Most employees aged 16 to 65 need to make PRSI contributions based on their earnings and employment type. If the Department of Social Protection authorises a PRSI exemption, record it in the employee’s record immediately.

Mark an employee as PRSI exempt

1. On the menu bar, go to Processing, then select Employee Details.
2. Next to the Surname box, select Browse, then choose the relevant employee.
3. Open the Tax / PRSI / USC tab.
4. Under Exceptions & Exclusions, select PRSI Exempt.
5. From the PRSI Exempt Reason drop-down list, click one of the following:

   Reason	Description
   A1 Portable Doc	Employee holds an A1 portable document from an EU member state.
   Soc Sec Bilat Agree	Employee holds a certificate of coverage under a bilateral social security agreement.
   Exempt posted Ees	Employee has an exemption for posted workers not covered by the above categories.
   Family member	Employee works for a family member.
   Under 16	Employee is under 16 years of age.
   Social Welfare	Employee works for a social welfare scheme.
   Other	None of the above reasons applies.

6. If you select Other, update the PRSI Code field to M or NA.
   • If unsure, contact the Department of Social Protection for guidance.
7. Select Save.
8. Repeat these steps for any additional employees, then select Cancel to close the window.

Additional information

• If a PRSI exemption applies to a previous pay period, manually refund any overpaid PRSI to the employee
  • Paid an employee on an incorrect pay related social insurance (PRSI) class
• Once you mark as exempt, Sage 50 Payroll Ireland updates the PRSI code to match the exemption reason, except the Other option

 TIP: Keep a copy of the official PRSI exemption confirmation from the Department of Social Protection for your records.