Salary after Tax/Umbrella company/recruitment cut seems low - Need advice

NoviGlitzko

Hello all,

My girlfriend is working for a company under a recruitment agency and is being paid 600 per week, but she only takes home 430e per week. I entered in the Irish taxable from 600 and it's more or less 500e. Does the recruiter take a sum every week? She's tried contacting for more info but it just seems a bit confusing. Between the umbrella company and recruitment agency should there really be that much of a bite out of it every week? Just want to make sure she isn't being taken for a ride.

If anyone could help with this at all I'd appreciate it, thanks.

averagejoe123

What does her payslip say? All deductions should be detailed.

Have her tax credits been applied correctly? Some firms take a while to get new employees set up on a payroll so she could potentially be paying emergency tax.

Are there any other deductions being taken, eg gym/pension/social?

As per the PWC income tax calculator she should be pocketing €502 a week.

I would start with the payslip and if you still have questions ask the employer rather than the recruitment company

NoviGlitzko

averagejoe123 wrote: »

What does her payslip say? All deductions should be detailed.

Have her tax credits been applied correctly? Some firms take a while to get new employees set up on a payroll so she could potentially be paying emergency tax.

Are there any other deductions being taken, eg gym/pension/social?

As per the PWC income tax calculator she should be pocketing €502 a week.

I would start with the payslip and if you still have questions ask the employer rather than the recruitment company

Thanks a mill for your reply Joe. Asked her to send me on a copy and it says (more or less);

PAYE - 35
USC - 10
PRSI ee - 20

So this is where the whack is coming from. I for some reason assumed these were covered with the tax? Forgive me I'm fairly oblivious with this kinda stuff!

averagejoe123

That only adds up to €65 so there is an additional €105 being taken somewhere.

The Net Pay figure on the payslip is what your girlfriend should be paid. If this differs from the amount received ask her employer why this is so.

NoviGlitzko

NoviGlitzko wrote: »

Hello all,

My girlfriend is working for a company under a recruitment agency and is being paid 600 per week, but she only takes home 430e per week. I entered in the Irish taxable from 600 and it's more or less 500e...............

NoviGlitzko wrote: »

Thanks a mill for your reply Joe. Asked her to send me on a copy and it says (more or less);

PAYE - 35
USC - 10
PRSI ee - 20

So this is where the whack is coming from. I for some reason assumed these were covered with the tax? Forgive me I'm fairly oblivious with this kinda stuff!

Does the payslip detail the gross pay of €600/week?
If so there are other deductions being made as you know, they should and most likely are detailed.

NoviGlitzko

averagejoe123 wrote: »

That only adds up to €65 so there is an additional €105 being taken somewhere.

The Net Pay figure on the payslip is what your girlfriend should be paid. If this differs from the amount received ask her employer why this is so.

Got her to send me another payslip. Sort of cleared things up a bit, However;

It shows employers PRSI is at 55e and umbrella company fees at 20e. Does that not seem like an huge amount to be taken out of the payslip before tax? I'll tell her to get onto her employer about the rest of the stuff.

Kristopherus

NoviGlitzko wrote: »

Got her to send me another payslip. Sort of cleared things up a bit, However;

It shows employers PRSI is at 55e and umbrella company fees at 20e. Does that not seem like an huge amount to be taken out of the payslip before tax? I'll tell her to get onto her employer about the rest of the stuff.

Employers PRSI is not deducted from the employee's pay. It is paid by the employer to Revenue, who in turn transfer it io Social Welfare, afaik.

NoviGlitzko

NoviGlitzko wrote: »

Got her to send me another payslip. Sort of cleared things up a bit, However;..........

What's the gross pay detailed on the slips?
€20/week umbrella fee is 3.3% of the gross wages you mention, steep enough IMO. But such is life.

NoviGlitzko

Gross wages after those fees is 500e. Thanks for replies.

Gross of €500/week would give €436 net.
So it looks like the PAYE, PRSI and USC deductions are likely correct.

listermint

I guess the synopsis here is that its very poor wages, perhaps get out from under the recruiter go elsewhere or direct employment.

nim1bdeh38l2cw

Kristopherus wrote: »

Employers PRSI is not deducted from the employee's pay. It is paid by the employer to Revenue, who in turn transfer it io Social Welfare, afaik.

It is if she's a contractor, which it appears she is. Terrible daily rate though... €120 a day...

The umbrella company fee should be taken off the gross, not the net by the way, ensure this is the case.

CIARAN_BOYLE

NoviGlitzko wrote: »

Got her to send me another payslip. Sort of cleared things up a bit, However;

It shows employers PRSI is at 55e and umbrella company fees at 20e. Does that not seem like an huge amount to be taken out of the payslip before tax? I'll tell her to get onto her employer about the rest of the stuff.

contracting at this level is a way to screw employees who mix up weekly amount and gross pay.

She sees 600 a week and thinks great as an employee I would only get 550 gross. then she gives up contracting fees and er prsi and comes out with less than the gross she would gey elsewhere.