PAYE and Self Employed

[The Bishop]

If this is the wrong thread please advise

Question: Person is employed P/T in Public Service on Class D Stamp. They are planning on doing some Self Employed Work to supplement income. Do they need to register for SELF EMPLOYED or do they make a return on FORM 12?

Can they pay PRSI for a Contributory Pension as their Public Service Pension will be very little or should they Register as SELF EMPLOYED if Income is over €5,000 from Self Employment and PAY the 4% PRSI on All Extra Income?

PS Extra Income may not be €5,000

 

[DB74]

My understanding is that Public Servants paying Class B,C,D PRSI are not entitled to a Contributory Pension as they will receive a Occupational Pension from the State on retirement

See Section 4

http://www.welfare.ie/en/Pages/PRSI---PRSI-for-the-Self-employed.aspx

Certain categories of persons are excluded from paying Class S....

Public servants paying Class B, C or D who are also self-employed*

* From 01/01/2013, a new charge of 4% PRSI will be levied on the self-employed income of this category.