Changing job: tax, PRSI and pension

If you are changing your job there are things you need to know about for your tax, social insurance contributions (PRSI) and your pension (if you have one).

Leaving your job

When you are leaving your job, your employer will enter your leaving date and details of your final pay and deductions into Revenue’s online system. You can then view your pay and income tax details for your old job through the ‘Manage your tax’ link in myAccount.

You no longer get a P45 from your employer when you leave your job.

Starting your new job

When you start your new job, your new employer will notify Revenue of your start date. This will create a new employment record for you and let your new employer access up-to-date tax credits and tax rate bands for you. Revenue will send a Revenue payroll notification (RPN) to your new employer. The RPN will tell your employer how much income tax and universal Social Charge (USC) to deduct from your pay.

You should also tell Revenue as soon as possible after you accept a job offer, or you may have to pay emergency tax (see more below). You should do this even if it is a part-time or temporary job. If you are starting your first job in Ireland, you must register it in the jobs and pensions section of Revenue’s online service myAccount. You can find more information about how to do this in our page on online services for PAYE taxpayers.

You may be taxed on a temporary basis called emergency tax if you are changing job or starting work for the first time and your new employer does not get your RPN.

This means that they will give you a temporary tax credit for the first month but tax deductions are increased progressively from the second month onwards.

To avoid paying emergency tax you should:

• Give your employer your PPSN
• Make sure you are registered for Pay As You Earn (PAYE) in myAccount
• Register your new job with Revenue's Jobs and Pensions service in myAccount.

You can check Revenue’s current emergency tax and USC rates (pdf). You can find examples of how emergency tax is calculated on the Revenue website.

Most employers and employees (over 16 years of age) pay social insurance contributions into the national Social Insurance Fund. Social insurance contributions entitle you to a range of benefits that are administered by the Department of Social Protection.

You must give your new employer of your Personal Public Service Number (PPS number) as this will make sure that your combined social welfare contributions are recorded and that your entitlement to benefits is protected for the future. You can find more information about social insurance (PRSI).

You can register your new job or private pension with the Jobs and Pensions section of Revenue’s MyAccount. When Revenue receives this information they will send a Tax Credit Certificate (TCC) to you and your new employer or pension provider. This will ensure that the correct amount of tax is deducted from your job or private pension.

Occupational pensions

If you have an occupational pension you can keep your benefits within the scheme (known as a preserved benefit) or transfer the benefits to another scheme.

By law, you must get a Leaving Service Options letter when you leave your pension scheme. You must get this letter within 2 months of you leaving the scheme. The letter should detail any options relating to your benefits.

A preserved benefit means that you get a pension when you reach the scheme's normal retirement age.

If you have less than 2 years' contributions to the scheme, you can get a refund of your own contributions (but not any contributions made by your employer). This refund will be taxed, as you received tax relief when you made the contribution.

Before you leave your job, you should talk to the person in the company who has responsibility for administering the pension scheme, as each scheme has its own rules.

Personal Retirement Savings Accounts (PRSA)

If you have a PRSA you can stop or start it when you choose, without charges, by contacting your PRSA provider. Your PRSA is a contract between you and a PRSA provider in the form of an investment account. PRSAs allow you to change employment and continue to use the same PRSA.

For further information, see the Pension Authority’s booklet, PRSAs – a consumer and employer's guide (pdf).

You can view your pay, tax, employment and pension details on Revenue’s MyAccount. You can register for MyAccount on revenue.ie.

Ceasing your old job

Where your old employer does not notify Revenue that you have finished, you can use myAccount to cease your old job.

Go to PAYE Services and select ‘Update Job or Pension Details’.

Registering your new job

Where your new employer does not notify Revenue that you have started, you can use myAccount to register your new job.

Go to PAYE Services and select ‘Update Job or Pension Details’.

To add a new job or pension you will need:

1. Your new employer's tax registration number
2. The date your job starts and how often you will be paid
3. To tell Revenue an estimate of your overall income

If you have recently moved to Ireland, you will need to provide some additional details such as arrival date.

For more information and support, see the Revenue myAccount help guides.

If you are unable to use online services, you can contact your tax office for help.

You can read more about tax and changing jobs on the Revenue website.

Occupational pensions and PRSAs are regulated by the Pensions Authority. It has a free booklet What are my Pension Options?' (pdf) which gives an overview of the pension arrangements available and the options that might suit your situation.

If you have any queries about your pension, contact the Pensions Authority's Information Unit. The Pensions Authority does not deal with the State pension. If you have any questions about your state pension, old age pension, contributory/ non-contributory pension, you should contact the Department of Social Protection.