OECD report Taxing Wages 2018
This morning.
The OECD has published a report called Taxing Wages 2018.
Fiona Reddan, in The Irish Times, reports:
Single workers with no children are bearing the brunt of Ireland’s personal tax regime, a new study shows. And Ireland’s experience reflects the position across the 35 OECD states where households with children face a lower personal tax burden than those without.
Taxing Wages 2018 measures the so-called tax wedge – the difference between a person’s take home pay and what it costs their employer to employ them.
…The new study shows that one-income families on the average wage (€ 36,358) and with children give up just 1.2 per cent of their income on tax.
…According to the survey, across the OECD, the average single worker paid just over one-quarter of their gross wages in income taxes and social security contributions, a ratio that has remained relatively stable over the last two decades, the OECD said.
Single workers bear the brunt in Ireland’s personal tax system (Fiona Reddan, The Irish Times)
Read the OECD report in full here
Finally someone noticed !
Shat about the greedy bloodsucking landlords though
* not shat …what
You’re also less likely to be able to afford to buy property on one wage. So, good luck.
Likely needing HAP too.. the social welfare system for landlords.
children are the future
that shouldn’t be forgotten
ever
As a single person, I am not that keen on paying for other peoples children….
Well I’m sure my kids will enjoy funding your care when you’re old. It works both ways.
This.
And when we were kids our parents got tax relief & chisellers allowance for us.
And you will as well when you do the same
Mildred, I will fund my own care.
Have you noticed, no one gets anthing for free from the state. That wonderful “Fair Deal” scheme will take my home sell it and any and all other assets I may have, all with the best of intentions to put me into a “safe” caring environment.
In the meantime, we work all our adult life pay taxes on demand and we still have to provide for ourselves.
No Mildred, not your children or anybody elses will pay our senior years. You are doing paying for yourself today and you will pay for it long after you retire.
The DSP paid over €7,000,000,000 on pensions in 2016.
But apart from that €7 billion – you just might have a point.
At the end of the day, it all goes into the one pot and is divvied up according to what will gain the most votes for the current government.
The taxes I’ve been paying for the past 15 odd years fund my daughter’s free ECCE place, they fund my grandmother’s hospital care, they fund the salaries of those arseholes in Leinster house. We all (most of us) pay our bit and have very little say as to who it will benefit or what it pays for. That’s how it works.
Isn’t a fair proportion of that civil and public service and political pensions, @Cian?
Your not wrong Mildred.
I think the difficulty for most people is the volume of money that is wasted; poorly and mostly never thought out spending is what, in my opinion most people are frustrated with.
When a salary of one individual at €51k contributes €13,940; (as per Cian below), being circa 27% of ones salary; plus a further €5,483 from employers PRSI; it is these numbers that people really start to loose the value of their contributions. A cumulative annual contribution from one employee of €19,423. Also, people are fundamentally aware they will never enjoy anything like the monetary value of lifetime tax remittances through senior life state benefits.
Another point to consider is; the government never really; absolute and truthfully discus’s the current available cash flow within our national finances. I genuinely believe that the available cash on hand at any given moment is significantly stronger to what was on hand 10 years ago.
There in lies the problem. The state have over the last 10 years imposed a number of new taxes; employed very aggressive tax collection procedures at Revenue and continue to do so. Thus cash flow is ever stronger, but never seems to come back to working middle Ireland.
Well said. I completely agree with that.
i intend to spend my ‘gap year’ before i draw my pension as a raffles-type jewel thief. i have the moustache planned and everything.
Alors. Dunno.
But back-of-envelope calculations. There are ~500,000 people 65+. Non contributory pension is up to 232 per week. Let’s round down to ~ 10.000 per year.
This is works out at 5 billion for non contributory pensions.
even the cute ones?
You know you wanted to say ‘sexy’ BB and chickened out at the last minute
Heh. No doubt.
that looks awful written down / another bit of self-censorship
What percentage of families is this?
The new study shows that one-income families on the average wage (€ 36,358) and with children give up just 1.2 per cent of their income on tax
Just off the top of my head the single income family would be able to claim the standard reduction of €1,650 twice, leading to a lower actual rate of tax.
Kids are also expensive or so I’m lead to believe…. so let them have it
no
No to what exactly???? Details Anne details. Otherwise you’re just trolling badly
all on revenue.ie
Really, why not say just google it – you’re talking BS
coz.. all available on revenue.ie
Was busy there yesterday..soz. You’re right..kinda. Both single & married are entitled to a PAYE credit if they work, of 1650. There’s the married credit of 3300 too which u can split or one person can take. You can’t transfer the paye credit.
I’ll get u the links. That report was based on all sorts of social welfare entitlements too btw.
https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/tax-relief-charts/index.aspx
Single 40% after 34,550
Married one income 40% after 43,550.
If earning that amount, you’re better off by 40% of 9k, minus 20% of 9k. 3600 – 1800
This is the bit I was saying no to.
https://www.revenue.ie/en/life-events-and-personal-circumstances/marital-status/marriage-and-civil-partnerships/joint-assessment.aspx
Allocating tax credits, reliefs and rate bands
Joint assessment allows you to allocate (transfer between you) most of your tax credits, reliefs and rate band with your spouse or civil partner. The Tax Rates, Bands and Reliefs that apply to you depends on if one or both of you have an income.
You cannot transfer:
*the Employee Tax Credit
*employment expenses
*the increase in the standard rate band.
Basically don’t get married, it’s not worth the few grand. :-)
im 39, im on 51k per annum and i live on my own, rent is a bit above €1000, and I live from pay packet to pay packet. I very rarely get clothes or any flash extras. My money goes on rent, elec bill, TV/Internet, bins, food. I have about 5 pints a week. I sold the car and couldnt dream of affording to run one.
My point is that on my pay, in any other EU city, I’d probably own my house & car, and be able to go out to dinner etc. and go on holidays.
.. and im on a good salary .. so how the fupp do people on a basic salary live here? Our gov. treats us like cattle, to harness and drain what they can from us. there is no will to make it a great place for us to live and thrive.
That sounds very similar to my situation. Doing my absolute best to save but it’s tough, and holidays have to be short and cheap or i’ll wipe out my savings and have to start all over again. Hate that feeling.
That doesn’t add up filly buster because you have 3 grand a month after tax and 2 grand a month after paying your rent. You should be able to save about 8000 a year and live nicely.
+1…makes no sense (do accountants make 51k pa?)
you’d think so, Ulster. But with Bills, loan repayments etc., it works out at about €200 a week to spend on myself including food. So if something comes up, and often does, like doctor bills, medicine, a wedding, nephews birthday, anything like that, it eats into that 200 pw, sometimes wiping it out.
scrap the birthday presents for nephews for starters
lol. remnants of joan burton saying if you’ve an iphone you should downgrade to a nokia 3210 and spend the savings on water bills.
it sounds to me like your loan repayments are a tidy sum?
Jesus.. why dont you ask him to post his bank account statements.
It’s a tidy sum living in Ireland.
And what colour underwear he has on. That’s also important.
I woulda said size in inches myself :-)
Filly started it by saying 2000 per month after rent was barely enough to live. I, and others, are surprised at this. We then find there are loans too.
And 6’2″ (or 74 inches).
That escalated quickly
You’ve described my situation exactly apart from I haven’t had to sell my car.
It’s fupped up..
I have to say, I find that a bit baffling, filly. Your monthly net income is €3k. You’re spending just over a third of that on rent (not unusual). What in god’s name are you spending the rest of it on that you’re not able to go out to dinner or go on holiday, and you’re living paycheque to paycheque?
I spend €500 on drink, €500 on hard-drugs, €500 on the horses… and I simply waste the other €500.
Hookers?
YES please.
You are feeling cheeky today.
I like it.
Barry. after rent, load repayments and bills, i have about 200 a week for myself of which food has to come out of too. A doctor visit and subsequential medication can blow that out of whack altogether. Throw in weddings, birthdays, and other things that pop up and you can find yourself counting pennies pretty quick.
Do you go on an annual holiday? Away for the odd weekend?
That’s really the problem with the country.
You’ve done well for yourself and nothing to show for it.
I guess you’ve “contributed” to a better society………or however SJW want to dress it up
“When I was single I had a plaid shawl,
Now that I’m married I’ve nottin ‘ at all,
Oh and still I love him, I’ll forgive him,
I’ll go with him wherever he goes”. ;-D
You weren’t brave enough to put in the verse about he knocks me about?
A quarter my bollocks… try close to 49% when USC is taken into account.
No.
On the ‘average wage’ mentioned above of €36,358; Total tax is €4,333 (after credits); PRSI is €1,454 USC is €1,014; totalling €6,802 == 18.7% tax.
On €51,000 taxes are (€10,190 & €2,040 & €1,710) = €13,940 == 27.3% tax
according to http://download.pwc.com/ie/2018-income-tax-calculator
#PullingACian
yes, but it’s not when *I* do it!
#pullingacian has grown beyond you now.
It’s an entity all of its own now, with it’s own thought processes and sentience and a post code too.
D4 CI69
is that your eircode???
I wish. I always snigger when anything has 69 in it. It’s the Viz in me. UP me. Fnar.
D04 CI69
seriously guys, it’s sever characters: XXX XXXX
I did it! I severed a character. The zero, to be precise.
It’s not nice to make fun of my accent. That’s racist!
Hang on, you go from giving me sever big kisses (XXX XXXX) to saying I’m racist within one post?
I’m disappointed in you, Key-Key.
*ahem”
what’s this? kisses? “key key”?
(*)(*)
urban dict says that’s two sphincters side by side
that’s nice, i suppose
Side point, but is bollocks allowed now? Cos I love that word. GO WAY, YOU UTTER BOLLOCKS. I say.
#AskMeBollix
Milly got away with an f bomb the other day
I’m not saying where cause THEY havenae seen it
Well that’s charming.
:D
This is a game changer, people! Bring on the profanities! Shitehawks!
Any attempts to widen the revenue base (water charges, property tax) have been strongly resisted, so no surprise that the PAYE worker is left to carry the can, as ever.