Pay Related Social Insurance Contributions and Pension Benefits
All teachers pay PRSI (Pay Related Social Insurance Contributions) on salary earned from the Department of Education.
The Department of Education also pay Employers PRSI on the teacher’s behalf.
There are different classes of PRSI that are paid at different rates and they accrue different state benefit entitlements.
How is my PRSI class for teaching employment decided?
Your current class of PRSI is decided by the date of your entry into teaching. Those who began teaching prior to April 6th, 1995 pay PRSI at Class D. If they resigned a teaching position after April 1995 and had a break in PRSI contributions they move to Class A PRSI from that date on.
All members who entered teaching on or after April 6th, 1995 pay Class A PRSI.
All substitute work at any stage of a teacher’s career is subject to Class A PRSI deductions.
Where can I find my PRSI Class?
Members can see their PRSI Class on their fortnightly payslip.
Members can also access their full PRSI record from their MyGovId account.
PRSI Contribution Rates
Class D contributions are at 0.9% up to €1,443 a week and 4% above €1,443 a week
Class A contributions are at 4% after the first €352 of weekly income.
Class A Benefits Include
Adoptive Benefit
Carer’s Benefit
Guardian’s Payment Contributory
Health and Safety Benefit
Illness Benefit
Invalidity Pension
Jobseeker’s Benefit
Maternity Benefit
Occupational Injuries Benefits
Parent’s Benefit
Partial Capacity Benefit
Paternity Benefit
State Pension Contributory
Treatment Benefit
Widow’s, Widower’s or Surviving Civil Partner’s Contributory Pension.
Class D Benefits Include
Carer’s Benefit
Guardian’s Payment Contributory
Occupational Injuries Benefits
Parent’s Benefit
Widow’s, Widower’s or Surviving Civil Partner’s Contributory Pension.
Further information on PRSI and contribution rates is available here
What Happens on Retirement?
On retirement members with Class D PRSI contributions only, have no entitlement to a state pension benefit and will receive their pension in full through the Department of Education.
Members who have Class A contributions, or a mix of Class A and Class D may have an entitlement to the State Pension from the state pension age (currently 66) or to Job Seeker’s Benefit/Age 65 Benefit if they retire before the state pension age.
These members will have to interact with the Department of Social Protection when they retire to claim any benefits they are entitled to.
Retiring before the age of 65 with any Class A PSRI
On retirement the member should go to their local INTREO office, details here gov.ie – Intreo centres and local branch offices (www.gov.ie).
The member should ask to be assessed for Job Seeker’s Benefit (not Job Seeker’s Allowance which is means tested), this is based on their number of PRSI Class A credits. There may be no entitlement, or they may have an entitlement for up to 9 months which they need to claim.
Once the Job Seeker’s benefit has ceased, or if there is no Job Seeker’s Benefit entitlement, the member can request the Intreo officer to complete the Supplementary Pension Form 4, which the member returns to the Department of Education along with Supplementary Pension Form 1 which they have completed.
The Department of Education then pays the member a Supplementary Pension which ensures that they receive their full pension entitlement.
The onus is on the retired teacher to inform the Department of Education when any State Benefit ceases and to activate their Supplementary Pension.
Substitute Work while claiming Job Seeker’s/ Supplementary Pension.
The Department of Education will stop the payment of any Supplementary Pension for the duration of a retired teacher’s substitute work.
Jobseekers Benefit will stop if a member does any work which involves a PRSI contribution.
Retiring at age 65 with any Class A PRSI
Upon retirement at age 65 the member can apply for the Age 65 Benefit online through a MyGovId account online or by completing an application form available from your local Intreo Centre or Branch Office.
Members can find out more about eligibility for this benefit here gov.ie – Benefit Payment for 65 Year Olds (www.gov.ie).
If a member retires at age 65 and has no entitlement to an Age 65 Benefit you then request the Intreo officer to complete the Supplementary Pension Form 4 for you, which you return to the Department of Education along with Supplementary Pension Form 1.
The Department of Education will then pay a Supplementary Pension which ensures that the member receives the full pension entitlement.
The onus is on the retired teacher to inform the Department of Education when any State Benefit ceases and to activate their Supplementary Pension.
If you retire from age 66 onwards with any Class A PRSI.
You should apply for the State Pension contributory three months before you turn 66.
If you worked and paid social insurance contributions abroad and in Ireland, you should apply six months before you turn 66.
You can find details here gov.ie – State Pension (Contributory) (www.gov.ie).
If you have no entitlement to a State Contributory Pension, or the amount you are entitled to is less than any Supplementary Pension you received prior to age 66, then you complete and return the Supplementary Pension Form 1 and ask your Intreo Officer to complete Supplementary Pension Form 6 form you. You return both of these forms to the Department of Education who ensure that you receive your full pension entitlement and continue to pay a Supplementary Pension to you if necessary.
Supplementary Pension Forms
Supp 1 form – Completed by the teacher and returned with the relevant Supp 3, 4, or 5 to the Department of Education
Supp 3 form– Retired on Medical Grounds.
Supp 4 form– Applies to persons who are aged under 66 on retirement.
Supp 5 form– Applies to persons who are aged over 66 on retirement.
Updated July 2023
