Statutory and legislative payroll changes in Ireland, each linked to the page it was checked against. For information only, not legal or tax advice: confirm details with the source before acting. See the terms.
Tax credits unchanged; USC 2% band widens; PRSI rises from October
Effective 2026
Budget 2026 keeps the personal, employee and earned-income tax credits at €2,000. The 2% USC band increases by €1,318 to €28,700. Employer and employee PRSI rates rise by 0.15% from 1 October 2026.
For the employer
- Apply the new USC band from January and the PRSI increase from October 2026.
For the employee
- Slight USC saving; small PRSI increase from October 2026.
Source: KPMG Ireland - Budget 2026 personal tax · Last verified 1 October 2026
National Minimum Wage rises to €14.15
Effective 1 Jan 2026
The National Minimum Wage increases by 65c to €14.15 per hour from 1 January 2026.
For the employer
- Raise any pay below €14.15/hour from the January 2026 pay run.
For the employee
- Minimum-wage workers receive 65c more per hour.
Source: KPMG Ireland - Budget 2026 personal tax · Last verified 1 October 2026