Budget Changes With Effect From January 1st 2025.

Following payment increases, tax changes, new grants etc, announced by the Irish Government back on October 1st last, many new measures will now come into effect within the coming days.
Some of these cost-of-living changes will now include:- See full changes HERE.

• The national minimum wage will increase by 80 cents to €13.50 per hour.
• The 4% rate of Universal Social Charge (USC) will be reduced to 3%.
• A €125 energy credit, to be paid to all households, regardless, from January 1st 2025.
• Means test to be disregarded for Fuel Allowance will be extended to those aged 66 years and over – €524 (single person) and €1,048 (for a couple).
• Carer’s Allowance will become a qualifying payment for Fuel Allowance, subject to meeting all criteria of the Fuel Allowance scheme, including satisfying the Fuel Allowance means test.
• Weekly rates of Child Support Payment will increase by €8 to €62 for those aged 12 years and over, and by €4 to €50 for those aged under 12 years.
• A €15 increase in Maternity Benefit, Paternity Benefit, Adoptive Benefit and Parent’s Benefit.
• Newborn Baby Grant of €280 in addition to the first month of Child Benefit (€140) for children born on or after December 1st 2024.
• A €12 increase in most weekly social welfare payments, with proportionate increases for qualified adults and people obtaining a reduced rate.
• An increase by €60 a week in the case of the Working Family Payment; regardless of family size.
• A €20 increase per month in Domiciliary Care Allowance.
• The amount not taken into account when you sell your home to move into care will increase to €337,500 from January 2025
• Those in receipt of State Pensions (Non-contributory); Disability Allowances or Blind Pensions; the amount not taken into account when you sell your home to move into care will increase to €337,500 from January1st 2025.
• Carer’s Benefit to extend to persons who are self-employed.
• VAT for installing a heat pump will be now be reduced from the current standard rate of 23% to the reduced rate of 9%.