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The PAYE system. Gross PAYE. Basic Pay. Standard, Ordinary, Flat pay Pay for a regular 39 hour week Without overtime, bonus etc. Wage. Pay for work done Hourly basic eg €8.65 ph Piece rate. Salary. Fixed sum Paid weekly, fortnightly or monthly. Tax Calendar. 1 Jan – 31 Dec - PowerPoint PPT Presentation
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The PAYE system
Gross PAYE
Basic Pay
• Standard, Ordinary, Flat pay• Pay for a regular 39 hour week• Without overtime, bonus etc
Wage
• Pay for work done• Hourly basic eg €8.65 ph• Piece rate
Salary
• Fixed sum• Paid weekly, fortnightly or monthly
Tax Calendar
• 1 Jan – 31 Dec • Old calendar ran from April to March
Public Sector
• Teacher• Gardai• Army• Employed by the state
Private Sector
• Mechanic• Shop owner• Works for a private organisation or self-
employed
Superannuation
• Pension contribution• Compulsory in Public Service• Personal Retirement Savings Accounts (PRSA)• % of Gross Pay• Deducted from Gross so that there is no tax• Tax relief
Statutory Deductions
• PAYE• PRSI• USC (universal social charge) – replaced
income levy• Superannuation
Non-Statutory
• Union• Health Insurance• Credit Union savings• Social Club
Gross Pay• Worked 39 hour week @ 9.50 ph• Also worked the following Overtime:• Monday 2 hrs• Tuesday 3 hrs• Thursday 2 hrs• Saturday 2 hrs• NOTE: Monday – Fri the first hour is paid time and a quarter• The second hour is paid time and a half• The third and subsequent hours are paid double time• On Saturday the first two hours are paid time and a half• The third and subsequent hours are paid double time
Overtime calculationDay 1.25 1.5 2
Monday 1 1
Tuesday 1 1 1
Wednesday
Thursday 1 1
Friday
Saturday 2
Total 3 5 1
Overtime hours 3.75 7.5 2
Total OT hours = 3.75+7.5+2 = 13.25 hours Total hours = 13.25 + 39 = 52.25 hours52.25 x 9.50 = €496.38 gross pay
Gross PayDay 1 1.25 1.5 2 TOTAL
Monday 1 1 2
Tuesday 1 1 1 3
Wednesday
Thursday 1 1 2
Friday
Saturday 2 2
hours 39 3 5 1 48
Rate 9.50 11.875 14.25 19.00
Pay 370.50 35.625 71.25 19.00 496.375
Q1Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Q2Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Q3
Commission:Total Gross Pay:
Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Q4Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Commission:Total Gross Pay:
Q5Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Bonus:Total Gross Pay:
Q6Day 1 1.25 1.5 2 TOTAL
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
hours
Rate
Pay
Bonus:Total Gross Pay:
