USC Deductions for 2012
April 7, 2012
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Posted by Money Guide
The USC – Universal Social Charge was first introduced in January 2011 – and workers were liable for USC as soon as they earned €77 a week. (4004 a year)
The 2012 Budget introduced some changes so that people earning a gross income under €10036 a year are now exempt from USC.
It sounds good – but it means that the take home pay of someone on €10000 a year will increase by just €3.85 a week . But – it’s an increase which is better than a decrease !
Here is a breakdown showing the amounts of USC deductions you can expect from your pay in 2012.
|
Annual
Salary |
Monthly Gross Pay |
Weekly
Pay |
Annual USC |
Monthy
USC |
Weekly
USC |
| 1000 | 83.33 | 19.23 | 0 | 0.00 | 0.00 |
| 4000 | 333.33 | 76.92 | 0 | 0.00 | 0.00 |
| 5000 | 416.67 | 96.15 | 0 | 0 | 0.00 |
| 6000 | 500.00 | 115.38 | 0 | 0 | 0.00 |
| 7500 | 625.00 | 144.23 | 0 | 0 |
0.00 |
| 9000 | 750.00 | 173.08 | 0 | 0 | 0.00 |
| 10000 | 833.33 | 192.31 | 0 | 0 | 0.00 |
| 12500 | 1041.67 | 240.38 | 299 | 24.94 | 5.76 |
| 15514 | 1292.83 | 298.35 | 420 | 34.99 | 8.07 |
| 16000 | 1333.33 | 307.69 | 439 | 36.61 | 8.45 |
| 17000 | 1416.67 | 326.92 | 509 | 42.40 | 9.78 |
| 18000 | 1500.00 | 346.15 | 579 | 48.23 | 11.13 |
| 20000 | 1666.67 | 384.62 | 719 | 59.90 | 13.82 |
| 25000 | 2083.33 | 480.77 | 1069 | 89.07 | 20.55 |
| 30000 | 2500.00 | 576.92 | 1419 | 118.23 | 27.28 |
| 35000 | 2916.67 | 673.08 | 1769 | 147.40 | 34.02 |
| 40000 | 3333.33 | 769.23 | 2119 | 176.57 | 40.75 |
| 45000 | 3750.00 | 865.38 | 2469 | 205.73 | 47.48 |
| 50000 | 4166.67 | 961.54 | 2819 | 234.90 | 54.21 |
| 60000 | 5000.00 | 1153.85 | 3519 | 293.23 | 67.67 |
| 70000 | 5833.33 | 1346.15 | 4219 | 351.57 | 81.13 |
| 80000 | 6666.67 | 1538.46 | 4919 | 409.90 | 94.59 |
| 100000 | 8333.33 | 1923.08 | 6319 | 526.57 | 121.52 |
Medical card holders - still pay just 4% on earnings over €10,037 a year.
Another change to USC was also introduced as part of Budget 2012 – and that is that the USC will be assessed on a cumulative basis instead of a weekly basis. This will mean there will be less chance of people underpaying USC when they have 2 low paid jobs but are earning above the threshold.
Categories: Budget 2012, Universal Social Charge, USC
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is everyone effectively brought into the USC charge for 2012 and those under the €10,035 threshold given a refund at the year end? I was testing a payroll package and noticed that someone on €20 per week is now charged USC.
John – there was another change to USC in the Budget which means it will be operated on a cumulative basis . I will find out what this means – but it is shown in the Budget documentation as bringing in a saving of around 50 million a year !!
John – that cumulative change to USC should not result in any USC for someone earning €20 a week – that payroll package must be wrong ?
If a persons gross wages are €555.65 weekly and have a medical card, what amount are of usc will they pay weekly.
Many thanks
Kathleen
i have 2 part time jobs one earning 10k and the other 40k annually? will i be liable for usc on 10k job?
catherine – the USC is worked out on total income. If the system works correctly you should get USC deducted based on the 50k income.
we both are old age pensioners and have a small private pension totalling euro 399.45 per month we paid universal charge on this last year as the threshold has increased to approx 10,000 are we liable for the payment this year and are social welfare pensions still exempt as we have been deducted charge from our Jan 2012 payment
We are a couple of 67 (and receive our pensions from UK of 33,000 euro. Are we entitled to pay USC and if so how do we pay it. We are exempt from tax since 2009. I have sent loads of emails to our tax office for advice but nothing has come back. We do have the Household package. Thanks for your advice. Aine
I think the Revenue should hopefully be able to answer your questions. If the pensions are state pensions I don’t think they are liable for USC .
It looks like the Revenue are sorting out taxation of pensioners this month – thousands have had letters about it. If you haven’t had one you are probably not due to pay any tax or USC.