair that those who have already contributed must to do so again.

Comment on this

I appreciate the Deputy raising this issue in respect of people's concerns regarding the report of the Commission on Pensions. That report went to the Oireachtas committee and Deputies and Senators made inputs there. The Commission on Taxation and Welfare is now meeting and reflecting on the report of the Commission on Pensions and the Government will look at the matter in its entirety when it comes back before Government.

Comment on this