Rates of PRSI Contributions for Non PAYE Employees 2012
Persons in industrial, commercial and service type employment, employed under a contract of service
Non-Cumulative Weekly Earnings Band
(Including if appropriate shared-based remuneration) |
PRSI Subclasses |
How Much Of Weekly Earnings
(Including if appropriate shared-based remuneration) |
Employee %
(Including if appropriate shared-based remuneration) |
Employer %
(Excluding shared-based remuneration) |
Employee + Employer % |
| Up to €37.99 |
|
ALL
|
0
|
0.50
|
0.50
|
| €38 - €352 |
AO
|
ALL
|
0
|
4.25
|
4.25
|
| €352.01 - €356 |
AX
|
First €127
|
0
|
4.25
|
4.25
|
|
AX
|
Balance
|
4.00
|
4.25
|
8.25
|
| €356.01 - €500 |
AL
|
First €127
|
0
|
10.75
|
10.75
|
|
AL
|
Balance
|
4.00
|
10.75
|
14.75
|
| More than €500 |
A1
|
First €127
|
0
|
10.75
|
10.75
|
|
A1
|
Balance
|
4.00
|
10.75
|
14.75
|
Use the following subclasses (A6, A7 and A4) only for approved employees under the Employer's PRSI Exemption Scheme and Employer Job (PRSI) Incentive Scheme.
Non-Cumulative Weekly Earnings Band
(Including if appropriate shared-based remuneration) |
PRSI Subclasses |
How Much Of Weekly Earnings
(Including if appropriate shared-based remuneration) |
Employee %
(Including if appropriate shared-based remuneration) |
Employer %
(Excluding shared-based remuneration) |
Employee + Employer % |
| Up to €352 |
A6
|
ALL
|
0
|
0
|
0
|
| €352.01 - €500 |
A7
|
First €127
|
0
|
0
|
0
|
|
A7
|
Balance
|
4.00
|
0
|
4.00
|
| More than €500 |
A4
|
First €127
|
0
|
0
|
0
|
|
A4
|
Balance
|
4.00
|
0
|
4.00
|
Class J normally relates to people with reckonable earnings of less than €38 a week (from all employments). However, the following employees are insurable at Class J, regardless of earnings: employees aged 66 or over and people in subsidiary employment.
Non-Cumulative Weekly Earnings Band
(Including if appropriate shared-based remuneration) |
PRSI Subclasses |
How Much Of Weekly Earnings
(Including if appropriate shared-based remuneration) |
Employee %
(Including if appropriate shared-based remuneration) |
Employer %
(Excluding shared-based remuneration) |
Employee + Employer % |
| Up to €500 |
J0
|
ALL
|
0
|
0.50
|
0.50
|
| More than €500 |
J1
|
ALL
|
0
|
0.50
|
0.50
|
| FÁS Allowance |
J9
|
ALL
|
0
|
0.50
|
0.50
|
Class M relates to people with a nil contribution liability (such as employees under age 16 and persons in receipt of occupational pensions).
Occupational Pensions
Non-Cumulative Weekly Earnings Band
(Including if appropriate shared-based remuneration) |
PRSI Subclasses |
How Much Of Weekly Earnings
(Including if appropriate shared-based remuneration) |
Employee %
(Including if appropriate shared-based remuneration) |
Employer %
(Excluding shared-based remuneration) |
Employee + Employer % |
| All Income |
M
|
ALL
|
0
|
0
|
0
|
Employee's PRSI-Free Allowance
The PRSI-Free Allowance for employees in Classes A with weekly earnings of more than €352 remains at €127.
PRSI-Free Allowance
| Classes |
A |
| Fortnightly |
€254 |
| Monthly |
€551 |
Important points to note
- PRSI relief for employers on pension contributions made by employees has been fully abolished. This does not apply to Civil and Public Service employers who do not pay employer PRSI on the pension levy paid by their employees.
- PRSI relief on pension contributions paid by employers remains unchanged.
- Share-based remuneration is subject to employee PRSI only, at the rate of 4%.
- Share-based remuneration, where applicable, should be included as income when determining the appropriate subclass and when charging employee PRSI.
- Share-based remuneration is not subject to employer PRSI. It should not be included as income when determining the appropriate subclass and when charging employer PRSI.
- In some cases this may result in a different PRSI subclass for the employer and for the employee.
Example: If a Class A employee has weekly pay of €350 and, in a particular week, has gains from share-based remuneration of €30. Employee PRSI is calculated on income of €380 - Subclass AL. Employer PRSI is calculated on income of €350 - Subclass AO.
- Employer and employee PRSI should be added together as normal. If a different subclass applies to the employee and to the employer, the return must always be made at the employee's subclass.
- There is no annual earnings ceiling for PRSI for employees.
- The Health Contribution was abolished in 2011.
- As a result of this change subclasses such as, A2 and A2 no longer exist.
- Assuming wages/income remains the same, employees returned in 2011 under any of these subclasses should, in 2012, be returned as A1, A4 (if previously returned as A5).
- For income of more than €500 a week, subclasses A1, A4, as appropriate, should be returned.
- Subclass A4 applies to those who were previously insurable under Subclass A5.
- Class A employees earning between €38 and €352 inclusive a week should be recorded under Subclass AO.
- Class A employees earning between €352.01 and €356 a week should be recorded under Subclass AX.
- Class A employees earning between €356.01 and €500 a week should be recorded under Subclass AL.
- Community Employment participants earning €352 or less a week should be recorded under Subclass A8. Subclass A9 applies when earnings are more than €352 a week.
- The Class J contribution normally relates to people with reckonable earnings of less than €38 a week (from all jobs). However, a small number of employees are insurable at Class J, regardless of earnings - for example, employees over age 66 and people in subsidiary employment.
- For employees taken on under the Employer's PRSI Exemption Scheme and the Employer Job (PRSI) Incentive Scheme:
- Subclass A6 is applied to employees earning €352 or less a week - normally insurable at Subclass AO.
- Subclass A7 is for those earning between €352.01 and €500 inclusive a week - normally insurable at Subclass AX or AL.
- Subclass A4 applies for those earning over €500 a week. This applies to employees who would normally be insurable at Subclass A1 and exempted employees who were previously insured at Class A5.
- You can download PRSI information booklets from our website at 'www.welfare.ie'.