Employee PRSI changes for 2013

As mentioned in our "Payroll Effect" post in December we will be providing a number of informative posts on budgetary changes for this year.

Removal of PRSI allowance for employees

Below is a table that highlights the real effect or values on your  pay from Jan 2013.  It highlights the amounts you will be down if paid monthly, weekly, fortnightly, bi-monthly or 4-weekly.

It is based on the most common Class A1:  

Frequency	Earnings exceed	Net by reduced by
Weekly	€500	€5.08
Fortnightly	€1,000	€10.16
Bi-Monthly	€1,084	€11.02
4-Weekly	€2,000	€20.32
Monthly	€2,167	€22.04

The PRSI allowance applies to Class A, H and E contributors. The PRSI allowance for modified rate contributors (Classes B, C and D) amounting to €26 is also being abolished.


There will be no impact on employees with weekly earnings which do not exceed €352.

The official guide can be downloaded from DSP site here

You can get automatic updates to this blog by entering your email on the right hand side, follow us on Twitter (@jpireland), via Facebook or Google+ 

All the best,
The Team at Jefferson

A riddle...

Riddle me this...

I can be made,
I can be given,
I can be passed on and be true.
I can hope to give or be given for hope.
I cannot make promises,
but I am quite simply the best.

What am I?

================================

For your happiness and peace this Christmas and into 2013.

Revenue P2Cs for 2013

The 2013 P2Cs have all been delivered at this point.  Revenue started issuing them on Monday 10th December.

Where employers receive their 2013 P2Cs late, they should continue to use the 2012 P2Cs - both cumulative and week 1 P2C state that they apply for YYYY and following (or subsequent) years.

You can get automatic updates to this blog by entering your email on the right hand side, follow us on Twitter (@jpireland), via Facebook or Google+ 

All the best,
The Team at Jefferson

The Payroll Effect - Budget 2013

Now that the dust has settled on Budget 2013, Jefferson will analyse it from a purely payroll point of view, i.e., what sort of "funnies" can you expect to see as a result and what are the things to watch out for.

We will be providing more detailed information on the items below in upcoming posts so do follow us on the right hand side to ensure you don't miss them. 

2013: There are three main items that affect PAYE workers:

1. Removal of PRSI allowance
2. Taxation of maternity benefit
3. USC 7% rate for over 70s

2014 (to be confirmed):

• Revenue have indicated to us that a 4th rate of USC for 2014 is “probable”.
• The P2C will handle Department of Social Protection information on illness and maternity from 2014.

More on SEPA:

Further to our other two posts on SEPA (the Single European Payment Area) which will go live from April 2014, some banks will accept SEPA files (IBAN and Swift codes) from the early part of 2013. There are a number of file format standards being touted but the established one will be known as ISO 2022 – all banks MUST accept this file standard.   

We will be providing more on all these topics in the coming months.

You can get automatic updates to this blog by entering your email on the right hand side, follow us on Twitter (@jpireland), via Facebook or Google+ 

All the best,
The Team at Jefferson

SEPA Update

Further to our SEPA post in early October, XML customer file formats have now been agreed by the banks and the wheels are now in motion towards converting to the new SEPA format by the 2014 deadline.

What does this mean for you?  

Firstly, no need to panic regarding this as conversion facilities will not be made available until 2013.  The conversion facility will enable you to convert your employee sort code and  account numbers into the new SEPA code format.

Secondly, Irish banks will be testing this next year and will implement dual systems on different dates throughout next year.  The banks will accept both file formats from then until the 2014 deadline. Jefferson will continue to transmit EFT files in theri current format until the new file format has been fully tested successfully with all different bank systems, well in advance of the deadline.

Jefferson clients will be contacted directly in the early 2013 to outline the requirements for a smooth transition to SEPA.

You can get automatic updates to this blog by entering your email on the right hand side, via Twitter (@jpireland), or Facebook & Google + (by searching for Jefferson Payroll)

All the best,
The Team at Jefferson