Universal service charge

MyKeyG · 13-01-2011 5:08pm #1

Can someone explain what this is. My brother spotted it on his paycheck and hasn't heard of it.

Gaffs89 · 13-01-2011 5:11pm

It's the new 'Banker Tax'. It's what we have to pay for the goverment and banks f**K up!

Cathalh · 13-01-2011 5:14pm

MyKeyG wrote: »

Can someone explain what this is. My brother spotted it on his paycheck and hasn't heard of it.

It replaced the Income Levy and Health Levy that he would have been paying in 2010. Although the levy amount may look high he should see that the employees PRSI charge has dropped.

Mongarra · 13-01-2011 5:21pm

As cathalh says it has replaced the Income and Health levies.
People under 70:
Income under €4,004 per annum (77 per week) is exempt.
Up to €10,036 is at 2%
Betweeen €10,036.01 and €16,016 is at 4%
Over €16,016 is at 7%

MyKeyG · 13-01-2011 5:24pm

Ah ok. Cheers guys.

superrdave · 14-01-2011 1:44pm

Mongarra wrote: »

As cathalh says it has replaced the Income and Health levies.
People under 70:
Income under €4,004 per annum (77 per week) is exempt.
Up to €10,036 is at 2%
Betweeen €10,036.01 and €16,016 is at 4%
Over €16,016 is at 7%

Not strictly true. If you earn under 4004, you pay no levy. If you earn over that, you pay 2% on everything up to 10,036, then the rest works in the usual way.

Plazaman · 14-01-2011 1:49pm

The new combined Income Levy and Health Levy deduction is the Universal Social Charge. If he has this and a Universal Service Charge he might be getting rimmed.

Cathalh · 14-01-2011 2:04pm

superrdave wrote: »

Not strictly true. If you earn under 4004, you pay no levy. If you earn over that, you pay 2% on everything up to 10,036, then the rest works in the usual way.

It should be pointed out that the USC, like the income levy, is calculated on a per week basis, therefore:-

First €193 per week @2%
Next €115 per week @4%
Balance is at 7%

This is assuming that you earn over €77 per week (i.e. €4004 per year)

Universal service charge

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