PRSI Contribution Rates and User Guide 2016 - SW 14

PRSI changes from 1 January 2016

Employer PRSI

• The Class A threshold for charging the 10.75% rate of employer PRSI will increase from €356 to €376.
• No change in the rates of employer PRSI for other PRSI classes.

Class A Employee PRSI

• The Class A employee PRSI rate of 4% remains unchanged.
• For gross earnings between €352.01 and €424, the amount of the PRSI charge at 4% is reduced by a new tapered weekly PRSI Credit.
• The maximum weekly PRSI Credit of €12.00 applies at gross weekly earnings of €352.01.
• For gross weekly earnings over €352.01, the maximum weekly PRSI Credit of €12.00 is reduced by one-sixth of weekly earnings in excess of €352.01.
• There is no PRSI Credit once gross weekly earnings exceed €424.
• To accommodate the new PRSI Credit in Classes A and H, the thresholds for certain Class A and Class H subclasses are altered.