Tax change after you get married

Zascar · 22-09-2015 07:59PM #1

If I was to get married, but my wife was not going to work, I believe I can take her tax credits and so pay less tax myself. Can someone explain how this works and how I can calculate how much I can potentially save?
Thanks

jim-mcdee · 22-09-2015 08:02PM

Zascar wrote: »

If I was to get married, but my wife was not going to work, I believe I can take her tax credits and so pay less tax myself. Can someone explain how this works and how I can calculate how much I can potentially save?
Thanks

As far as I know you need a marraige certificate and send it to revenue, then you will get her tax credits ie you only go on top rate at 60k ish instead of 30k ish

L'prof · 22-09-2015 08:03PM

Zascar wrote: »

If I was to get married, but my wife was not going to work, I believe I can take her tax credits and so pay less tax myself. Can someone explain how this works and how I can calculate how much I can potentially save?
Thanks

Up to ~€70 a week depending on what tax credits your wife is entitled to. If your total tax credits including your wife's was €140 but your PAYE calculated for a week was less then you'd save the lesser amount.

Edit: If your tax band also increases as above then there's extra savings in there obviously.

sonyvision · 22-09-2015 08:05PM

Your top rate wont go to 60k more close to 44k and you can take her PAYE credirs of 1650, so you keep yours 3300, plus hers 1650. Look up revenue online to get the right cut off

22-09-2015 08:06PM

If your affairs are straight forward an online calculator like this could work it out for you - put in your details as if you were the only one working for the year.
http://services.deloitte.ie/tc/

Pawwed Rig · 22-09-2015 11:03PM

It is most efficient if your wife gets a job at 24k or so as more income is taxed at 20%.
Make sure that your wife is considering PRSI for the state pension too.

Chimichangas · 23-09-2015 12:50PM

Pawwed Rig wrote: »

It is most efficient if your wife gets a job at 24k or so as more income is taxed at 20%.
Make sure that your wife is considering PRSI for the state pension too.

I was just wondering the same thing as OP, but I don't get these 2 points?
More income taxed at 20%? I thought on a joint assessment its only up to 44k on main earner at 20%?

And the point about PRSI for state pension, is that not compulsory anyway? And/or what is the benefits?

Its that time of life when these things become important...

& loving the deloite calculator from earlier poster!

Tax change after you get married

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