State Pension (Non-Contributory) Ireland: 2025 Guide

The Non-Contributory State Pension is a weekly social welfare payment to older adults who don’t qualify for the State Pension (Contributory) in Ireland. 

How much is the Non-Contributory State Pension in 2025?

Which of your employees are eligible for it?

We’ll answer all these questions in this article. 

Further Reading

• Explore Invalidity Pension in Ireland and how it guarantees financial support to employees battling long-term illness.

• Tired of the long waitlists for public healthcare in Ireland? See how Private Health Insurance can help your employees skip the queue.

What Is the State Pension (Non-Contributory) in Ireland?

The State Pension (Non-Contributory) is a means-tested payment made to individuals aged 66 and above who don’t qualify for the State Pension (Contributory) based on their PRSI (Pay Related Social Insurance) contributions.

Ireland’s Department of Social Protection (DSP) introduced the Non-Contributory Pension scheme in September 2006. 

The scheme was formerly known as the Old Age Non-Contributory Pension.

You may be wondering…

What Is the Difference Between the Contributory and Non-Contributory State Pensions? 

Here’s the fundamental difference between both State Pensions in Ireland:

• In the State Pension (Non-Contributory), your employees’ eligibility is determined through a means test, where the Department of Social Protection (DSP) analyses their financial resources. (We’ll explain how the DSP conducts the means test when we cover eligibility later in the article.)

• On the other hand, your employees must fulfil certain social insurance contribution conditions to qualify for a Contributory State Pension.

Learn more about Ireland’s State Pension (Contributory).

How Much Is the Non-Contributory Pension in Ireland?

The maximum weekly rate of State Pension (Non-Contributory) from January 2025 is: 

• €278 if the person is 66-79 years old.

• €288 if the person is aged 80 and over.

This is part of the changes the Irish government announced in its Budget 2025. 

There’s also a proportional rise in the payments for qualified adults and child dependents, which is as follows: 

• Individuals can claim an increase of €183.60 per week for an adult-dependant under 66 as part of their pension entitlement.

• Members aged between 66 and 79 with child dependents under 12 can claim an increase of €50 (full rate) and €25 (half rate).

• Members aged 80 and over with children aged 12 or above can receive an increase of €62 (full rate) and €31 (half rate).

How does the DSP decide whether to give your employees a full or half-rate increase for a qualified child (IQC) payment?

Your employees can get a full-rate IQC if they’re getting an increase for a qualified adult for their spouse, civil partner, or cohabitant or if they’re parenting alone.

They’ll get a half-rate IQC if their spouse, civil partner, or cohabitant earns between €310 and €400 per week (this condition doesn’t apply to some social welfare payments like jobseeker’s allowance, disability allowance, etc).   

However, your employees don't receive an increase for qualified child dependents if their partner earns over €400 per week or if they receive certain government benefits.

Who Can Qualify for the State Pension (Non-Contributory) in Ireland?

To qualify for the State Pension (Non-Contributory), your employees must:

• Be aged 66 and above.

• Be living in Ireland and fulfilling the habitual residence condition (HRC). 

  • In Irish law, the term "habitually resident" is not clearly defined, but it implies that the person must have a clear and established connection to Ireland. 

  • For example, one factor determining this “connection” would be any arrangements your employees have made to stay in Ireland long-term. 

• Pass a means test conducted by the Department of Social Protection that examines all their sources of income.

How Are Your Employees Means Tested for the Irish Non-Contributory State Pension?

A means test checks if your employees have enough financial resources to support themselves and determines their eligibility for the State Pension (Non-Contributory). 

Here’s an overview of how the DSP carries out the means test:

• When your employees apply for a means-tested social welfare payment, like the Non-Contributory State Pension, they must complete a form with details of all their income sources. It may also ask for their bank details, like account numbers.

• A Social Welfare Inspector will then visit their home and interview them to assess their income. They may also ask for supporting documents, such as your employee’s bank statements.

• The officer will assess their total income from all sources to determine if they qualify for the State Pension (Non-Contributory). A separate Deciding Officer will decide on their pension entitlement. 

What Is Assessed in a Means Test?

The means test for the Non-Contributory State Pension looks at two things:

• Cash income: The money your employees or their spouse, civil partner, or cohabitant may have. 

• Capital: The value of your employees’ savings, investments, shares, or any property (except their own home and the first €20,000 of the capital). 

Let’s discuss these in more detail. 

1. Cash Income 

Any cash income earned through employment, self-employment, occupational pension, private pension, or social security pension from foreign countries is assessed in a means test.

But if your employees earn up to €200 per week from employment, their income is not assessed in a means test. 

For example:

If your employees work under a Community Employment scheme (but are not self-employed) and earn €200 per week, the DSP will not assess their earnings in a means test. Their spouse, civil partner, and co-habitant can also make up to €200 per week.

Cash income can also include income generated from owning or leasing farmlands.

Your employee’s net income from owning or leasing their farmland is calculated by deducting expenses from their gross income (income before tax).

However, if your employees don’t actively use or lease the land they own, the DSP will consider its capital value.

For the means test, the DSP doesn't consider:

• Any income received through the Farm Retirement Scheme.

• Income from property that has already been assessed on its capital value. 

2. Value of Capital and Property 

Capital includes any savings, investments, cash on hand, and any property your employees have (except their own home). 

The DSP combines all the capital from various sources and uses a particular formula to calculate your employees’ weekly means from their capital.

As per this formula: 

• The initial €20,000 of capital is completely excluded from consideration. 

• The subsequent €10,000 is assessed at a rate of €1 per thousand.

• The next €10,000 at €2 per thousand, and any amount beyond that is assessed at €4 per thousand.  

But remember:

Even though personal property, like your employee's house, isn’t considered in a means test. Any income they generate from their home, such as renting a room, may be assessed in a means-test.

There are also some exceptions if they are:

• Living alone: If your employees live alone and decide to rent out a room in their own home, the DSP will disregard the income from the rent they receive.

• Not living alone: 

  • If your employees don’t live alone, they can earn up to €269.23 per week (€14,000 per year) by renting out a room in their house without it affecting their State Pension (Non-Contributory). 

• However, the person renting the room must use it for at least 28 consecutive days and shouldn’t be an employee or an immediate family member.

What’s more?

The means test also assesses any income your employees get by selling, leaving, or investing the income obtained from selling their house. 

i. Selling their House 

If your employees sell their house, the income they get from the sale is considered in the means test.

However, if they sell the house because it's no longer suitable or affordable to maintain, up to €190,500 of the sale proceeds will be excluded from the means test. 

This exemption applies if your employees use the money from the sale to:

• Buy or rent more suitable accommodation.

• Move into a registered private nursing home.

• Live with someone receiving a carer's allowance to care for them.

• Relocate to sheltered or special housing in various sectors (voluntary, co-operative, statutory, or private).

ii. Leaving their House without Selling it

When your employees leave their home temporarily or permanently due to old age or illness, the DSP won’t consider the value of their home in the means test. 

The catch?

If they receive income from the house (like rent), the DSP will consider the property's capital value in the means test.

iii. Investing Income Obtained From the Sale of the House

The DSP will consider any income your employees make from selling their home in the means test, and interest on their investment will be counted as capital income.

However, if they use the interest to cover significant living expenses like nursing home costs, the DSP may exempt the interest from a maximum capital limit of €190,500.

Total Means

Your employees means under the various headings (cash and capital) are combined to calculate their total means, determining the pension amount they’ll receive.

In the case of a couple (married, civil partners, or cohabiting), the DSP will consider half of the total means between the two partners.

The lower your employees’ total means, the higher the pension rate they’re likely to receive — within the limits set by the pension scheme.

Further Reading

• Discover how Ireland’s Auto-Enrolment Pension Scheme can boost your employees’ retirement savings. 

• Have expecting mothers’ on your team? Find out how the Irish Maternity Benefit can support them during this special time.

How Can Employees Apply for the Irish Non-Contributory State Pension?

To apply for the Non-Contributory Pension scheme, your employees should apply at least three months before they reach the State Pension age of 66 and follow these steps:

1. Filling Out the Application Form 

Your employees should download the application form (SPNC-1).

If they’re unable to download the online form, they can collect it from the nearest Intreo Centre, Social Welfare Office, post office, or Citizens Information Centre. 

The SPNC-1 form asks your employees for the following information:

• Part 1: Personal details 

  • PPS number

  • Name

  • Mother’s birth surname

  • Relationship status 

  • Contact details 

• Part 2: Work and claim details 

  • Employment status

  • Pension allowances (received in the past)

  • Financial and bank account details

  • Property owned 

• Part 3: Habitual residential conditions

• Part 4: Payment details (of the Applicant)

  • Financial institution 

  • Post office 

• Part 5: Details of the dependent child/children 

• Part 6: Other payment details 

  • Living alone increase

  • Household benefits package 

  • Fuel Allowance 

  • Dependent’s details 

• Part 7: Spouse’s, civil partner, or cohabitant's details

• Part 8: Spouse’s, civil partner, or cohabitant's work and claim detail

• Part 9: Spouse’s, civil partner, or cohabitant's payment details

  • Qualified Adult Declaration 

  • Payment details (of the spouse, civil partner, or cohabitant) 

    • Financial institution (details of bank accounts)

    • Post office 

2. Submitting the Application Form  

Your employees can send their completed application forms via post to the following address: 

Department of Social Protection

Social Welfare Services

College Road

Sligo

F91 T384

For further information and pension-related queries, your employees can contact:

Tel: (071) 915 7100 or 0818 200 400

Email: [email protected]

6 FAQs on the Irish State Pension (Non-Contributory) 

Some commonly asked questions about the Non-Contributory State Pension are:

1. Can Employees Claim Other Benefits While Receiving the Non-Contributory Pension?

Irish employees receiving the Non-Contributory State Pension can get extra benefit payments while continuing to receive their pension entitlement.  

Some benefits include: 

• Supplementary Welfare Allowance Scheme: A weekly payment to individuals lacking sufficient income to cover their or their family's essential needs. From January 2025, it will be paid at a rate of: 

  • €242 for individuals aged 25 and above (€230 in 2024) 

  • €242 for individuals under 25 years of age living independently on State support (€230 in 2024) 

  • €153.70 for individuals under 25 not living independently (€141.70 in 2024) 

• Living Alone Increase: An additional €22 per week (no change in 2025) will be paid to individuals who live alone and receive a social welfare payment. 

• Free Travel Pass: Provides free public transport services to those receiving specific social welfare payments.

• Fuel Allowance: Helps people on long-term social welfare payments by supporting fuel costs and is paid at a weekly rate of €33 (no change in 2025).

• Carer's Support Grant: An annual payment of €2000 (up from €1,850 in 2024) as of January 2025 for carers aged 16+ providing full-time care for at least six months a year..

2. When Is the Non-Contributory State Pension Paid to Employees in Ireland?

The State Pension (Non-Contributory) is a weekly income paid in advance every Friday.

The Department of Social Protection may deposit the payment directly into your employees’ bank or building society account through Electronic Fund Transfer (EFT). 

Alternatively, pension scheme members can collect it from a selected post office using their Public Services Card.

3. What Happens If an Employee Dies While Receiving the Non-Contributory State Pension Payment?

When an employee receiving the State Pension (Non-Contributory) passes away, their spouse, surviving civil partner, or dependent should:

• Notify the DSP and register the death with the General Register Office (GRO) within three months.

• Return the person's Public Services Card (used to collect the payment at the Post Office). The family members can note the PPS number for their reference.

In most cases, the spouse, surviving civil partner, co-habitant, or carer can receive a payment if they have been included in the scheme to receive an increase for adult dependents.

The payment is made six weeks after the person's death at the same weekly rate as it was made to the deceased member.

4. What Is the Widow's, Widower's or Surviving Civil Partner's (Non-Contributory) Pension?

The Widow's, Widower's, or Surviving Civil Partner’s (Non-Contributory) Pension is a means-tested payment for individuals who have lost their spouse or civil partner and don’t have any child dependents.

In 2025, it's paid at a maximum weekly rate of €244. 

Individuals who don’t meet the eligibility criteria for a Widow's, Widower's, or Surviving Civil Partner’s (Contributory) Pension can apply for this pension plan. 

5. Can Employees Receive the State Pension (Non-Contributory) Payment If They Move Outside Ireland?

If your employees leave Ireland, they won't be able to receive the State Pension Non-Contributory payments. 

However, if they relocated to Northern Ireland and received this pension before the move, they may continue receiving it for up to five years.

Additionally, suppose your employees have to go abroad briefly for specific reasons. In that case, the Department of Social Protection will assess whether they can continue receiving the pension when they return. Your employees must notify the DSP before leaving Ireland.

6. How Long Can Your Employees Receive Their Pension?

The State Pension Non-Contributory will be paid for as long your employees satisfy the eligibility criteria. However, if they start receiving State Pension Contributory at a higher rate, they’ll stop receiving the State Pension Non-Contributory.

Offer Better Retirement Support to Your Employees with Kota 

Considering the growing living costs, an employee may need more than the Irish State Pension (Non-Contributory) to lead a comfortable life post-retirement. 

So why not supplement their pension using Kota?

Kota lets you enrol employees in an occupational pension scheme and add them to a corporate Master Trust without any administrative overheads.

You can:

• Easily onboard your employees to a workplace pension plan. 

• Set matching employer and employee contribution limits — with employees having complete freedom to increase or decrease their contributions. 

• Automate pensions to reduce extensive paperwork.

• Integrate your existing HR and payroll tools for a unified pensions system.

Join Kota to scale your team’s retirement benefits in one digital app.