Most employees pay Class A PRSI at 4.35% of gross pay from 1 October 2026, up from 4.2% before that date. Nothing is payable if you earn €352 a week or less, and a sliding credit of up to €12 a week reduces the charge on earnings up to €424 a week. PRSI is calculated on pay before pension contributions and is not reduced by tax credits.
PRSI stands for Pay Related Social Insurance. The money goes into the Social Insurance Fund, which pays for benefits and pensions that depend on your contribution record. Revenue collects it, and your employer deducts your share through payroll and adds a separate employer share.
Class A rates from 1 October 2026
| Item | Rate or threshold |
|---|---|
| Employee Class A rate | 4.35% (4.2% before 1 October 2026) |
| No employee PRSI | Weekly earnings of €352 or less |
| Low-pay credit | Up to €12 a week on earnings of €352.01 to €424 |
| Employer rate, weekly pay up to €552 | 9.15% |
| Employer rate, weekly pay above €552 | 11.4% |
The employer threshold of €552 a week is due to rise to €600 in 2027. The next scheduled 0.15 percentage point increase in employee and employer rates falls on 1 October 2027, according to reports on Budget 2027.
Worked examples
PRSI is a flat percentage of all gross pay once you are above the low-pay range, so the sums are short.
- Salary of €50,000 over a full year at 4.35%: €50,000 x 0.0435 = €2,175, about €181 a month.
- Calendar year 2026 on €50,000 paid evenly each month: nine months at 4.2% on €37,500 is €1,575, and three months at 4.35% on €12,500 is €543.75. The year's total is €2,118.75, or 4.2375% of pay. The calculator on this site applies 4.35% across the whole year, so it shows the rate in force from October, not the blended 2026 figure.
- Low pay of €377 a week: 4.35% is €16.40, less a credit of about €7.83, leaves roughly €8.57 a week. The credit is €12 minus one-sixth of the pay above €352.01.
- Earnings of €352 a week or less: €0. At €424 a week and above, the credit is gone and the full 4.35% applies.
Because the rate rose by 0.15 percentage points, someone on €50,000 pays about €6.25 more a month from October 2026 (€4,166.67 x 0.0015). Your payslip may show the change in the first October pay run, though a payroll running in arrears can apply it a little later.
What PRSI contributions give you
Class A contributions build entitlement to social insurance payments. Benefits named by Citizens Information include Jobseeker's Benefit, Illness Benefit and Invalidity Pension, and the contributory State pension is also based on your record. Entitlement depends on the number and type of contributions, not just on how much PRSI you paid in a year. Check your own record on MyWelfare.ie, and see your pay and deductions in the Employment Detail Summary in Revenue myAccount.
Gaps matter if you have spent time abroad, in unpaid work or on low earnings below the €38 weekly minimum for Class A. If you think the wrong PRSI class has been applied, you can ask the Department of Social Protection to look at it. A refund for the wrong rate can be claimed for the last four complete tax years.
What each 0.15 point step costs
The employee rate has risen in small steps, and each 0.15 percentage point is a modest sum at most salaries. The figures below are annual, for pay above the €424 weekly mark, and show the extra PRSI from a 0.15 point rise.
| Gross salary | Extra PRSI a year | Extra PRSI a month |
|---|---|---|
| €30,000 | €45.00 | €3.75 |
| €50,000 | €75.00 | €6.25 |
| €80,000 | €120.00 | €10.00 |
| €100,000 | €150.00 | €12.50 |
Above the low-pay range employee PRSI is a flat percentage of gross pay, so the cost of each rise scales directly with salary. A further 0.15 point rise is scheduled for 1 October 2027, which would take the Class A employee rate to 4.5%. Check the Department of Social Protection's current rate tables before relying on later years.
PRSI for the self-employed and older workers
Self-employed people pay Class S PRSI instead. The rate is also 4.35% from 1 October 2026, with a minimum annual contribution of €650. For self-assessed filers the 2026 rate is a blended 4.2375%, because the rate changes part way through the year. Class S gives a narrower set of benefits than Class A. See self-employed tax basics for how it fits with income tax and USC.
Employees who were under 66 on 1 January 2024 now stay in PRSI until age 70, because the upper age limit for exemption moved from 66 to 70 by legislation from that date. People already 66 by then, or in receipt of the contributory State pension, keep the earlier treatment.
Compare PRSI with the other payroll deductions in USC explained and gross vs net salary.
Frequently asked questions
Does PRSI reduce my income tax?
No. PRSI is a separate deduction and tax credits do not reduce it. Pension contributions do not lower it either.
Do I pay PRSI on a low wage?
Not if you earn €352 or less a week. Between €352.01 and €424 a week a credit of up to €12 reduces what you pay.
Why did my PRSI go up in October 2026?
The Class A employee rate rose from 4.2% to 4.35% on 1 October 2026 under a rate schedule already in legislation. Employer PRSI rose by the same 0.15 percentage points.
Where can I see my PRSI record?
Your contribution record is at MyWelfare.ie, and your pay and deductions for each year are in the Employment Detail Summary in Revenue myAccount.