PAYE (Pay As You Earn)
The system where your employer takes income tax, USC and PRSI from each payday and pays it to Revenue, using your Revenue Payroll Notification.
What it means
Under PAYE your employer does the deductions for you. Each payday they apply your standard rate cut-off point and tax credits, worked out cumulatively over the year, then deduct USC and PRSI. The deductions show on your payslip.
Your employer gets your figures from Revenue in a Revenue Payroll Notification (RPN). If you start a job without one, you go on emergency tax until Revenue issues it. You manage your own record in myAccount: claim credits, register a new job, and see a statement of liability after the year ends.
The self-employed do not use PAYE. They pay through self-assessment on ROS instead.
Example
A single person paid €4,000 a month has income tax of €533.33 deducted each month under PAYE in 2026, before USC and PRSI.