Calculating maximum tax relieved AVCs I can make in one year

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CharlieMac

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I'll be making AVCs for 2024 soon and want to contribute an amount that maxes my tax relief for the whole of 2024.

I am also paying in to a Public Sector HSE pension. So I think this is the formula...

Max AVCs for the year = (Gross Salary) * (Age-Related % limit on Gross Salary) - (Annual Total contributions in to HSE Pension Scheme)
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Can I check what figures do I use for my "Gross Salary" and "Annual Total contributions in to HSE Pension Scheme" in this calculation?

I am not paid any additional work-related incomes I just get paid one amount via a payslip every 2 weeks.

Gross Salary
On my final (Pay Period: 26) payslip for 2024 there is a number for "Basic Salary" at the top of the payslip and on the bottom there is an accumulated "Year To Date" amount for Gross Pay. But these numbers are not the same. That last 2024 payslip only covered 25th Nov to 8th Dec. Also over the course of 2024 my PS employer bumped up the salary a bit, a few times.

Do I use the "Basic Salary" figure at the top of my final (Pay Period: 26) payslip for 2024?

Annual Total contributions in to HSE Pension Scheme
On the bottom of my final (Pay Period: 26) payslip for 2024 there is an accumulated "Year To Date" amount for "Pension Cont. Non Taxable".

Do I use that figure at the bottom of my final (Pay Period: 26) payslip for 2024?
 
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PS pensions in Ireland are unfunded, so there aren't any employer contributions.

You may mean to refer to the employee superannuation contributions?
 
Also note that the employee superannuation pension conts on payslips is often split into two elements, and appears as two deductions on some payslips.

I have seen the Spouse and Children contribution appear as a separate line.
 
Thanks. I have updated my question now. For that I am referring to the contributions I make in to the HSE Single Pension Scheme.

Yes I see on my Payslip an entry for "ASC / PRD" which I suppose is the Additional Superannuation Charge.
There are also two separate entries: "A-Pension 170" and "Pension 170".
These two numbers added together are referred to on the bottom of the PaySlip as "Pension Cont. Non Taxable".
"Pension Cont. Non Taxable" = "A-Pension 170" + "Pension 170".
So I'm guessing these are the contributions I am making in to the Single Pension Scheme.

At the bottom of the payslip are two columns "Current Period" and "Year to Date".

So I'm asking do I use the Gross Salary from the accumulated "Year to Date" on the bottom or the number at the top of the payslip. The one at the bottom is a lower amount by €1000 or €2000.
The get a number for the total of all pension contributions I have paid in to the SPS I suppose I would use the "Pension Cont. Non Taxable" figure from the "Year to Date" on the bottom?
 
CharlieMac said:
Gross Salary
On my final (Pay Period: 26) payslip for 2024 there is a number for "Basic Salary" at the top of the payslip and on the bottom there is an accumulated "Year To Date" amount for Gross Pay. But these numbers are not the same.
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Yes, due to pay increases and increments, etc.

My gorss salary in Nov 2025 is not the same as my annual earnings for 2025.

This actual annual earnings figure should be used, it may be lower than the current salary, as you didn't earn the current salary earlier in the year.

Surely the EDS is a better place to see this data, rather than the final payslip?
 
CharlieMac said:
There are also two separate entries: "A-Pension 170" and "Pension 170".
These two numbers added together are referred to on the bottom of the PaySlip as "Pension Cont. Non Taxable".
"Pension Cont. Non Taxable" = "A-Pension 170" + "Pension 170".
So I'm guessing these are the contributions I am making in to the Single Pension Scheme.
Click to expand...


Yes. Ignore the ASC when calculating possible AVC contributions.

I wonder what the 170 refers to?
 
Maybe it's something to do with the Single Pension Scheme ( post 2013).

What do you mean by EDS?

My problem with using the accumulated "Year To Date" amount for Gross Pay at the bottom of the payslip is I don't think that's accurate either because how do I know I have a full year's worth of accumulated gross salary specifically for 2024?

My last 2024 payslip (Pay period 26 of 26) only covered 25th Nov 2024 to 8th Dec 2024. All of my gross pay on the 1st payslip of 2025 was actually earned in 2024. Some of my gross pay on the 2nd payslip of 2025 was also earned in 2024.

Maybe there is an easier way to get this info from my local payroll or from Revenue.ie I don't know. Maybe I'm trying to be too exact about it and Revenue won't mind if you're our by a bit due to payslips not exactly covering the period: 1st Jan to 31st Dec?
 
CharlieMac said:
What do you mean by EDS?

My problem with using the accumulated "Year To Date" amount for Gross Pay at the bottom of the payslip is I don't think that's accurate either because how do I know I have a full year's worth of accumulated gross salary specifically for 2024?
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The former P60 issued by employers is now known as the Employment Details Summary.

In it, the employer states all the details you require.

It is in your Revenue account.


Employment Detail Summary

This page explains the Employment Detail Summary and where to find it
www.revenue.ie www.revenue.ie
 
@CharlieMac
Try starting to submit your statement of liabilities in myaccount.

When you click into the AVC section, this might show your total salary and the contributions deduced directly from salary.

For a PRSA the total salary and salary deducted contributions are shown.

You then enter an amount, and the amount available for tax relief is indicated.

If you enter an amount larger than your allowance, only your maximum allowable amount is indicated as tax allowable.

This is an easy way to find out how to maximize your AVC contribution.

When you have established your maximum, save the form.

You can then pay in the contribution and then complete your statement of liabilities at a later date.
 
S class said:
Try starting to submit your statement of liabilities in myaccount.

When you click into the AVC section, this might show your total salary and the contributions deduced directly from salary.

For a PRSA the total salary and salary deducted contributions are shown.
Click to expand...
I pay an accountant to do my tax return every year. I'm afraid I'll mess something up by clicking around but I'd like to learn more about how this works and maybe even do my own tax returns one day. Well at least know how to do the AVCs bit on there.

In order to "Try starting to submit your statement of liabilities in myaccount."....

In myAccount I followed these Revenue instructions about how to claim the tax relief. When I click on "Review your tax for the previous 4 years" and click to Request a Statement of Liability I get the message:
"Preliminary End of Year result not available. You cannot proceed as you (and/or your spouse or civil partner, if applicable) were registered for Income Tax during the year."
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I recently gave all my 2024 tax return documents to my accountant so maybe they have done something that is in-progress?
 
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You are registered to pay income tax through ROS, i.e. the old Form 11.

This suggests that you have non-PAYE income.

This means that you can't use the simpler Form 12 tax return on Revenue MyAccount.
 
Yes, I also had rental income in 2024. Perhaps my accountant registered me to pay income tax through ROS?

Can I get a log in myself to use ROS? On www.ros.ie it says:

Who can apply to become a ROS Customer?​

  • Any individual or entity with an Irish tax registration number already registered for a business tax e.g. Income Tax, VAT or Employers PAYE. Individuals who are registered for PAYE or LPT only should register for myAccount
  • Tax practitioners with a valid TAIN number
  • LPT Receivers with a valid Receiver number
  • Solicitor with a valid TAIN number
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I don't think I would qualify under any of those points 1, 2, 3 or 4. Would having a rental property qualify someone under Point 1?

So I actually have no choice but to pay my accountant to manage my tax credits/tax refund from me making AVCs. Is that the case?
 
Yes, it looks like you exceed the limits, see below, and therefore your accountant has you on ROS / Form 11.

Therefore, any other adjustment to tax, e.g. other tax credits, AVCs, medical expenses, etc., all go on the same tax return.


A guide to self-assessment

This page outlines the basic principles of the self-assessment system as it applies to Income Tax and Capital Gains Tax (CGT)
www.revenue.ie www.revenue.ie

Who should register for Income Tax self-assessment?​

You should register for Income Tax self-assessment if:

  • you are self-employed
  • your only, or main, source of income is:
  • or
  • you profited from share options or share incentives.
You must register for self-assessment if:

  • your taxable non-PAYE income exceeds €5,000
  • or
  • your gross non-PAYE income exceeds €30,000.
 
Logging in to ROS requires user to have a digital certificate (p12.bac) and in most cases, if you are using an Accountant, it will be assigned to them. Digital certificates should not be shared with users, but I think you can obtain a sub-user certificate, but you will need your Accountant to approve, as they are now the administrator of your revenue ros account.
 
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CharlieMac said:
I'm afraid I'll mess something up by clicking around but I'd like to learn more about how this works and maybe even do my own tax returns one day. Well at least know how to do the AVCs bit on there.
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Really there is nothing to worry about. You can do any amount of clicking around and inputting different amounts in the form 11.

If you want to learn how the form works, you could play around with a previous years form.

Click into file a return, complete a form online, income tax, form 11, File return.

Then select a back year. Click next.

On the next page click "proceed"

Your will be warned that your are making an amendment.

Click that you are amending the form.

Give the reason as correcting an error.

Click continue at the page bottom.

You are now into a form 11 and are free to play around to your heart's content.

You can input different amounts on any page and click continue at each page bottom. You can then go to the calculate page and see the effect of your changes.

The form 11 is an excellent learning tool. I have learned a great deal of useful knowledge from this process.

Provided you don't go to the last page and click submit and enter your password, no new data will be sent to revenue.

When you are finished your learning session.

Click another section at the top of the site e.g. "Revenue Record."

You have now exited the form 11.

Then repeat... Click into file a return, complete a form online, income tax, form 11, File return.

You will now see your form 11 as "Started."

Click the delete button.

A box appears saying you will permanently delete the form details.

Click OK.

The backdated form 11 will now revert to all figures that were on the form, as submitted to revenue.

You can repeat this process as often as you like.

After a while you will be an expert on form 11 filing.
 
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