Employer

Your employees can achieve significant savings on the cost of commuting when they receive their Annual or Monthly ticket, up to 52%.

This system benefits everyone as your company will also save 10.75% on Employer PRSI when you make this deduction from salary payments.

There are several ways you can assist your employees in receiving a Taxsaver Ticket:

Salary sacrifice Example

Employees can reduce their gross salary by the cost of their chosen ticket and will therefore reduce the taxable element of their salary:

• Employee earns €30,000 Gross Salary
• Annual ticket costs €1,800 and is deducted from their Gross Salary
• New Taxable salary €28,200

In place of cash bonus

Employees can reduce their cash bonus and receive a taxsaver ticket to the same value.

Receiving a taxsaver ticket in place of a cash bonus offers regular commuters an ideal tax saving method of payment.

• Employee receives an Annual bonus of €2,000
• Annual ticket costs €1,800 and is used as part of the bonus
• Amount of Bonus Taxable €200

  • Receiving a taxsaver ticket in place of a cash bonus offers regular commuters an ideal tax saving method of payment.

Addition to salary

This is a popular option for employers involved in a staff retention process. It is also a great way of reducing the number of car parking spaces needed.

Revenue terms and conditions

• There must be a bone fide and enforceable alteration to the terms and conditions of employment (exercising a choice of benefit instead of salary).
• The alteration must not be retrospective and must be evidenced in writing. A sample alteration form is available here.
• There must be no entitlement to exchange the benefit for cash.
• The choice exercised (i.e. benefit instead of cash) cannot be made more frequently than once a year and then only with the consent of the employer

• The full text of the Revenue Commissioners Tax Briefing document can be found on www.revenue.ie