Irish Pension Information

Everything You Need to Know About 

The Irish State Pension

Everything You Need to Know About 

The Irish State Pension

Everything You Need to Know About

The Irish State Pension

The Irish State Pension is a weekly payment made by the state to those who have reached retirement age.

 

There is often confusion surrounding the state pension because there are different types of state pension. One rule will apply to one particular type of state pension but not another. 

 

So how do you cut through the noise and get the information you need?

 

We have designed this article to cover everything you need to know about the state pension in Ireland. 

 

We start by looking at the different types of state pensions and then move on to the rates of payment, taxation, and grants that may be available to existing pensioners.  

 

Quick Links

The best way to get a thorough overview of the Irish State Pension is to read this guide from start to finish. 

 

However, if you are short on time the quick links below will help you get to the information you need faster. 

Introduction to

The State Pension

There are two main types of State Pension. The Contributory State Pension and the Non-Contributory State Pension.

Contributory State Pension

The Contributory State Pension is for those who have lived and worked in Ireland. To qualify for the contributory state pension you must make a certain number of PRSI contributions throughout your working life in Ireland.

 

This is the most sought-after Irish State Pension as it is not means-tested.  

 

We will go into much more detail in the article dedicated to the Contributory State Pension here

Non-Contributory State Pension

The Non-Contributory State Pension is for people who have not made enough PRSI contributions to be entitled to a Contributory Pension. 

This is a means-tested payment made only to those of retirement age who are unable to support themselves financially. 

See Non Contributory State Pension for more information.

Old Age Pension or OAP Pension

You have heard people referring to pensioners as OAP’s a.k.a old age pensioners.

 

Many people tend to call state pensions the old age pension or OAP pension. It is important to note that this is just a widely used phrase used to describe state pensions in general rather than being an actual state pension itself. 

 

It doesn’t specify the type of pension the person is talking about for example the contributory or non-contributory state pension. 

What is the

State Pension Age in Ireland

To claim a State Pension in Ireland you must be aged 66 or over. 

 

In some instances, you can retire at 65 and receive a benefit payment until you reach age 66 and qualify to receive your state pension payment. 

 

Ireland has an aging population. This means we have more people living longer into old age. We are also having fewer children. In the future, this will result in fewer people working and paying taxes to fund state pensions and as a result, the state pension age will rise. 

 

For more detailed information on claiming a benefit payment early from 65 or future age increases for the state pension go to Pension Age Ireland.

 

How much is the State Pension in Ireland?

Contributory State Pension

The full rate for the Contributory State pension in Ireland is €277.30 per week. 

 

The rate you will receive is based on your PRSI Contributions. You can check which rate you will qualify for using the State Pension Calculator.

 

Non Contributory State Pension

The full rate of the non-contributory pension in Ireland is €266.00 per week. 

 

You will only claim the non contributory pension if you are not entitled to a full rate contributory pension. 

 

This pension is means tested so is helpful if you have no other source of meaningful income and are not entitled to a full contributory pension.

 

By claiming the Non Contributory pension you may receive more than you can under the contributory pension.

 

If you are not entitled to the full rate of the contributory pension you should check if you would receive a higher payment by claiming the non contributory pension.

 

Is the 

State Pension Taxable?

Yes in most cases income you receive from your state pension is subject to income tax. 


Income tax is not deducted at source. This means you initially receive the payment without being taxed. You then need to include these payments when completing your tax return.

PRSI and USC on your State Pension

The state pension is not subject to PRSI or USC. 

For further information on how your state pension is taxed if you have another source of income from an employment or occupational scheme see How are Pensions Taxed?

Is the

State Pension Means Tested?

Contributory State Pension

The Contributory State Pension is not means tested.  Once you have made enough PRSI contributions you are automatically entitled to the rate you qualify for.

 

There is no reduction in the amount you will receive regardless of your additional income or wealth.  

Non Contributory State Pension

The Non-Contributory State Pension is means-tested. This payment is only provided to those who cannot afford to support themselves in retirement for example those with no other income. 

 

If you have other income sources or wealth that bring you above the threshold you will not qualify to receive this payment.

 

If you don’t qualify for a full contributory pension it is worth checking if you could receive a higher weekly rate by claiming the non contributory pension instead. 

 

You will find more detailed information on the means testing for the Non-Contributory Pension here.    

 

SEAI Grants for Pensioners

Rising energy costs are hitting pensioners hard. Often pensioners will live in older homes which could benefit from energy upgrades.

 

Fully Funded Upgrades

Pensioners may be entitled to receive these energy upgrades for free. 

 

The energy upgrades you receive will depend on the energy requirements of your home. 

 

The following energy upgrades may be included in your home retrofit free of charge. 

In some cases you may also receive a free heating system upgrade or new windows. 

 

Want more detailed information? See SEAI Grants for Pensioners

Free TV Licence for Pensioners

You can receive a free if you over 70 as part of the household benefits package. This package is not means tested if you are 70 or over.


You may also receive a free tv licence if you are between the age of 66 and 70 if you are in receipt of any state pension. This package is not means tested if you are in receipt of a state pension.


For more information see old age pension entitlements. This guide also includes more information on other benefits you may be entitled to claim.

Fuel Allowance for Pensioners

Fuel allowance is a means tested  

Contributory State Pension

Non Contributory State Pension

The Non-Contributory State Pension is means-tested. This payment is only provided to those who cannot afford to support themselves in retirement for example those with no other income. 

 

If you have other income sources or wealth that bring you above the threshold you will not qualify to receive this payment.

 

If you don’t qualify for a full contributory pension it is worth checking if you could receive a higher weekly rate by claiming the non contributory pension instead. 

 

You will find more detailed information on the means testing for the Non-Contributory Pension here.