PRSI question

blahblah06

Hi lads. i think im getting done. im paying 38 euro on average every week on PRSI. im not a high earner and wonder what thes tory is. also seem to pay a lot more tax then most lads in work.

ixoy

Are you on emergency tax? Check your wage slip - generally there's an 'E' beside your PAYE tax to indicate you're paying emergency tax. If that's the case, you need to sort out your tax details with your employer by supplying them with the P45 from any previous employment. You'd be entitled to some reimbursement probably.

dudara

It could be right, you need to do the maths.

The first €127 per week is PRSI-exempt. After that you pay 4%. Then there's a 2% health contribution on the gross.

How much social insurance (PRSI) must I pay?

The amount of PRSI you pay will depend on your earnings and the class you are insured under. Here is an example:
For employees insured under Class A, the amount you pay is as follows:

If you earn less than 300 euro gross per week (before tax is deducted), you will not pay any social insurance. This does not mean that you are not getting a contribution. You are still covered by Class A social insurance because your employer is paying social insurance on your behalf.

If you earn between 300 euro and 440 euro per week, the first 127 euro of your earnings will be ignored and you will pay 4% on anything over that amount. If you are earning over 46,600 euro gross, you will not pay social insurance on the income above this amount.

If you earn more than 440 euro per week and pay a Class A1 contribution, you will pay 2% on the first 127 euro of your earnings and 6% on anything over that amount up to a maximum of 46,600 euro. You will pay 2% on any earnings above 46,600 euro.

For people insured under other classes, the amount they pay will vary. For example, permanent and pensionable civil servants recruited before 6 April 1995 and insured under Class B pay PRSI at 0.90% if they earn over 300 euro. Read here for information about the amount of PRSI paid in each Class .

The amount of your earnings which are deducted under the PRSI system also includes an amount called the Health Contribution which has nothing to do with social insurance.

See here for more info

Our man in Havana

How are you treated if you are paid at intervals other than 1 week?

Wishbone Ash

Bond-007 wrote:

How are you treated if you are paid at intervals other than 1 week?

Pro-rata of the weekly amounts, e.g. double exemption for fortnight, x 4 for four weekly etc.

Our man in Havana

Wishbone Ash wrote:

Pro-rata of the weekly amounts, e.g. double exemption for fortnight, x 4 for four weekly etc.

That is interesting. I am paid every 2 weeks. Nothing strange with that. Say for instance I earn €500 in week 1 and only get €100 in week 2 is this combined and halved for PRSI purposes?

Wishbone Ash

Bond-007 wrote:

Say for instance I earn €500 in week 1 and only get €100 in week 2 is this combined and halved for PRSI purposes?

AFAIK yes. Gross pay = €600 minus (€127 x 2) = €346. (I'm open to correction!)

blahblah06

ìm defo not on emergency tax anyway. been with the company over a year. i would earn on average 700 a week b4 tax.. seems fairly high though

dudara

The maths works out. The first €127 at 2% gives PRSI of €2.54. The balance of €573 at 6% gives €34.38, giving a rough total of €37 for the week.

blahblah06

jaysus i sometimes wish i earned less then give them money haha. thanks dudara