Click here for an example of your information. Actual savings will depend on each individual personal circumstance. Here is a typical example of savings possible as both a Basic rate taxpayer (20%) and a Higher rate taxpayer (41%):
| Bicycle & Accessory purchase |
€250 |
€500 |
€750 |
€1,000 |
| Basic Rate taxpayer - 20% Tax, 6% PRSI |
Income Tax (Based on 20% rate)
|
€50 |
€100 |
€150 |
€200 |
Employee’s PRSI (Based on 6%)
|
€15 |
€30 |
€45 |
€60 |
Total Saving
|
€65 |
€130 |
€195 |
€260 |
| Total Cost of Purchase |
€185 |
€370 |
€555 |
€740 |
Monthly cost via Salary Sacrifice
|
€15 |
€31 |
€46 |
€62 |
| Percentage Saving |
26% |
26% |
26% |
26% |
| Higher Rate taxpayer - 41% Tax, 6% PRSI |
Income Tax (Based on 41% rate)
|
€103 |
€205 |
€308 |
€410 |
Employee’s PRSI (Based on 6%)
|
€15 |
€30 |
€45 |
€60 |
Total Savings
|
€118 |
€235 |
€353 |
€470 |
Total Cost of Purchase
|
€133 |
€265 |
€398 |
€530 |
Monthly cost via Salary Sacrifice
|
€11 |
€22 |
€33 |
€44 |
| Percentage Saving |
47% |
47% |
47% |
47% |
Salary Sacrifice figures are the amount your salary will be reduced by over a 12 month period. Calculations are based on tax and PRSI information for the 2008 - 2009 financial year.
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