What are voluntary social insurance contributions?

Paying social insurance can help you to qualify for social insurance payments, such as the State pension (contributory). If you are an employee, Pay Related Social Insurance (PRSI) deductions are made from your earnings each week. If you are no longer an employee or if you are self-employed and you are no longer making compulsory PRSI contributions, you can opt to make voluntary contributions. If you are getting a social welfare payment or signing for credits you may get credited contributions which will also keep your social insurance record up to date. Voluntary contributions can help maintain your social insurance record and help you to qualify for social insurance payments in the future. They cover long-term benefits such as pensions. They do not cover short-term benefits for illness, maternity, paternity, jobseekers, occupational injury or treatment benefit schemes. They also cannot be used to meet the PRSI rules for Invalidity Pension. You can pay voluntary contributions if you are no longer covered by compulsory PRSI in Ireland; are no longer covered by PRSI on a compulsory or voluntary basis in another EU country; meet the age conditions.

What are the age conditions for paying voluntary contributions?

You pay voluntary contributions if you are under 66. You can also pay voluntary contributions if you are aged between 66 and 70, as long as you were born after 1 January 1958 and you do not get the State Pension (contributory).

Am I eligible to make voluntary contributions?

To be eligible to make voluntary contributions you must have at least 520 PRSI contributions paid under compulsory insurance in either employment or self-employment. You must apply to make your voluntary contribution within 60 months (five years) of the end of the last completed tax year (contribution year) during which you last paid compulsory insurance or you were last awarded a credited contribution. You must also agree to pay voluntary contributions from the start of the contribution week that follows the week in which you leave compulsory insurance The contribution year is the same as the income tax year so it runs from January to December. You cannot use contributions paid in Class J to satisfy these conditions. However, you may pay PRSI at Class J and voluntary contributions at the same time. You stop paying voluntary contributions when you start claiming a State Pension, or reach 70 years of age, or start paying PRSI again.

If you need further information about this topic or you have other questions, you can drop-in to the Citizens Information Service in Bantry or ring 0818 07 8390. They will be happy to assist you. WEST CORK HELPLINE 0818 07 8390

The offices are staffed from 10am -5pm from Monday to Thursday and on Friday from 10am -4pm. Alternatively you can email on [email protected] or log on to www.citizensinformation.ie