Ireland: Social Insurance Charge (PRSI) Rises by 0.15 Percentage Points on 1 October 2026

Ireland’s social insurance charge (PRSI) rises by 0.15 percentage points on 1 October 2026 — 17 days from now. Employees on the standard Class A1 rate move from 4.20% to 4.35%, while employers move from 11.25% to 11.40%. The reduced employer rate for lower-paid employees earning €441 per week or less rises from 9.00% to 9.15%. This is the third annual increase under the phased schedule announced in Budget 2024 to strengthen the State Pension system.

Effective Date

• 1 October 2026

Published

• Department of Social Protection; Revenue.ie PRSI classes and rates

Payroll action

• Update payroll systems to apply the new PRSI rates to pay dates on or after 1 October 2026.
• Confirm that payroll software and Revenue Online Service (ROS) settings reflect the new rates before the first October payroll.
• Review PRSI calculations for bonuses, back-pay and corrections that cross the 1 October effective date.
• Update employer payroll cost forecasts for the final quarter of 2026 and full-year 2027.
• Review employee PRSI thresholds and credits to ensure the €352 and €424 weekly thresholds are applied correctly.
• Monitor Ireland’s Budget 2027 for any further changes to PRSI or USC rates and thresholds.

Revenue.ie – PRSI Classes and Rates