How to calculate a deferred State Pension (Contributory) rate
- Deferring the State Pension (Contributory)
- What is the deferred State Pension (Contributory) rate?
- How do I calculate my State Pension (Contributory) rate if I defer?
- Example: Calculating a deferred SPC weekly rate
- Example: Comparing SPC rates at draw down age 66 and 67 in 2025
Deferring the State Pension (Contributory)
You can start claiming the State Pension (Contributory) (SPC) anytime between the ages of 66 and 70.
In this page we show to how to calculate your State Pension (Contributory) rate if you choose to defer.
What is the deferred State Pension (Contributory) rate?
The rate of State Pension (Contributory) you get depends on when you start (draw down) your SPC. The rate increases for every year you defer claiming the SPC, up to the age of 70.
In 2025, the maximum State Pension (Contributory) weekly rates:
| Age at start of SPC | Maximum personal rate | Increase for an adult dependant (under 66) | Increase for an adult dependant (66 and over) |
| Age 66 | €289.30 | €192.70 | €259.40 |
| Age 67 | €302.90 | €201.80 | €271.60 |
| Age 68 | €317.90 | €211.80 | €285.10 |
| Age 69 | €334.10 | €222.60 | €299.60 |
| Age 70 | €351.80 | €234.30 | €315.40 |
If you don’t qualify for the maximum rate, you may get a reduced rate (a proportion of the maximum rate).
You can also get a payment for your child dependants (known as a Child Support Payment).
How do I calculate my State Pension (Contributory) rate if I defer?
Step 1: Calculate your total PRSI contributions
You need to check how many PRSI contributions you will have made up to your State Pension (Contributory) (SPC) draw down date.
You must have started paying PRSI at least 10 years before you draw down your SPC and have enough full-rate PRSI contributions.
Your rate of State Pension (Contributory) depends on:
- The age you are when you start (draw down) your SPC
- The number of PRSI contributions you have
You can check your contribution record.
Step 2: Calculate your SPC rate using the Total Contributions Approach (TCA) method.
| A ÷ 2080 x 100 = B |
| A = Your total number of PRSI contributions up to your SPC start date |
| B = The percentage of the maximum SPC rate you will get. |
You will get the maximum personal rate of State Pension (Contributory), if you have 2,080 or more PRSI contributions.
If you have fewer than 2,080 contributions, you will qualify for a percentage of the maximum SPC deferral rate. For example, 1,040 contributions would entitle you to 50% of the maximum SPC deferral rate.
If you don’t get the maximum SPC rate using the TCA method: Go to Step 3.
Step 3: Calculate your SPC rate using the combined Yearly Average (YA) method and TCA method
In 2025, you combine 10% of your SPC deferral rate using the TCA method (see above) with 90% of your SPC deferral rate using the YA method.
The ratio or percentage used depends on the year you draw down your State Pension (Contributory).
The Yearly Average (YA) deferred SPC weekly rates in 2025:
| Yearly Average (YA) contributions | 90% of the personal rate age 67* |
| 48 or over | €272.61 |
| 40 - 47 | €267.33 |
| 30 - 39 | €245.10 |
| 20 - 29 | €232.09 |
| 15 - 19 | €177.62 |
| 10 - 14 | €108.93 |
*Only the Yearly Average (YA) rates for people deferring to age 67 in 2025 are currently available.
Example: Calculating a deferred SPC weekly rate
Susan was 66 in 2024 and chose to defer claiming the SPC to age 67 in 2025.
Step 1
Check Susan started paying PRSI at least 10 years before her draw down date and has enough full-rate PRSI contributions to qualify for the SPC
Susan started work in 1988. She has a total of 834 PRSI contributions, 520 of these are full-rate PRSI contributions from employment.
Now we know Susan qualifies for the SPC, but how much will she get? Go to Step 2.
Step 2
Calculate Susan’s SPC rate using the TCA method
| A ÷ 2080 x 100 = B |
| A = Susan’s total number of PRSI contributions up to her SPC start date |
| B = The percentage of the maximum SPC rate Susan will get |
| 834÷ 2080 x 100 = 40.09% |
| Next calculate 40.09% of the maximum SPC weekly rate |
| The maximum SPC rate age 67 in 2025 = €302.90 |
| 40.09% of €302.90 = €121.43 |
| Using the TCA method, Susan’s SPC weekly rate is €121.43 |
Note: €121.43 is less than the maximum SPC rate for deferral to age 67. Go to Step 3 to find out if Susan will get a higher rate of SPC using the combined YA method and TCA method.
Step 3
Calculate Susan’s SPC rate using the combined Yearly Average (YA) method and TCA method
First: Calculate Susan’s SPC rate using the Yearly Average method
Susan started work in 1988. She will draw down her SPC age 67 in 2025. From entry into insurable employment to the end of the last complete tax year before draw down is 36 years.
Susan will have a total of 834 PRSI contributions up to the date she draws down her SPC.
| 834 PRSI contributions ÷ 36 years = 23.16 |
| Susan’s Yearly Average number of contributions = 23.16 |
| In 2025, 90% of the SPC rate when a person has a Yearly Average number of contributions of between 20 – 29 contributions at age 67 is €232.09 (see YA rates table above). |
Next: Combine Susan's YA and TCA rates
In 2025, 90% of the Yearly Average SPC rate and 10% of the TCA SPC rate are combined to get the final weekly deferred SPC rate. In 2026, 80% of the Yearly Average rate and 20% of the TCA rate will be used.
Susan’s 90% YA rate + 10% of her TCA rate = Susan's deferred SPC weekly rate
| YA rate: €232.09 |
| TCA rate: 10% of €121.43 (Step 2) = €12.14 |
| €232.09 + €12.14 = €244.23 |
| Susan’s SPC weekly rate using the combined YA and TCA method is €244.23 |
Susan will get a higher deferred SPC weekly rate using the combined YA and TCA method.
Example: Comparing SPC rates at draw down age 66 and 67 in 2025
Calculation based on:
- Total number of PRSI contribution = 834
- Yearly average number of PRSI contribution = 23.16
- SPC draw down in 2025
SPC draw down age 66
SPC weekly rate using the TCA method = €115.98
SPC rate using the combined YA and TCA method at age 66 in 2025 is €233.27 per week. (€12,130 per year)
SPC draw down age 67
SPC weekly rate using the TCA method = €121.43
SPC rate using the combined YA and TCA method at age 67 in 2025 is €244.23 per week. (€12,699.96 per year)
You may be eligible for additional benefits when you draw down your SPC such as the Living Alone Increase, Household Benefits Package and Fuel Allowance. If you defer your SPC these benefits will also be deferred.
For further information contact your nearest Citizens Information Centre.