Public-sector payroll technology brief — 28 September 2026
PRSI rates change on 1 October 2026 across Classes A, B, C, D and H. Check the scheduled pay date, exemptions and public-service subclasses before finalising payroll.
Statutory update — September brief · Applies from
PRSI changes on Thursday, 1 October 2026
For the brief dated Monday, 28 September, the immediate payroll milestone was Thursday, 1 October 2026. The chargeable employee and employer rates shown below for Classes A, B, C, D and H rise by 0.15 percentage points on that date. Employee exemption bands remain relevant.
The tables compare rates up to 30 September with rates from 1 October. This is a change to apply in payroll, rather than a proposal for a future Budget. The brief was prepared for this site and its official sources checked on 5 October 2026.
Class A: employee and employer rates
These rates cover the ordinary Class A subclasses A0, AX, AL and A1. Employee PRSI remains nil on weekly earnings up to €352; above that threshold the chargeable percentage applies to the whole reckonable pay, with a tapered employee credit in the €352.01–€424 range. The maximum weekly credit is €12.
The employer table agrees with the Department of Social Protection’s current Class A page and its 2026 SW14 guide. Community Employment subclasses and share-based remuneration require their separate rules.
| Component | Until 30 September 2026 | From 1 October 2026 |
|---|---|---|
| Employee, above €352 (before any credit) | 4.20% | 4.35% |
| Employer, €38–€552 (A0, AX, AL) | 9.00% | 9.15% |
| Employer, more than €552 (A1) | 11.25% | 11.40% |
Modified public-service Classes B, C and D
Classes B, C and D also change on 1 October. Their employee structure is the same: no employee contribution up to €352 weekly; all pay at 1.25% between €352.01 and €500; and, above €500, the first €1,443 at 1.25% with any balance at 4.35%. Until 30 September the corresponding chargeable rates are 1.10% and 4.20%.
The employer percentage applies across the relevant weekly bands and differs by class. Confirm the employee’s actual classification: these modified public-service classes generally concern qualifying employment begun before 6 April 1995. A public-sector employer should not assume that every employee has Class A treatment.
| Class | Employee: lower chargeable rate / higher portion | Employer |
|---|---|---|
| B | 1.10% → 1.25%; 4.20% → 4.35% | 2.21% → 2.36% |
| C | 1.10% → 1.25%; 4.20% → 4.35% | 2.05% → 2.20% |
| D | 1.10% → 1.25%; 4.20% → 4.35% | 2.55% → 2.70% |
Class H: NCOs and enlisted Defence Forces personnel
Class H employee PRSI rises from 4.10% to 4.25% above €352 weekly, while employer PRSI rises from 10.55% to 10.70%. Employees earning up to €352 continue to have no employee contribution; employer PRSI still applies.
The tapered employee credit continues between €352.01 and €424, with a maximum of €12 per week. Above €424 there is no credit. Class H covers NCOs and enlisted personnel; it is not a label for all Defence Forces employment. The Class C source describes the qualifying earlier commissioned-officer and Army Nursing Service employment.
| Weekly pay | Employee | Employer |
|---|---|---|
| Up to €352 (H0) | Nil → Nil | 10.55% → 10.70% |
| €352.01–€424 (HX, before credit) | 4.10% → 4.25% | 10.55% → 10.70% |
| More than €424 (H1) | 4.10% → 4.25% | 10.55% → 10.70% |
Use the Revenue pay date at the changeover
For a bank transfer, Revenue defines pay date as the date the funds are scheduled to become available in the employee’s account. Its guidance explains that payslips and payroll calculations use the scheduled pay date, including its stated non-bank-working-day convention. For cash it is the handover date; for a cheque it is the date on the cheque.
Read together with the effective PRSI tables, this means a payroll with a scheduled pay date of 1 October uses the October rates even where work or attendance occurred in September. The payroll-processing date, pay-period start and bank-file creation date should not be substituted for the Revenue pay date. This is a practical application of the two official sources.
Payroll controls and a checked example
At €800 weekly reckonable pay in Class A1, with no employee credit, employee PRSI changes from €33.60 (4.20%) to €34.80 (4.35%). Employer PRSI changes from €90.00 (11.25%) to €91.20 (11.40%). Each increases by €1.20; the employer contribution is separate from the employee deduction.
- Check the scheduled pay date for the first payroll crossing 1 October, including any non-bank-working-day treatment.
- Verify each relevant class and subclass, including B, C, D and H; updating Class A alone is insufficient for affected public-service payrolls.
- Recheck the €352 exemption, applicable credits, the €552 Class A employer boundary and the €1,443 B/C/D employee slice.
- Compare deductions and employer contributions separately, and retain the official rate reference used for the changeover.
Using the tools with this brief
Take Home Pay and Bulk Calculator provide indicative Class A employee estimates. Select 2026 and the October–December PRSI option when exploring the change. Use the official class tables for B, C, D or H rather than treating a Class A salary estimate as a result for those classes.
Official sources
- Department of Social Protection — 2026 PRSI Contribution Rates and User Guide (SW14)
- Department of Social Protection — Class A rates
- Department of Social Protection — Class B rates
- Department of Social Protection — Class C rates
- Department of Social Protection — Class D rates
- Department of Social Protection — Class H rates and employee credit
- Revenue — pay date and scheduled bank payments
Try the related tools
These explanations support learning and indicative estimates. Check the official guidance for your circumstances. Report a correction.