Explaining PRSI and Health Levies 2007

[Brendan Burgess]

This covers employees in industrial, commercial and service-type employment and Public Servants recruited from 6 April 1995.

This is very complicated and so is subject to correction and reinterpretation


If your taxable pay is less than € 1469(€1300) in any month
You pay nothing

If your taxable pay is between €1469.01 to €2080 in any month
First €551: 0%
Balance: 4%

If your taxable pay is over €2080 in any month
First €551: 2%
Balance: 6% up to €48,800 annually
Salary from €48,800 to €100,200: 2%
Salary greater than €100,200 2.5%

Or if you are paid weekly...

If your taxable pay is less than €339in any week
You pay nothing

If your taxable pay is between €339.01 and €480 in any week
First €127: 0%
Balance: 4%

If your taxable pay is over €480 in any week
First €127: 2%
Balance: 6% up to €48,800 annually
Salary from €48,800 to €100,200: 2%
Salary greater than €100,200 2.5%


Clarifications and complications:
PRSI/Health Levy is is calculated on the weekly or monthly pay. So if you are paid €299 one week and €1,000 the next. The €299 is exempt from PRSI as it is below €300 whereas the €1000 is subject to the top rate.

PRSI/Health Levy is cumulative in the sense that if you earn over €48,800 in any year the rate is reduced to 2%

Subclass A2 who earn more than €480 per week pay 4% up to €48,800 and nothing on the balance i.e. they pay no Health Levy
( medical card holders and people getting a social welfare Widow's Widower's, Pension, One-Parent Family Payment or Deserted Wife's Benefit Or Allowance)




EMPLOYERS PRSI ( No change from 2005)

10.75% on the whole pay except:

For taxable pay up to €356 per week( €1543 per month), the rate is 8.5% of the whole taxable pay

 

[Brendan Burgess]

Acknowledgements

has corrected the above information and suggested many changes to make it better and more accurate.

Brendan