Minister for Social Protection Regina Doherty has told the Dáil that there were no plans to change current rules applying to employed and self-employed income for the means-testing of non-contributory state pensions.

People who did not contribute enough PRSI to qualify for a contributory pension can apply for a contributory state pension when they reach the age of 66. The pension is currently worth a maximum of €238.30/week and will increase by €5 on 26 March.

Means test

However, this can be reduced depending on a means test, including the pensioner's income, if they continue to work. For self-employed people, including farmers, only €30/week of the profit from their business (net of business expenses) is disregarded in the calculation. For people who continue in salaried employment, the disregard is €200/week.

Some farm payments are also disregarded, but this is limited to a portion of money received under certain schemes only, such as AEOS.

Fianna Fáil TD Marc MacSharry asked Minister Doherty in a parliamentary question whether she would "address the anomaly". The minister replied that "there are currently no plans to amend the means assessment for the state pension (non-contributory) scheme".

"Any such changes to the current means-testing arrangements for self-employed pensioners generally would have to be considered in the overall policy and budgetary context," she added.

Calls for farmers to receive full pension entitlements

Budget 2018: Farm Assist payment to increase by €5/week

No plans to change farming income disregard in pensions

Income from farming and other self-employed occupations will remain more heavily weighted than salaries from employment in the calculation of non-contributory state pensions, the Government has said.