Income Tax Calculator Ireland - Budget 2025

The DublinLedgers Income Tax Calculator is designed to help individuals estimate their net income for the 2025 tax year in Ireland. It incorporates the latest tax rates, credits, and Universal Social Charge (USC) bands as outlined in Budget 2025.

The calculator reflects updates from Budget 2025, (Summary of updated rates are available here) including:

• USC Adjustments: The upper limit of the 2% USC rate increased to €27,382, and the 4% rate on income between €25,760.01 and €70,044 was reduced to 3%.
• Tax Credits: Personal, Employee, and Earned Income Tax Credits each increased by €125, rising from €1,875 to €2,000.
• Income Tax Bands: The standard rate band increased by €2,000 across all categories, reducing the tax burden for many taxpayers.

The calculator uses a composite PRSI rate of 4.125% for 2025, accounting for scheduled rate increases during the year. It assumes users are employed contributors under PRSI Class A. More detailed assumptions are outlined here.

The calculator applies tax credits based on user status:

• Single Individuals: A total tax credit of €4,000, combining Personal and Employee Tax Credits.
• Single Parents: A total tax credit of €5,900, including the Single Parent Child Carer Credit.
• Married One Earner: A tax credit of €7,950, incorporating the Home Carer Tax Credit.
• Married Two Earners: A total tax credit of €8,000, with income jointly assessed.

The calculator applies USC rates progressively:

• 0.5% on income up to €12,012.
• 2% on income between €12,013 and €27,382.
• 3% on income from €27,383 to €70,044.
• 8% on income above €70,044.

Yes, users can input pension contributions, which the calculator considers when estimating net income.

• Home Carer Tax Credit: A child for whom Social Welfare Child Benefit is payable, including all children under 16 and those under 19 in full-time education.
• Single Parent Child Carer Credit: A child under 18 at the beginning of the tax year or in full-time education if over 18.

The calculator treats entered annual income as total earnings, including PAYE, self-employment, rental, or other sources. However, net pay calculations are specifically based on the PAYE system.

While the calculator can estimate net income for various income types, self-employed individuals may require more detailed assessments. For comprehensive guidance, it’s advisable to consult with us.

The calculator provides estimates based on current tax laws and user inputs. For precise calculations, especially in complex situations, book a free consultation with us.

Yes, the calculator uses composite rates to reflect mid-year adjustments, such as the PRSI rate changes scheduled for October 2024 and October 2025.

For married couples with two incomes, the calculator treats income as jointly assessed, applying a 20% tax rate on the first €88,000 of combined income and a total tax credit of €8,000.

The calculator is updated annually to reflect changes in tax laws and rates, ensuring users have access to current information.

Yes, by providing estimates of net income and tax liabilities, the calculator can aid in personal financial planning. However, for detailed tax planning, professional advice is advisable.

No, the calculator is available for free on the DublinLedgers website.

The calculator is accessible online at Income Tax Calculator – Budget 2025 in Ireland