Earnings Among Parents in Ireland 2016 & 2022

Data Sources

Earnings Analysis using Administrative Data Sources (EAADS)

The Earnings Analysis using Administrative Data Sources (EAADS) dataset is produced annually by the CSO and is based on Revenue’s employee tax data. For years 2011-2018 the employee tax data used for the EAADS came from employer end of year returns, P35, submitted to Revenue. Since January 2019, Revenue has operated real-time reporting of payroll; “PAYE Modernisation" (PMOD). EAADS analysis from 2019 onwards is based on the more detailed employee tax data provided by Revenue’s PMOD system.

Linking the unique enterprise number common to both the Revenue employee tax data files and the CSO’s Business Register allows enterprise level variables to be added to each individual employment. The economic sectors (NACE Rev.2) are harmonised to the CSO's Business Register. The earnings dataset is further enhanced by adding demographic details. By using a unique identifier (see 'Methodology' below) each employee on the employee tax data files is linked to their individual demographic characteristics on Department of Social Protection datasets.

Census of Population (COP)

The Census of Population 2022 was carried out on the night of Sunday, 03 April 2022 in accordance with the Statistics (Census of Population) Order 2020 and in order to facilitate the EU requirements arising from the implementing legislation associated with Regulation (EC) No. 763/2008 on population and housing censuses.

The census population figures in this report relate to the de facto population meaning persons who were present in the State on the night of Sunday, 03 April 2022. The de facto population includes persons who do not usually live in Ireland but who were in the State on Census Night. It excludes persons who usually live in Ireland but who were temporarily absent, outside of the State, on Census Night. Persons who were present in the State were enumerated and are reported at the location where they spent Census Night. This may not have been the location where they usually live.

The data in this report is based on the information handwritten on the census forms. After collection, the census forms were returned to CSO where they were scanned to capture and digitise the handwritten information. This digitised information was then processed to prepare it for publication.

Methodology

The results presented in this release are based on a data-matching exercise of two data sources:

• Earnings Analysis using Administrative Data Sources
• Census of Population

The linkage and analysis was undertaken by the CSO for statistical purposes in line with the Statistics Act, 1993 and the CSO Data Protocol.

Before using personal administrative data for statistical purposes, the CSO removes all identifying personal information including the Personal Public Service Number (PPSN). The PPSN is a unique number that enables individuals to access social welfare benefits, personal taxation and other public services in Ireland. The CSO converts the PPSN to a Protected Identifier Key (PIK). The PIK is a unique and non-identifiable number which is internal to the CSO. Using the PIK enables the CSO to link and analyse data for statistical purposes, while protecting the security and confidentiality of the individual data. The Revenue, DSP and CSO records were linked using the PIK for this project. All records in the datasets are anonymised and the results are in the form of statistical aggregates which do not identify any individuals.

The publication tables in this release are provided by NACE economic sector, sex, age and highest level of education completed and are available on PxStat (CSO Main Data Dissemination Service). Average weekly earnings are provided, and the information covers both the public and private sectors. The CSO analysis is for PAYE individuals only.

Exclusion of Employees from Earnings Data

For the purposes of the EAADS analysis the CSO excluded employments earning less than €500 per annum and employments where the duration was less than two weeks in the year. Also excluded were secondary employments earning less than €4,000 per annum, extremely high earnings values and missing employer and employee reference numbers. Employment activity in NACE sectors A, T and U has also been excluded from the analysis.

For the purposes of this publication, the 'population' refers to employments included in the EAADS dataset of relevant reference years, where employees are aged 25 to 59 years, inclusive. In terms of family units with children, the reference person and their partner/spouse were identified by the Census of Population (COP) 2016 and 2022. For the purposes of this publication, 'parents' refers to reference persons and their partner/spouse who have at least one child under the age of 18 normally resident in the family unit. It is important to note that both partners in a couple may not be the parents of the resident children.

Restriction to October only

In line with Eurostat requirements relating to Structure of Earnings Statistics (in particular Council Regulation (EC) No 530/1999) the data used for this analysis has been restricted to employments that were active in the month of October.

Up to 2018, employments active in October were identified using employment start and end dates on the P35 data. From 2019, active employments are identified by reference to pay dates in the reference month using data from Revenue's PMOD system.

Definitions

Annual Earnings

Annual earnings represent the total gross annual amount (before deduction of tax, PRSI and superannuation) payable by the enterprise to its employees. This information is obtained from employee tax data provided by the Revenue Commissioners. It includes bonuses and benefit in kind (BIK). It excludes pension payments and severance payments.

Weekly Earnings

Weekly earnings are calculated by dividing the gross annual earnings by the number of weeks worked.

Economic Sector Classification (NACE Rev.2)

The economic sector classification (NACE) is aligned to the CSO’s Business Register. The economic sector classification used for the Business Register is based on the ‘Statistical Classification of Economic Activities in the European Community (NACE Rev.2)’. The NACE code of each enterprise included in the survey was determined from the predominant activity of the enterprise, based on information provided to the CSO.

Reference Person

The reference person in each private household is the first person in the household identified as a parent, spouse, cohabiting partner or head of a non-family household containing related persons. Where no person in the household satisfied these criteria, the first usually resident person was used as the reference person.

Family Unit

For the purposes of this publication, a family unit is defined as:

1. a married or a cohabiting couple together with one or more usually resident children (under the age of 18); or
2. one parent together with one or more usually resident children (under the age of 18).

Family members have to be usual residents of the relevant household. The determination of household and family composition is based on responses to the question on the census form dealing with relationships within the household.