Budget 2014 - Employers PRSI Increase

Just a reminder that when from 1 July 2011 the lower rate of employer PRSI was halved (to 4.25%) for all jobs that pay up to €356 per week, that the rate will be restored to 8.5% from 1 January 2014.

Budget 2014 - Main Points

The main points of Budget 2014 are as follows:

• Pensions, carers' allowance, disability benefit are untouched. 
• Basic rate of social welfare stays the same, as does child benefit. 
• Maternity benefits standardised at €230 per week 
• Free travel, respite care grant untouched. 
• Telephone allowance in the household benefit package to be discontinued from January 1st.
• Fuel allowance has been left untouched.  
• €113m to be saved by removing "ineligible and redundant" medical cards. 
• Income threshold for medical cards for over-70s lowered 
• Free GP care for children aged five and under confirmed 
• Reduced rate of €100 extended to new extrants under 25  to jobseekers scheme
• Home heating oil and petrol/diesel have also been left alone. 
• VAT rates are staying at 9%, 13.5% and 23% in 2014
• No increase in income tax, USC in 2014.
• DIRT rises to 41%
• Medical insurance tax relief capped at €1000 for adult, €500 for a child  
• Air travel tax to be reduced to zero from April 2014
• Beer and spirits hit by 10 cent rise, wine up 50 cent
   

Budget 2014 - It's steady as she goes

Budget 2014 may contain many changes but from the point of view of payroll and the calculation of PAYE Tax, USC and PRSI there are none. It appears that all rates remain the same as they were in 2013.

Budget 2014 - The wait is almost over

At 2:30pm today the Minister for Finance will rise in the Dail and begin the budget speech. While many tax measures appear to have been leaked in advance such as

• Increase in DIRT tax to 41%
• Capital Gains Tax and Capital Aquisitions Tax to be increased
• Property tax to be doubled as outlined previously
• Pension tax relief for higher earnings to capped at 65,000 euro
• Taxes on the "old reliables" alcohol, cigarretes and petrol expected to go up