Budget 2022: Income tax changes could put more money in your pocket

The income tax bands are changing once again. Workers will now be able to earn €36,800 before hitting the higher rate of 40%. This is a €1,500 increase from €35,300. Workers now will have the first €36,800 of their salary taxed at the lower rate of 20%.

Personal and employee tax credits are also set to rise by €50.

The ceiling for the second rate of USC (Universal Social Charge) which is applied in your payslip will increase from €20,687 to €21,295, meaning a little more money in workers pockets.

These changes will put around €35 extra in people's take-home pay per month. 

In further good news for workers, a new rebate has been introduced for those working from home. This will be an income tax deduction of 30% against the costs of heat, electricity and broadband when working from home.