How Employers Can Apply for a PRSI Refund — A Handy Guide

PRSI Refunds in Ireland – Overview

PRSI (Pay-Related Social Insurance) is a deduction from your wages that goes towards funding social welfare benefits. In some cases, you may be eligible for a PRSI refund if you overpaid PRSI during a tax year.

Common Reasons for PRSI Refunds

1. You earned below the PRSI threshold but PRSI was deducted.
2. You were employed and self-employed and paid PRSI under both Classes A and S.
3. You retired mid-year and continued to have PRSI deducted.
4. You turned 66 during the year (and PRSI should stop being charged from your 66th birthday).
5. You paid PRSI at the wrong class, e.g., Class A instead of Class M.

💼 How Employers Can Apply for a PRSI Refund — A Handy Guide

Did you know your business might be eligible for a PRSI refund? Whether you’ve overpaid for yourself or your employees, it’s worth checking — because money back is always a good thing, right?

If you’ve paid the wrong PRSI rate due to an employee being under 16, over 66, on certain types of leave (like maternity or illness), or you’ve had a class misclassification (e.g., Class A instead of Class B), you could be entitled to a refund for up to four previous tax years.

📝 How to Apply

1. Download the Form

The application form is called PRSI REF2 – Employer Refund of PRSI Contributions.
You can grab it here.

2. Complete the Form Carefully

Make sure to:

• • Use BLACK ballpoint pen
  • Fill in BLOCK CAPITALS
  • Have your employer number and the employee’s PPS number ready
  • Use a separate form for each type of refund
  • Include bank details for payment via EFT (Electronic Funds Transfer)

3. Reasons You Might Qualify

On the form, you’ll use a refund code. Some common ones include:

• • OPA – Employee over pensionable age (66+)
  • U16 – Employee under 16
  • MAT / PAT / PAR / ILB – Paid PRSI while employee was on leave
  • DIR – Director who shouldn’t have paid Class A

EXE – Holder of a PRSI exemption certificate

4. Send it Off

Post your completed application to:

PRSI Refunds
Department of Social Protection
Gandon House
Amiens Street
Dublin 1
D01 A361

Need Help?

You can reach out to the Department of Social Protection for queries:

• Website: www.gov.ie/PRSIrefunds
• Email: PRSIrefunds@welfare.ie
• Phone: 01 673 2586

Tip

If you’ve already refunded the PRSI to your employee directly, you can still get reimbursed — just include a signed declaration from the employee confirming it.

A few minutes of admin might save you hundreds (or more), so don’t leave it sitting on your desk! Download the PRSI REF2 form, fill it in, and pop it in the post. If in doubt, call the Department — they’re there to help.