Statutory Deductions FAQ

What are the statutory deductions on my payslip?

Statutory deductions are: Income Tax (PAYE); Pension Related Deduction (Pen Rel Ded), Universal Social Charge (USC), Pay Related Social Insurance (PRSI), Pension Contributions (1.5 SP & CH, and Aoisliuntas – Group).

 Pen Rel Ded = Pension Related Deduction (PRD).   It is calculated on a sliding scale as follows:

  • 0% on the first €15,000.00
  • 5% on the next €5,000.00
  • 10% on the next €40,000.00 and
  • 10.5% on the remainder

Further information on PRD is available on the Department of Finance website.

USC = Universal Social Charge.  It is calculated as follows:

  • 2% on income up to and including €10,036.00
  • 4% for income in excess of €10,036.00 but not greater than €16,016.00 and
  • 7% above that level

Further information is available on USC on the Revenue website.

PRSI

There are various bands and rates.  See the Department of Employment Affairs and Social Protection website for further information.

Aoisliuntas – Group

This is your public service pension.  It is calculated at 5% of your gross salary if paying D PRSI, or 1.5 % of your gross salary and 3.5% of your gross salary, less twice the Old Age Pension Rate, if paying A PRSI.

1.5 SP & CH - Spouses & Children

This is a 1.5% statutory pension deduction.

Will I receive a PRD statement each year?

Yes, a PRD60 will issue in March of the following calendar year with your P60.

Will I receive a USC statement each year?

A statement of USC paid is included on your P60.

I received arrears of salary relating to a financial year prior to 2011.  Do I have to pay USC on this?

Yes, USC is applicable on all monies paid out after the 01/01/2011 regardless of when these monies were earned.

I received arrears of salary relating to a financial year prior to 2011.  Do I have to pay the Pension Related Deduction on this?

PRD is only charged on monies earned after 01/03/2009, monies paid out after that date but earned prior to that date are not charged PRD.