LUCRATIVE golden handshakes for ministers leaving office are being abolished and the allowance paid to TDs and Senators will be cut by 10pc under new laws.
Politicians will also have to account for the spending of the controversial leaders allowance.
Severance payments for office holders are also being scrapped by the Government. The payments were stretched out over two years after departure and were worth a full years' salary.
At the end of the two-year period, the pension kicks in.
The payments were made to the Taoiseach, Tanaiste, ministers, junior ministers, Attorney General, Ceann Comhairle, Leas Cheann Comhairle, Cathaoirleach of the Seanad, Leas Chathaoirleach of the Seanad and Leader of the Seanad.
The abolition of the severance payments will take effect as soon as the legislation is passed. Any ministers serving at that stage will not receive them on leaving office.
The payments are calculated as 75pc of salary for the first six months, 50pc of salary for the next year and 25pc of salary for the final six months.
The Coalition promised to abolish the payments in the Programme for Government.
Fianna Fail ministers landed in trouble during the last general election campaign by failing to commit to giving up their payments.
Public Expenditure Minister Brendan Howlin is also cutting the party leaders allowance, worth €41,000 per TD, by 10pc.
The allowance will be renamed the Parliamentary Activities Allowance.