I'm genuinely not saying this to troll you, and I don't know whether you're just not communicating it very well or I'm being a bit thick, but I just cannot make head nor tail of your posts about PRSI...
See can you follow this explanation if not come back please,Yes I may not be communicating it very well.
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Take a public sector worker grade 3 hired after 1995 lets say the retire in 2017 the only reason I use 2017 is we can use the correct contributory old pension as an example there employer the public sector worker will pay a total of 14.75% in prsi through payroll
A grade 3 earn around 37000 euro top of grade
pension would be 50% of 37000 so 18500 euro per year
12500 would come from state pension (contributory) which public or private get anyway this leaves a balance of 6000 paid by there employer ,which the public servant contributed to
.In the private sector there is a good chance the exact same worker would have paid again 14.75% prsi they may well have contributed to a private pension so they would also have 6000 euro of a private pension per year and a lump sum of 55500, after 40 years in today money you would need 200000 of a fund there are lots of Employers/Employee pension schemes where employee would be making around the same contribution as a public servant There employer would be putting in the rest in most cases that i know about the over shoot the 200000 pot just in case the market is bad when they come to retire,
The case I am making is the government takes the public servants Contributions and spends it .They also take the public servants/Employers 14.75% contributions and spend it but there contract of employment guarantees them there pension entitlements ,there is nothing wrong with this I agree 100%,
take the private sector worker they government take 14-75% and spend it there is no guarantee in law that the will ever get anything back in return,
Have you ever heard of Benchmarking at the present time the state contributory Pension is 33% of a grade 3 salary top of scale I think is should be guaranteed in law and linked to 33% of a grade 3 public servent,
Would you have a problem supporting above,
Part of the problem now is department of social protection have a policy with there new case officer set up to put people on a course once the pay any kind of prsi they are paid from the prsi fund,
part of this fund need to be put aside to ensure there is money to pay the people who contributed 14.75% was higher until 2012 and not to find out in years to come there is no money left for the people who contributed to it all of there working life.
If you want to call it a tax fair enough then we should say over 60% of payroll is taken in tax from people paying prsi and working full time with no guarantee there will be anything left to pay them at the end of there working life,That is some plundering by the state .time to say leave some for when i can no longer work,seeing you are taking 60% there is very little left to save and the way you are spending my money you are driving living and busniess cost out through the roof and rewarding and buying votes trough the back door,Knowing there will be nothing left to pay the people who contribuited the most when there time comes,