People who work beyond the age of 66 will be paid higher pension rates under a major reform of the state pension system.
From January 2024, people will have the option to continue working up until the age of 70 in return for a higher pension. The rate for those who retire at 70 will be around €315, whereas those who begin their pension at 66 will receive €253 per week.
The state pension age will remain at 66, Minister for Social Protection, Heather Humphreys TD confirmed.
New measures will also ensure long-term carers are provided with a pension for the first time. This will mean, for the first time, people who have to give up work over a long duration to look after a loved-one will have their time spent caring recognised in the pension system.
The reforms are based on the recommendations of the Commission on Pensions, which also suggested that a scheme should be designed to modify the current Benefit Payment for 65-year-olds to provide a benefit payment for people who, following a long working life, 40 years or more, are not in a position to remain working in their early 60s.
The measures were approved by Cabinet this morning.
