Cycle to work to take the sting out of PAYE

A host of measures to allow workers manage their tax bill, writes Brian Keegan.

It’s around this time of the year when most employees get a stark reminder of all the tax, USC and PRSI they pay. The annual P60, which by law your employer must provide, adds up and summarises all the money you’ve paid over to the State under PAYE. It really does add up.

Last year, according to figures from the Department of Finance, a single person on PAYE earning €25,000 a year would have paid €1,700 in income tax, €1,000 in PRSI and €668 in USC. That’s a total of €3,368. It gets a lot worse further up the income ladder.