Tax-free payments are to be paid out to former TDs, writes Miriam Donohoe, Political Staff
The 30 TDs who lost their seats in the general election will not leave Leinster House empty-handed, as they are in line for lump sum, termination and pension payments.
The Tánaiste and Minister for Justice, Michael McDowell, the only Cabinet member to fail to secure a return to the Dáil, will be entitled to an additional ministerial pension.
On top of a pension, every TD who lost a seat will receive a once-off tax-free termination payment of two months' salary plus allowances (such as extra payments for holding the chair of a Dáil committee).
Based on the TD's basic salary of just over €95,000, this will work out at about €17,000.
Any departing TD who immediately becomes an MEP, a senator, or who is appointed by the new government to a full-time position does not qualify for the termination lump sum or monthly payment.
In addition to the lump sum, TDs who have a minimum of three years service will receive a monthly taxable "termination payment" to a maximum of 12 monthly payments depending on the length of service.
This means that the 17 one-term TDs who lost their seats, will be entitled to the termination payment plus three monthly payments equivalent to 75 per cent of their salary, working out at about €8,000 each.
Kildare North Independent TD, Catherine Murphy, who lost her seat, will not be entitled to a monthly termination payment as she held her seat for less than three years. She was elected in the byelection in March 2005.
TDs with longer service, such as Fianna Fáil's Michael Smith who has been a TD for various spells since 1969, Ivor Callely who served 18 years in the Dáil, and the PDs' Liz O'Donnell who served for 15 years, will receive six monthly payments of 75 per cent of a TD's salary plus six monthly payments equivalent to 50 per cent of a TD's salary (about €7,100).
The Socialist Party TD, Joe Higgins, and Fianna Fáil TD Martin Brady, who had 10 years' service each, will receive six monthly payments of 75 per cent of their salary plus two other payments equivalent to 50 per cent of their salary.
Once the monthly termination payments end, former TDs get a pension lump sum and monthly pension payment, based on their years of service.
To qualify they must have a minimum of two years' service in either the Dáil or the Seanad and for a full pension they must be aged 50 or over.
The pension is based on 1/40th of salary per year of service and is capped at 20 years' service.
The minimum value of a pension cannot exceed half the individual's annual salary, including allowances. There is a pension lump sum which is three times the value of the annual pension and cannot exceed 1.5 times the annual salary and is non-taxable.
This means a one-term TD with five years' service will get a taxable annual pension of about €12,000 plus a non-taxable pension lump sum of €36,000.
A TD with long service such as Ivor Callely will receive a pension of about €42,000, plus a pension lump sum of about €126,000, while Liz O'Donnell will get about €35,000 annual pension and a lump sum of about €105,000.
On top of these payments, the outgoing Tánaiste, Michael McDowell, will be entitled to 30 per cent of a tánaiste's salary in pension, working out at over €70,000 annually.