Written answers
Thursday, 13 July 2017
Department of Social Protection
Social Insurance Yield
Ruth Coppinger (Dublin West, Solidarity)
Link to this: Individually | In context | Oireachtas source
1214. To ask the Minister for Social Protection the estimated amount that could be raised from increasing employers PRSI towards the EU effective average rate of 20%, that is, by increasing the effective rate by 1%, 2% or 5%. [34587/17]
Regina Doherty (Meath East, Fine Gael)
Link to this: Individually | In context | Oireachtas source
Currently, Class A employers pay PRSI at the rate of 8.5% where weekly earnings are between €38 and €376. Once weekly earnings exceed €376, the rate of employer PRSI is 10.75%.
The increase in the PRSI yield to the Social Insurance Fund from increasing the class A employer PRSI rates by 1%, 2% and 5%, is provided in the table below.
| % Increase in Rate of Employer PRSI | Increased Yield from Increase in 8.5% Lower Rate | Increased Yield from Increase in 10.75% Higher Rate | Total Increased Yield |
|---|---|---|---|
| 1% | €36m | €683m | €719m |
| 2% | €72m | €1,366m | €1,438m |
| 5% | €181m | €3,416m | €3,597m |
These estimates are based on the latest available data and reflect macro-economic indicators for 2018 only. It should be noted that the estimates do not take possible changes in employer behaviour arising from increasing the rates of contributions into account.
No comments