What is the primary purpose of Pay Related Social Insurance (PRSI)?

The primary purpose of Pay Related Social Insurance (PRSI) is to provide future entitlements for social welfare benefits. This system allows individuals to contribute a portion of their earnings, which in turn enables them to access various benefits, such as unemployment payments, pensions, and other forms of social welfare support when they are in need. By contributing to PRSI, people effectively invest in their future security, ensuring that they can receive financial assistance during times of unemployment or retirement, among other scenarios.

The focus of PRSI is on social protection rather than funding government projects or taxing consumer spending. Unlike infrastructure funding, which is aimed at developing public facilities, and property valuation assessments, which pertain to taxation and local government funding, PRSI's role is specifically tied to the social welfare system and the entitlements that arise from individual contributions. This targeted approach helps in maintaining social stability and support for those in vulnerable circumstances.