The Universal Social Charge (USC) was introduced in the 2010 budget to replace the Income Levy and Health Contribution. USC is applied to anyone earning over €13,000 per annum.
The rates are:
- €0 to €12,012 @ 1%
- €12,013 to €18,668 @ 3%
- €18,669 to €70,044 @ 5.5%
- €70,045 to €100,000 @ 8%
- PAYE income in excess of €100,000 @ 8%
- Self-employed income in excess of €100,000 @ 11%
For those with full medical cards or are over 70 and a total income of less than €60,000, the top rate of USC paid is reduced to a maximum of 3%.
The total USC payable is calculated based on gross income, including notional pay, before pension contributions.