Paying your employees' tax to Revenue

Pay Related Social Insurance (PRSI)

PRSI is a payment made by you and by your employees. This payment is based on the amount of your employees' pay. PRSI is the main source of funding for social welfare payments.

The total amount paid for an employee in one pay period is called a PRSI contribution. It is made up of:

  • the employer's share, that is, the amount of PRSI you pay on your employee's pay
  • the employee's share, that is, the amount of PRSI an employee pays on their own pay.

Each employee has a PRSI contribution class. This class determines the rate you use to calculate the PRSI you deduct.

The Department of Employment Affairs and Social Protection (DEASP) provides details of each PRSI class, and the PRSI contribution rates.

Records of PRSI contributions

You must keep a record of all PRSI details, including:

  • your employees' gross pay for PRSI purposes
  • your employees' PRSI share for each pay period
  • the total PRSI contributions for each pay period
  • the PRSI classes of your employees
  • the number of weeks PRSI contributions were paid for each employee.

If any employee changes PRSI class during the year, you must also include in your records:

  • the employee's change in PRSI class
  • the employee's new PRSI class
  • the date the employee's PRSI class changed
  • the number of weeks PRSI contributions were paid for the employee at their old class
  • the number of weeks PRSI contributions were paid for the employee at their new class.

Next: Keeping Pay Related Social Insurance (PRSI) contributions separate