Social Welfare Consolidation Act 2005 section 108

Entitlement to pension

Section 108 establishes the basic entitlement conditions for the State Pension (Contributory), introduces the option to defer claiming for a higher rate, and defines key terms used throughout the chapter.

• To qualify for State Pension (Contributory), a person must apply in the prescribed manner, have reached pensionable age (or deferred pensionable age), and satisfy the contribution conditions set out in section 109.
• People born on or after 1 January 1958 can defer claiming beyond age 66, with enhanced "age-referenced rates" available at ages 67, 68, 69 and 70 for those who have never previously been awarded the pension — but this enhanced rate is unavailable to those already receiving certain specified weekly social welfare payments.
• Two methods exist for calculating contribution records — the "yearly average" (from 1953 or date of entry into insurance, if later, to pensionable age) and the "alternative yearly average" (from April 1979 onwards) — with whichever produces the better result being applied to the claimant.
• Special provisions for homemakers and home carers allow up to 20 complete contribution years to be disregarded when calculating yearly averages, recognising periods spent providing full-time care for children under 12 or incapacitated persons.