Living and working in Ireland| Tax, Rent & Banking

Tax in Ireland

Income tax in Ireland is split into various sectors; PAYE (Pay as you earn), PRSI (Pay related social insurance) and USC (Universal Social Charge) and each amount is dependent on your own personal circumstances. PRSI allows you to claim from the department of social protection and USC is a tax known as your health contribution.

Please find the information below taken from: How your income tax is calculated

Tax is charged as a percentage of your income. The percentage that you pay depends on the amount of your income. The first part of your income, up to a certain amount, is taxed at 20%. This is known as the standard rate of tax and the amount that it applies to is known as the standard rate tax band.

The remainder of your income is taxed at the higher rate of tax, 40% in 2016.

The amount that you can earn before you start to pay the higher rate of tax is known as your standard rate cut-off point.

Standard rate cut-off points

2015 and 2016
20% 40%
Single person €33,800 Balance
Married couple/civil partners, one income €42,800 Balance
Married couple/civil partners, two incomes Up to €67,600
(increase limited to the amount of the
second income – see example below)
One parent family €37,800 Balance

You can calculate your own take home pay using this Irish Times calculator;

Renting in Ireland

There is a lot of competition for affordable accommodation in Ireland at present and particularly in the cities.  If you are looking to rent, you will need to have references, proof of employment and usually a one month deposit in order to secure the property.

There are a number of websites that you can review in order to establish the average cost of renting in your chosen location.  The two most popular websites for renting in Ireland are;

As a tenant you also have rights, for example since 4th December 2015, it is now law that your landlord can only review their rent every 24 months and  must give you 90 days notice to review.  If you wish to read your rights, please review

Opening a bank account in Ireland

Opening a bank account can be challenging in any new country but if you are prepared and have the right documentation from the start, it will make everything much easier.

What do you need?

  • 1 – 2 forms of photo identification and proof of address in Ireland
  • PPS number

What forms of Identification can you use to open a bank account?

  • Driver’s licence
  • A valid passport
  • Age Card issued by the Gardaí
  • Identification form with a photograph signed by a member of An Garda Síochána
  • Documents issued by the Government showing your name in full.

What forms of address can you use to open a bank account?

  • Current utility bill
  • Statement from the tax office
  • Current car or home insurance policy including your address
  • Official document from the government showing your address
  • Social insurance document showing your address
  • A letter from your employer or licensed employment firm stating that you have commenced employment but do not have a current Irish address (this address will need to be furnished at a later stage).

Major banks in Ireland are AIB, Bank of Ireland, Ulster Bank, EBS,KBC Bank and Permanent TSB.