How much tax do employers pay on employee's salaries?

ta2020 · 07-10-2023 03:17PM #1

Sorry if this is the wrong place to ask this question.

I tried finding this out online but couldn't find anything concrete, only employee's taxes.

For a limited company, let's say they're paying an employee a salary €60,000 gross per year. Does the company/employer pay additional tax on top of that 60k, as in does it cost the employer more than 60k? If so, how much extra would it be?

Thanks

Dial Hard · 07-10-2023 03:23PM

They pay employers PRSI. The amount depends on the salary in question.

https://www.citizensinformation.ie/en/social-welfare/irish-social-welfare-system/social-insurance-prsi/paying-social-insurance/

ta2020 · 07-10-2023 03:37PM

https://www.boards.ie/discussion/comment/121205598#Comment_121205598

Thanks. I find it very difficult to wrap my head around tax, and what should be paid by the employee and employer. That link says the below:

"Employers pay 11.05% Class A employer PRSI on weekly earnings over €441".

Assuming the employee meets the Class A criteria, is it as simple as that, they pay 11.05% on top of a 60k salary?

Stheno · 07-10-2023 03:47PM

https://www.boards.ie/discussion/comment/121205683#Comment_121205683

Yes

ta2020 · 07-10-2023 03:50PM

https://www.boards.ie/discussion/comment/121205714#Comment_121205714

Perfect. Thanks, and thanks to Dial Hard!

L1011 · 09-10-2023 06:13PM

Auto-enrollment pensions are also coming in H2 2024 which will cost another 3% if you don't have an existing system.

How much tax do employers pay on employee's salaries?

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