Deductions and Calculations on your Payslip
Tax Calculation
Pay for tax purposes is gross pay less the following:- Pension
- Pension Levy
- Travel Pass
- Bike To Work
Example: Staff member on €5000 per month with pension of €250 per month PRD of €260.41 and Travel Pass of €100 with a standard tax credit of € 3300 and standard rate cut off of €33800
Gross pay for tax is €5000 - €250 – 260.41-€100 =€4389.59
Standard Rate Cut Off and Tax Credits are divided by 12 for monthly and 52 for weekly staff.
Year Tax Credit of €3300 / 12 = 275 monthly tax credit
Year Tax Credit of €3300 / 52 = 63.46 weekly tax credit
Yearly Standard Rate Cut Off of €33800 / 12 = €2816.66 monthly @ 20% tax
Yearly Standard Rate Cut Off of €33800 / 52 = €650.00 weekly @ 20% tax
Calculation as follows:
Gross Pay for Tax = €4389.59
2816.66 x 20% = €563.33
1572.93 x 40% = €629.17
Tax due = €1192.50
Less Tax Credit €275.00
Tax payable: €917.50
USC Calculation
Gross Pay for USC purposes is Gross pay less the following:
- Travel Pass
- Bike to Work
Gross pay for USC €5000 – €100 (travel pass) = €4900
USC Thresholds 2017 |
|||
Weekly Threshold |
Monthly Threshold |
Annual Threshold |
USC % |
|---|---|---|---|
231 |
1001 |
12012 |
0.5 |
361 |
1564.33 |
18772 |
2.5 |
1347 |
5837 |
70044 |
5 |
9999999.99 |
9999999.99 |
9999999.99 |
8 |
USC is calculated as follows:
1001 @ .50% = €5.00
563.33@ 2.5% = €14.08
3335.67 @ 5% = €166.78
Total USC payable = €185.86
Pension Related Deduction (PRD) Calculation
Gross pay for PRD is gross pay less the following:
- Travel Pass
- Bike To Work
Gross pay for PRD €5000 – €100 (travel pass) = €4900 gross pay for PRD
PRD Thresholds are as follows
Weekly Threshold |
Monthly Threshold |
Percentage |
|---|---|---|
552.88 |
2395.83 |
0 |
1153.85 |
5000 |
10 |
9999999.99 |
9999999.99 |
10.5 |
PRD is calculated as follows:
€2395.83 x 0% = 0
€2504.17 x 10% = €250.41
Total PRD due €250.41
PRSI Calculation
Gross Pay for PRSI is less the following:
- Travel Pass
- Bike to Work
- Disability/Illness Benefit
PRSI is calculated as follows:
A1 Staff Post 1995 started in college- Gross pay for PRSI €4900
PRSI is calculated at 4% of gross salary for staff on A1 class for PRSI which applies to the majority of staff employed after 1995.
Calculation: €4900 x4% = €196.00
Social Welfare Payments are exempt from PRSI.
D1 Staff (Pre 1995, monthly paid staff) – Gross for PRSI is €4900
Pre 1995 staff Class D1 €1443.00 per week @ .90% remainder at 4%
Calculation:
1443.00 x .90% = €12.98
3457.00 x 4% = €138.28
Total PRSI Due = €151.26
Social Welfare Payments are exempt for PRSI.