Important notes about cumulative USC:
- Only the rates as advised on the P2C should be used. Users should not apply exemptions or reduced rates (Medical card holders etc) without a valid P2C.
- Generally, USC should be on the same basis as PAYE. We have included a warning that will alert the user if the basis for USC calculation differs to that of PAYE.
- The ceiling for USC exemption has risen from €4,004 to €10,036 for 2012. Employees will only be exempt from USC if this is what is in the P2C. Payback does not automatically apply this exemption. The onus is on the employee/pensioner (not the employer), to advise Revenue if their annual earnings will exceed the exemption threshold.
USC rates can be changed in the following ways in Payback:
1. Loading a new P2C file from ROS.
2. When standard USC rate are being used: By ticking 'USC Exempt', 'Medical Card', 'Age over 70' or 'Emergency' in the PRSI/USC tab in the employee screen.
3. When standard USC rates are not being used: by clicking the 'Change' button under the USC rates grid in the PRSI/USC tab in the employee screen. A new screen appears where you can enter your own rate bands, or revert back to Standard Rates.
Click the 'Change' button (under the USC rates grid in the PRSI/USC tab in the employee screen) if you want to either use Standard USC rates, or when you want to manually enter USC rates.
'USC Exempt', 'Medical Card', 'Age over 70' or 'Emergency' can only be used with Standard USC Rates.