Pension Levy query please help

peanuthead

Hi there

I have a bit of a query regarding the pension levy, as I'm really confused about it to be honest.

I'm a part time teacher, unqualified. I have not done my HDip yet, and am a casual member of staff, not actually even considered part time.

I do not pay into a pension, and as far as I am aware, my employer (Co Dub VEC) does not pay into one for me either. A conversation of this nature has never taken place between us, so I assume that unless it is automatically done from their end (nothing on my payslip indicates that money is being paid into a pension for me unless thats where my PRSI is going!) I don't have one at all.

Now I have been stung with the pension levy.

Is this a fancy word for another type of tax, seing an 'Income levy' has already been used? Or is this money actually going towards civil servants' pension?

If it is the latter, my big question is where the hell is my pension levy money going? Should I be paying it? Should I start a pension in order to be eligible for this cash that's being taken off me?

Any advice greatly appreciated,
p

swanvill

Sounds like you should not be paying the pension levy. Have you talked to your union rep about this? I am sure they will have come across similar cases to yours.

peanuthead

swanvill wrote: »

Sounds like you should not be paying the pension levy. Have you talked to your union rep about this? I am sure they will have come across similar cases to yours.

Hey, not in a union, as a casual member, I was advised agaisnt wasting what money I do get on a union until either I start doing the Dip, or until the year after.

But I imagine this is something I could talk about with the union reps in my school, my fellow teachers?

namenotavailablE

I can't say definitively whether you're liable but you may find this document helpful:

http://www.finance.gov.ie/documents/publications/other/2009/faqlevy4mar09.pdf

I'd suggest printing it out, reading through it (not too long) and highlighting the relevant sections from it which may help your case with your employer.

IMPEGA

the pension levy is payable by anyone who is in receipt of an income as a result of their being employed a public body. Once you earn in excess of €15,000 pa irrespective of you being contract,part time, casual or full time you are liable for the payment of this levy.

It does not entitle you to a pension at retirement, and there is no benefit from paying it. You cannot claim it back if you are not entitled to pension.

So is a round about way of cutting public service employees pay!

LashingLady

I am also a part time teacher in the CDVEC having pension levy deductions where I have no pension. As namenotavailable's document shows you don't have to pay the pension levy if you are not entitled to a pension. We all had to fill in a form some time ago to say if we had a pension or not which I thought was going to sort this out.

I queried the charge with the personnel department and was told that there is uncertainty of whether or not part-time staff should be allowed to be members of the pension, and this is being investigated. If it is decided that we are entitled to be in the pension then those payments wll be paid into a pension for us - you can get it back if you leave. If we are not entitled then the cash will be refunded to us.

However, the last time I talked to someone about this was about two months ago and we haven't received any clarification since (you know what this crowd is like.....)

I think it's a ploy by the govt to try to keep extra cash in the system to be honest, but I could be too cynical.:rolleyes: