Budget 2027 Calculator - What new measures will put back in your pocket

With the announcement of Budget 2027, households and individuals around the country will see significant changes to their day-to-day finances.

The variety of tax credits, fee reductions, and threshold adjustments can be overwhelming to take in, so here’s a breakdown of the real-world impacts these changes will have on specific groups of people.

Parents & Workers

The minimum wage is set to see another increase come January 1. Workers who are 21 and over will now receive a minimum of €14.94 per hour, up from €14.15.

This means that somebody working 35 hours per week on the minimum wage will have a gross annual income of €27,190.80.

A personal income tax package of €1.3 billion has also been announced.

A number of changes to tax brackets and credits will mean that someone earning €50,000 a year will now pay over €700 less in income tax and USC.

For a dual-income couple earning €100,000 a year between them, it means €1,500 less.

The same couple will also receive support in the costs of childcare. Weekly rates of Child Support Payment for children under and over 12 are set to increase by €6 each.

Minister Jack Chambers confirmed that maximum childcare fees paid by parents will decrease from €735 per month to €550 per month, resulting in savings of around €2,200 for parents per child per year.

This will only apply to children up to senior infants.

Pensioners & Social Welfare Recipients

There will be a €10 increase in weekly social welfare rates. This will benefit around 1.6 million people in Ireland, including pensioners, job seekers, carers and disability scheme recipients.

This means that a couple who are both in receipt of the state pension will receive an additional €1040 per year.

The income threshold for the Fuel Allowance for single pensioners will increase from €534 to €641 per week. The Fuel Allowance itself will increase too, by €5 per week.

A new cost of disability payment of €500 will be introduced. Almost 240,000 people are currently in receipt of long-term disability payments, and will benefit further from this payment.

Commuters

Simon Harris confirmed that the existing excise rate reductions on diesel and petrol will remain in place until February 28, 2027.

“From that point we will begin a gradual and responsible restoration of excise in four phases, with a full restoration not occurring until June 30, 2027,” Harris explained.

However, the shift away from diesel and petrol continues, with commuters being encouraged to transition to electric vehicles.

An extension of the Vehicle Registration Tax relief scheme for electric vehicles has been announced, continuing it until the end of 2028.

On the other hand, VRT rates will increase by 1% for "more pollutant cars", particularly those in bands 3 to 20.

Homeowners & Renters

The Rent-A-Room scheme will be expanded, allowing homeowners to receive up to €16,000 tax-free annually if they choose to rent out a room in their main residence.

The maximum refund first-time buyers can claim will increase by €5,000, to €35,000.

The Rent Tax Credit will increase by €150, bringing it to €1,150 for single claimants.

Young People & Students

A permanent reduction in the Student Contribution Fee has been announced, reducing the fee by €150.

Come January, SUSI maintenance grants will increase by 4.5%.

Student nightlife will also see some support, with Simon Harris announcing €15 million to keep Ireland’s pubs open.

Students with additional needs are set to receive further support with this budget, following the announcement of a €56m increase in allocation for special education needs in mainstream, special classes and special schools.

Minister Jack Chambers said this will fund 2,339 additional SNA’s in 2027.