PRSI query- income exceeding the annual ceiling

deadlyduck

Registered User
Messages
450
Hi,

I am looking for clarification re the PRSI annual ceiling.

I'm on class D1 for PRSI, annual income approx €67,000. I'm trying to create a spreadsheet that allows me to evaluate the impact of changes to my gross pay, AVC/ PHI contributions etc on my net monthly income and am unclear about the charge to PRSI when my income crosses the €44,180 ceiling. I visited the welfare.ie site for information and am not quite clear about the following scenario:

Month 7:
Assume aggregate YTD reckonable income = €40,000 (under the annual ceiling)
Aggregate PRSI for YTD would be (€113 monthly limit*7 months*2%) + (€40,000-[€113*7])*2.9%= €1152.88

Month 8:
Aggregate reckonable income = €46,000 (the ceiling is crossed)

My question: How is aggregate PRSI computed for month 8?

Any help greatly appreciated!
 
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