Can You Work and Claim the State Pension in Ireland?

A lot of people in Ireland assume that turning 66 means choosing between a pay packet and a pension. For most, it does not. You can usually keep working and draw the State Pension at the same time, and since June 2026 you also have a new legal right to push back against being retired at 65. 💚

This guide explains how work affects each type of State Pension, when it makes sense to delay your pension, and what to do if your contract says you must stop at 65.

1. The contributory pension: work as much as you like

The State Pension (Contributory) is based on your PRSI record, and it is not means-tested. You can get it from 66 and carry on working full-time, part-time or for yourself, and your earnings will not reduce it by a cent.

In 2026 the maximum rate for someone who starts their pension at 66 is €299.30 a week, with increases available if you have a qualified adult who depends on you. The rate you actually get depends on how many PRSI contributions you have.

The one catch is tax. The pension counts as taxable income, so it is added to your wages when Revenue works out what you owe. More on that in section 5.

Simple action: Ask for your Contribution Statement through MyWelfare.ie. It shows every PRSI contribution on your record, which you need to know before you decide when to start your pension.

2. The non-contributory pension: the first €200 is yours

If you do not have enough PRSI contributions, you may qualify for the State Pension (Non-Contributory) instead. This one is means-tested, so work does affect it, though less than many people fear.

The first €200 a week you earn from insurable employment is ignored in the means test. Your spouse, civil partner or cohabitant also has their own €200 weekly disregard. Anything above that is counted as means.

The disregard does not apply to self-employment or farming. All income from those is assessed.

Example: Mary is 67, on the non-contributory pension, and earns €260 a week in a shop. The first €200 is ignored, so only €60 a week is counted in her means test. If she dropped a shift and earned €190, none of her wages would be counted at all.

3. Working on and delaying your pension

If you were born on or after 1 January 1958, you can choose to start your contributory pension at any point between 66 and 70. Delaying it is called deferring, and it pays a higher weekly rate.

The maximum weekly rates in 2026 by the age you start:

• Age 66: €299.30
• Age 67: €313.40
• Age 68: €328.90
• Age 69: €345.70
• Age 70: €363.90

While you defer and keep working, you continue paying PRSI, and those contributions count. That matters most for two groups: people who are short of the 520 contributions (10 years) needed to qualify at all, and people whose rate would otherwise be reduced. The record tops out at 2,080 contributions (40 years), so extra years beyond that do not add anything.

Once you start drawing the pension, you stop paying PRSI and you cannot defer again, even if you keep working.

💡 Tip: Do the sum before you defer purely for the higher rate. Waiting from 66 to 70 means going without roughly €62,000 of pension over four years, and the extra €64.60 a week at 70 takes about 18 years to make that back. Deferring makes most sense when it helps you qualify or lifts a reduced rate, not as a savings plan on its own.

4. If your contract says you must retire at 65

Many employment contracts still set a retirement age of 65, which leaves a year before the State Pension starts. The Employment (Contractual Retirement Ages) Act 2025, in force since 29 June 2026, gives you the right to say you do not consent to retiring at that age.

You are covered if your contract sets a retirement age of 65 or under and you have finished your probation. To use the right, you must:

• Write to your employer saying you do not consent to be retired
• Refer to section 5(1) of the Employment (Contractual Retirement Ages) Act 2025 in the letter
• Send it at least 3 months, and no more than 1 year, before your retirement date

Your employer must reply in writing within one month. If they still want you to retire, they have to give their reasons and show the decision is objectively and reasonably justified. The Workplace Relations Commission publishes a Code of Practice on Longer Working with template letters.

If your contract already sets a retirement age of 66 or over, the Act does not apply, but you can still ask to work longer. The Code of Practice suggests making that request at least 3 months before your retirement date, followed by a meeting with your employer.

Simple action: Find your contract and check the retirement age. If it is 65, put a reminder in your diary 4 months before that date so your letter goes in with time to spare.

If you do stop at 65, the Benefit Payment for 65 Year Olds can cover the year until your pension starts. Our guide to bridging the gap before your State Pension explains how it works.

5. Tax, timing and applying

Tax is not deducted from the State Pension itself. Instead, Revenue usually uses some of your tax credits and rate band against the pension, which means more tax may come out of your wages once the pension starts. It is worth checking your tax credit certificate on Revenue.ie after your first payment so there are no surprises.

From 65 you may also be entitled to an extra Age Tax Credit, and people on lower incomes may fall under Revenue's higher exemption limits for over-65s.

Apply for your contributory pension at least 3 months, and no more than 6 months, before the date you want it to start. You can apply online at MyWelfare.ie with a verified MyGovID account, or on paper using form SPC1, which asks you to choose your start date. Late claims can only be backdated by up to 6 months, so do not leave it.

💡 Tip: If you plan to defer, say so on the SPC1 form by choosing your later start date. There is no separate deferral form to hunt for.

Carrying on working after 66 is a choice more people are making, and the system now does more to support it than it used to. Whether you want the extra income, the company, or a few more PRSI years on your record, you can make the decision on your own terms. 💛

If you would like help working out the right start date for your pension, call Citizens Information on 0818 07 4000 or visit citizensinformation.ie.

For the full picture on how your pension rate is worked out, our guide to the Irish State Pension walks through your PRSI record, and our checklist of free benefits for over-60s in Ireland covers what else comes with reaching 66. Applying online is much easier with MyGovID set up first. If you are in the UK rather than Ireland, our guide to bridging the gap before your State Pension age in the UK covers the rules there. Browse more Una guides for plain English help with money and work in later life.