Social Security Act (Cap. 318)

Social Security Act (Cap. 318), article 16

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16. (1) When a person pays his first contribution under this Act he shall become entitled to a credited contribution for eve ry calendar week falling between the first day of the contribution year immediately preceding the one in which he paid his first contribution and the last day of the calendar week immediately preceding the week in respect of which his first contribution h ad been paid; and, for this purpose, if the first contribution had been paid under the provisions of the National Insurance Act, as in force prior to the commencement of this Act, such contribution shall be deemed to have been paid under the provisions of this Act. (2) Contributions shall be credited to - (a) an actual widow, where such actual widow is not gainfully occupied, and whether she is entitled to a pension in respect of widowhood or not, for any period during which she does not remarry and provided her deceased husband had paid 156 contributions prior to his death; (b) with effect from the 5th Ja nuary, 1987, an ex-member of the Malta Police Force or of the Armed Forces of Malta who retires or has retired from the service on a full pension from Government as his employer on completion of service prio r to reaching pension age, for any period during which he is not gainfully occupied and has not yet reached pension age; (c) any citizen of Malta who goes abroad as a volunteer worker on projects in the areas of human welfare and development and environmental protection which are recognized as such by the Minister in advance, for any period during which he is performing such volunteer work and has not yet reach ed pension age; sohowever that, for this purpose, any such number of credited contributions shall in no case exceed an aggregate of 260 in any period of 10 years in such volunteer work, provided that: (i) where any such volunteer work as aforesaid in this paragraph was per formed between the 5th January, 1981 and the 6th January, 1991 the foregoing provisions of this paragraph shall also apply if the Minister is satisfied that the projects on which such volunteer work was performed were restricted to the areas aforesaid in this paragraph; sohowever that any credited contributions that have to be awarded in accordance with the foregoing provisions of this paragraph shall cove r consecutive periods SOCIAL SECURITY [CAP. 318. 23 starting from the 6th January, 1991 backwards; (ii) where any such volunteer work is carried out in Malta or abroad, by young persons who have not yet reached 25 years of age, the maximum number of weeks in credited contributions shall be awarded for a maximum period of 260 weeks in so far as the young person returned in insurable employment or self-occupation for a period of not less than five years; (d) the father or the mother, who have attained the age of eighteen years and born on o r a f t e r t h e 1 s t J a n u a r y 1952, has the legal care and custody of a child who has not attained the age of six years, or the age of ten years in the case of a child who has been certified by a medical consultant as, during the period for which the credit is being requested having a serious disability, or suffering from a rare condition or disease: Provided that the sum total of such credited contributions which may be given with regard of each child to a parent or to both parents together shall not exceed 104 contributions in any period of two years such that on the first three children, the accredited contributions which may be given to a parent or to both parents together who were born between 1st January 1952 and 31st December 1961, shall not exceed 312 contributions in any period of six years; whilst the sum total of such credited contributions which may be given with regard of each child to a parent or to both parents together who were born on or after 1st January 1962 shall not exceed 208 contributions in any period of four years sohowever that the maximum of credit ed contributions which may be given on the first three children to a parent or to both parents together who were born on or after 1st January 1962 shall not exceed 624 contributions in any period of twelve years: Provided further that in the case of a parent who, to the satisfaction of the Director, presents a certificate from a medical consultant of a child having a serious disability during such period for which credits are requested, the sum total of such credited contributions that may be awarded in respect of each and every such child shall not exceed 208 contributions in any period of four years where the parent was born between 1st January 1952 and 31st December 1961, and shall not exceed 416 contributions in any period of eight years where the parent was born on or after 1st January 1962: Provided further that in the case of a parent who proves to the Director that he is taking care of a child suffering from a rare disease or disorder which affects less than one (1) in two thousand (2,000) Maltese residents, as 24 CAP. 318.] SOCIAL SECURITY certified by a medical consultant or practitioner specialising in such field an d that such condition requires constant care and attention in a manner that such parent is unable to maintain full-time or part-time employment, during such period of which contribution credits are requested, the sum total of such credited contributions that may be awarded in respect of each and every such child shall not exceed two hundred and eight (208) contributions in any period of four (4) years where the parent was born between 1 st January 1952 and 31 st December 1961, and shall not exceed four hundred and sixteen (416) contributions in any period of eight (8) years where the parent was born on or after 1 st January 1962: Provided also that any period of credited contributions that may be awarded from t he fourth child onwards, which total sum for each child shall not exceed 52 credited contributions t o that parent or parents together who were born between the 1st January 1952 and the 31st December 1961, and 104 credited contributions for each child to that parent or parents together who were born on or after 1st January 1962, shall only be awarded insofar as, prior to the pension age, such father or mother, as the case may be, resumes gainful occupation for a minimum period equivalent to that period for which such number of credits would have been awarded for the fourth child onwards, sohowever that, in the event of the death of any such parent, such credits shall still be awarded notwithstanding that the minimum period required according to this proviso for the award of such credits shall not have been satisfied; (e) persons who were born after the 1st January 1952 for periods during which the Social Security contribution due was not paid because they were undergoing a period of study according to Part V of the Tenth Schedule and qualified of such level; (f) persons in insurable employment who terminate their employment so as to partake of an early retirement scheme, as may be approved by the Minister responsible for Finance, or are prior to the said date recognized as such by the Director, from the age of 60 until they reach pension age; (g) a person born on the 1st January 1962 or after, who did not engage in any gainful occupation between the age of eighteen (18) years and thirty (30) years and proves to the satisfaction of the Director that during this period he has been undergoing regular treatment by a psychiatrist who is or was consultant in Government employment, the sum total of such credited contributions that may be awarded for such period, which shall not exceed one hundred and four (104) contributions: SOCIAL SECURITY [CAP. 318. 25 Provided that the total of such credited contributions that may be awarded for such period, shall not exceed one hundred and four (104) contributions in the case of a person who successfully concludes a programme in a therapeutic community centre for the rehabilitation of drug or alcohol addicts in Malta, as may from time to time be recognised by the Minister and starts working. (3) A contribution shall also be credited to any insured person - (a) for any calendar week for each day of which in terms of articles 18, 28 and 30 he is entitled to Sickness Benefit, or Injury Benefit, or Unemployment Benefit, or Special Unemployment Benefit, or for any calendar week during which he is entitled to Invalidity Pension, Increased Invalidity Pension or, prior to reaching pension age, a National Minimum Pension under article 26, or for any calendar week during which he is entitled to a Carer’s Allowance or Increased Carer’s Allowance under article 68 and at any time prior to his becoming entitled to a Carer’s Allowance or Increased Carer’s Allowance as aforesaid in this paragraph was employed in insurable employment or was self-occupied and immediately prior to his becoming entitled to such Carer’s Allowance or Increas ed Carer’s Allowance had - (i) paid a total of 156 contributions; and (ii) paid or been credited w ith an average of at least fifteen (15) contributions per annum; since attaining his 18th birthday: So however that, with effect from the 5th January 2013, the provisions of this sub-article shall also apply to persons who are not entitled to a Carer’s Allowance who who fail to satisfy the conditions of Part IV of the Second Schedule but fulfil the criteria stipulated by the provisions of article 106(a): Provided that, notwithstanding the provisions of this sub- article, with effect from 1st January 2023, a person entitled to a Carers Allowance or an Increased Carers Allowance in accordance with the provisions of article 68 and who fails to satisfy the conditions mentioned in this sub-article, shall be entitled to a total of two hundred and eight (208) credited contributions: Provided that with effect from 1st January 2025, the provisions of this sub-article shall also apply to persons entitled for the Carers Grant in accordance with the provisions of article 68. 26 CAP. 318.] SOCIAL SECURITY Cap. 594. (b) if he is normally employed in insurable employment or self-occupied and normally relies on such employment or self-occupation for his livelihood, for any calendar week each day of which is f or him a day of incapacity f o r w o r k o r , a d a y o f u n e m p l o y m e n t a n d e i t h e r registered in the Register kept in accordance with the provisions of the Employment and Training Services Act, or certified by the Corp oration established by the Act aforesaid to be unemployable and for this reason is registered in th e said Register: Provided that the provisions of this paragraph shall not apply where - (i) had such person not been self-occupied immediately prior to his incapacity for work, he would not have become entitled to a certificate of low income under and in accordance with the provisions of article 12; Cap. 594. (ii) such person had not been in insurable employment of self-occupation or registered in the Register kept in accordance with the provisions of the Employment and Training Services Act , or certified by the Corporation established by the Act aforesaid to be unemployable, and for this reason is registered in the said Register, immediately before his entitlement to a credit in terms of this paragraph; (iii) that person was born on or after the 1st January 1969 and reaches the a mount of credited contributions for every calendar week during which each day thereof is a day of unemployment for such person according to paragraph (b), which is equivalent to the amount of contributions which such person will have paid during the preceding period; (c) for any calendar week falling between 1st April, 1978, and 5th January, 1990, during which he would have been entitled to an Invalidity Pension were it not for the fact that such pension had been fully abated in accordance with the provisions of that Act as in force up to the 5th January, 1990; Cap. 594. (d) for any calendar week, with effect from the 7th January 2008 where such insured person ceases to register in the Register established under the Employment and Training Services Act , to take up temporary work for a period not exceeding thirteen consecutive weeks and where, for such period of temporary work, a contribution in terms of this Act is not due; (e) for any calendar week, with effect from the 2nd January, 2012, for which according to article 72 such person would be entitled to Maternity Leave Benefit and for which a contribution in terms of this Act was SOCIAL SECURITY [CAP. 318. 27 not due. (4) A contribution credited under this article for any calendar week shall be - (a) a Class Two contribution if it is credited on the ground that the person - (i) is an actual widow to whom sub-article (2)( a) applies; or (ii) is entitled to Sickness Benefit or to Injury Benefit or to an Invalidity Pension or to an Increased Invalidity Pension or, prior to reaching pension age, to a National Minimum Pension, or t o a C a r e r ’ s P e n s i o n , a n d w h e n l a s t g a i n f u l l y occupied prior to becoming entitled to such benefit or pension as aforesaid in this sub- paragraph was a se lf-occupied person; (iii) is entitled to such a credited contribution in virtue of sub-article (3)( c) and ( d) and immediately prior to his becoming an invalid was a self-occupied person; (b) a Class One or a Class Two contribution if awarded in terms of sub-article (2)( d), as the case may be; (c) a Class One contribution in any other case; Provided that a credit awarded in terms of sub-article (2)(d) shall only be valid for the purposes of awarding a pension in terms of Part IV and Part V of this Act. (5) Where a contribution is credited under this article only one contribution shall be credited to a person for any one calendar week, and no contribution shall be credited for any one calenda r week for which a Class One or a Class Two contribution is payab le by or in respect of him under this Act. Cap. 147 - Repealed. (6) A contribution which prior to the 3rd day of April, 1978 had been credited as a Class Three contribution under the provisions of the National Insur ance Act, as in f orce up to tha t date shall be deemed to be a credited Class Two contribution in resp ect of a person who was not self-occupied. Cap. 16. (7) Part of the contributions credited to any person under this article, may be transferred to another person by order, decree or sentence of the Court when it is acting in accordance with its powers conferred to it by articles 54(5) and 59 of the Civil Code , and such contributions are to be considered, for the purposes of this Ac t, as credited to the person to whom they are transferred. (8) Notwithstanding the provisions of sub-article (1), a mother who commences insurable employment after the birth of a child s hall be entitled to credited contributions for every calendar week i n accordance with the provisions of sub-article (2)(d). 28 CAP. 318.] SOCIAL SECURITY Contributions vis- à-vis entitlement to certain benefits and pensions. Amended by: XIII. 1991.6; VIII. 1992.6; XXXII. 2007.46; IV . 2011.29; VII.2019.28.

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Text read from the consolidated PDF published by Legislation Malta. Tables, figures and marginal notes may be incomplete or out of place: the official PDF is authoritative. General information, not legal, tax or accounting advice.