A Quick Look At What’s Happening In The Budget 2016
All of us have been waiting to hear how the budget is going to effect us and our families. You may have heard Ciarán Sheridan speaking on Beat 102-103 about the budget. As he said, most people are getting something in this budget.
Here Are The Main Points:
- 7% USC rate cut to 5.5%, Entry threshold to USC increased to €13,000 Lower rates down by 0.5% each.
- The new statutory minimum wage will rise from 8.65 to 9.15 from the 1st january 2016.
- Children will now be eligible for free childcare from 3 years of age up until they are 5.5 or until they start primary school.
- Home carers credit up from €800 to €1,000.
- Free GP care scheme to be extended to children under 12.
- Old age pension up €3 per week.
- Fuel allowance up €2.50 per week.
- 75% of Christmas bonus to be restored.
- Child benefit up by €5 per month.
- Pack of cigarettes up by 50 cent.
- Respite care grant for carer’s will be restored to its previous level of €1,700.
- More teachers will be hired to reduce the pupil-teacher ratio from 28:1 to 27:1.
- Minister for Justice Frances Fitzgerald is expected to confirm the recruitment of up to 700 gardai and to announce investment in specialist operations to stem the number of burglaries.
- Tax Credit for the Self Employed.
- Inheritance tax threshold increases to €280,000 from parent to child inheriting the family home, will gradually see it increase to €500K over a 3 to 5 year period.
- Capital gains tax for the self employed drops from 33% to 20%.
All in all, it seems to quite a positive budget. There is a huge significance with the USC being reduced meaning more money in our pockets. The increased parent to child family home inheritance threshold will increase gradually to €500K. This will be ease pressure to pay revenue tax bills.
Image Source: www.independent.ie