Class A PRSI increases from 1 October 2026
The October rate change affects Class A employee deductions and employer contributions. Check the pay date when comparing salary estimates.
Effective rule · Applies from
What changed and who is affected
For Class A employees above the employee exemption band, the contribution rate rises from 4.20% to 4.35%. Employer rates for AX and AL become 9.15%; the A1 rate becomes 11.40%. This is a PRSI change, separate from PAYE tax credits and USC.
Weekly earnings, the subclass and any tapered employee credit still matter. The €552 AL/A1 boundary continues to distinguish the employer rates. Do not apply the higher employee percentage to exempt earnings.
A weekly example
At €800 reckonable weekly pay in subclass A1, without a PRSI credit, employee PRSI is €33.60 at 4.20% and €34.80 at 4.35%: a €1.20 increase. The October employer contribution is €91.20 at 11.40%, separate from the employee’s deduction.
What to check in the tools
Select 2026 and the October–December PRSI option in Take Home Pay or Bulk Calculator. Keep the salary and tax-credit assumptions fixed when comparing dates. These tools already contain the October PRSI option; this article introduces no calculation change.
Use simulated employees in Free Payroll Practice. The standard 2026 USC bands have also been checked against Revenue; confirm an actual payslip against official rules and the employee’s RPN.
Official sources
Try the related tools
These explanations support learning and indicative estimates. Check the official guidance for your circumstances. Report a correction.