Your Primary Entitlement at 65: The Benefit Payment
If you retire at age 65, the main payment you may be entitled to is the Benefit Payment for 65 Year Olds. This payment covers the period between age 65 and 66, bridging the gap until the State Pension starts. Unlike Jobseeker's Benefit, you are not required to actively seek work or sign on.
Qualifying for the Benefit Payment for 65 Year Olds
Eligibility requires you to be 65, have stopped all employment, reside in Ireland, and meet specific PRSI contribution conditions.
Benefit Payment Rates
As of 2025, the maximum weekly rate for a single person is €244.
What About the State Pension?
Both the State Pension (Contributory) and State Pension (Non-Contributory) commence at age 66, based on PRSI contributions or a means test. It's recommended to apply for the State Pension around three months before your 66th birthday.
Health and Medical Entitlements
Access to healthcare benefits is important, though age criteria vary for some schemes.
Medical Card and GP Visit Card
- Under 70: Eligibility for a Medical Card or GP Visit Card relies on a means test. Income limits for a Medical Card for a single person aged 66 or over living alone are slightly higher than for younger individuals.
- Over 70: From age 70, you are automatically eligible for a GP Visit Card, regardless of your income. Medical Cards for those over 70 also have significantly higher income thresholds.
Other Health Schemes
Other potential health entitlements include the Drugs Payment Scheme, which limits monthly prescription costs, and the Long-Term Illness Scheme for free medicines and appliances for certain conditions.
Tax Credits and Exemptions
Several tax benefits become available at age 65, potentially reducing your tax liability.
Age Tax Credit
From 65, you are entitled to an Age Tax Credit of €245 for a single person and €490 for a married couple.
Income Tax Exemption
Individuals aged 65 and over may be exempt from income tax if their total income is below specific limits (€18,000 for a single person, €36,000 for a married couple). Marginal Relief may apply if your income slightly exceeds these limits.
DIRT Exemption
If your income falls below the tax exemption thresholds, you may also be exempt from Deposit Interest Retention Tax (DIRT) on your savings.
Travel and Household Benefits
Some benefits related to travel and household expenses begin at a later age than 65.
Free Travel Scheme
Free travel on public transport is available to all individuals aged 66 and over who reside permanently in Ireland. A companion can also travel for free under certain medical circumstances. Starting September 2025, those aged 70 or over will automatically receive a Free Travel Companion card.
Household Benefits Package
The Household Benefits Package, covering energy allowances and a free TV licence, is generally for those over 70, with some exceptions allowing earlier claims.
Comparison of Entitlements by Age
The table below outlines how some key entitlements change with age.
| Entitlement | Age 65 | Age 66 | Age 70+ |
|---|---|---|---|
| Social Welfare Payment | Benefit Payment for 65 Year Olds | State Pension (Contributory or Non-Contributory) | State Pension (Contributory or Non-Contributory) |
| Free Travel | No (unless on certain disability payments) | Yes | Yes, with automatic companion pass |
| Medical Card (Means Tested) | Yes, with income limits for under 70s | Yes, with slightly higher income limits | Higher income limits; automatic GP Visit Card |
| Age Tax Credit | Yes (€245 single, €490 couple) | Yes (€245 single, €490 couple) | Yes (€245 single, €490 couple) |
| Income Tax Exemption | Yes, if income is below thresholds | Yes, if income is below thresholds | Yes, if income is below thresholds |
| Household Benefits | Not automatically | Not automatically | Yes |
Application Process for Benefits
Applying for benefits involves several steps:
- Preparation: Research entitlements before turning 65.
- Identity Verification: Ensure you have a verified MyGovID for online applications via MyWelfare.ie.
- Online Application: The Benefit Payment can be applied for online at MyWelfare.ie.
- Paper Application: A paper form for the Benefit Payment can be requested via email.
- Documentation: Gather necessary documents like proof of age and PRSI records.
- Information: Contact a local Citizens Information Centre for assistance. More details are available on the {Link: Citizens Information Website https://www.citizensinformation.ie/en/social-welfare/older-and-retired-people/payment-for-people-retired-at-65/}.
In Conclusion
Upon reaching age 65 in Ireland, the primary entitlement for those retiring is the Benefit Payment for 65 Year Olds, providing financial support until the State Pension begins at 66. Various health, tax, and travel benefits become accessible at different age points. Understanding these entitlements and planning applications can help ensure a smooth transition into later retirement years.
