Many business owners and managers are somewhat fearful of outsourcing the payroll processing function for their organisations. However, those that have taken the “leap of faith” have been pleasantly surprised with the results. [Read more…]

The Cycle to Work Scheme was introduced in 2009 to encourage more employees to cycle to and from work, thereby helping to lower carbon emissions, reducing traffic congestion and improving health and fitness levels.

Under the scheme an employer may provide an employee or director with a bicycle and/or cycle safety equipment to a maximum value of €1,000 (including VAT) without the employee being liable for benefit-in-kind taxation. [Read more…]

Under the Taxsaver scheme (www.taxsaver.ie) employers in the Republic of Ireland can purchase tax free monthly or annual bus and rail tickets for employees and directors. [Read more…]

At present, earnings under €10,036 in a tax year are exempt from Universal Social Charge (USC). This threshold will rise to €12,012 in Tax Year 2015.

Many part-time employees earning less than €10,036 are charged USC and have to claim a refund at the end of the tax year. [Read more…]

Section 33 subsection 1 of the Organisation of Working Time 1997 states the following:

“An employer shall not employ an employee to do any work in a relevant period during which the employee has done work for another employer, except where the aggregate of the periods for which such an employee does work for each of such employers respectively in that relevant period does not exceed the period for which that employee could, lawfully under this Act, be employed to do work for one employer in that relevant period.” [Read more…]

An employer contribution to a Personal Retirement Savings Account (PRSA) is a chargeable benefit-in-kind for tax purposes in the hands of the employee. As the Universal Social Charge (USC) treatment follows the income tax treatment, USC should be deducted on this employer contribution.

While these contributions are regarded as a taxable benefit in the employee’s hands, these same contributions qualify for full tax relief subject to certain age-related limits. This only relieves them from PAYE and PRSI however and the USC liability remains.

Employers should ensure that any PRSAs are set up correctly on their payroll systems to ensure that USC is deducted from employees on any employer contribution.

For further information, please contact us on 091-778911 or email payroll@optimpayroll.com

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Where an employee has more than one employment, it is important that tax credits, standard rate cut-off points and Universal Social Charge cut-off points are allocated correctly between the employments. [Read more…]

JobBridge is the National Internship Scheme that provides work experience placements for interns for a 6 or 9 month period. 

Its aim is to help jobseekers gain valuable experience who are unable to get a job without experience. This can be as new entrants to the labour market after education or training or as unemployed candidates wishing to learn new skills. [Read more…]

A standard flat rate expenses allowance (deduction) against tax is set by Revenue for various classes of employees. [Read more…]

JobsPlus is an innovative incentive for employers which was introduced by the Department of Social Protection from July 1st 2013.

The aim of the scheme is to reward employers who provide full-time employment opportunities to people who have been unemployed for more than 12 months.

There are 2 levels of payment: [Read more…]