Table 1: Brackets for wage tax/national insurance contributions 2020
| Grade | Annual wages | Payroll taxes contribution | |
|---|---|---|---|
| Up to state pension age | State pension age and older, born in 1946 or later | ||
| 1a | up to and including €34,712 | 37.35% | 19.45% |
| 1b | €34,713 - €68,507 | 37.35% | 37.35% |
| 2 | €68,508 or more | 39.50% | 49.50% |
For employees of the state pension age and older - born in 1945 or before - the following grades apply:
| Grade | Annual wages | Payroll taxes contribution (state pension age and older, born in 1945 or earlier) |
|---|---|---|
| 1a | up to and including €35,375 | 19.45% |
| 1b | €35,376 - €68,507 | 37.35% |
| 2 | €68,508 or more | 49.50% |
The rate in grades 1b and 2 is fully composed of wage tax. The combined rate of grade 1a is the same to 1b, but composed as follows:
| Grade | Type of contribution | Up to state pension age | State pension age and older |
|---|---|---|---|
| 1a | Old Age Pensions Act contribution | 17.90% | N/A |
| Surviving Dependants Act contribution | 0.10% | 0.10% | |
| Exceptional Medical Expenses Act contribution | 9.65% | 9.65% | |
| Wage tax | 9.70% | 9.70% | |
| total | 37.35% | 19.45% |
