Budget 2024: All the Budget measures we expect to put money back in your pocket

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Budget 2024 will be delivered by Minister for Finance Michael McGrath and Minister for Public Expenditure and Reform Paschal Donohoe on Tuesday, October 10.

Cabinet Ministers were locked in final negotiations on the measures to be included over the weekend, including the rubber stamp on a tax package worth €1.1 billion. 

The whole Budget will cost around €6.4 billion and the Taoiseach has said it will put money back in people's pockets, not just those on social welfare, but middle-income earners too. 

“One thing I want to do is reward work, and make sure that people keep money in their pockets. I think it’s fair to say if you add it all up for the average, middle income worker, it’ll be more than €1,000," he said of the benefit of Budget 2024 to that squeezed middle.

This will include tax cuts as well as some once-off measures aimed at helping people with the cost of living crisis. Here's all we know ahead of Budget day.

Tax and income 

It looks as though workers will benefit on the double in their payslips - both through an income tax cut and a cut to the USC. The USC (Universal Social Charge) was introduced as an effective levy on wages in 2011 as Ireland recovered from the 2008 financial crash but it has been maintained by every government since.

People earning less than €13,000 don't pay USC but this baseline is likely to be extended to €15,000 or €16,000 so people on low incomes like that are losing less from their wages. The rates, ranging from 0.5% to 11% depending on earnings are also likely to be cut in most cases.

Incomes tax bands were increased in last year's Budget meaning workers only start paying the higher rate of 40% tax on income above €40,000. That was up from €36,800 but it's likely to rise further this year to put more money back onto workers' bottom lines. The exact figures has not been confirmed but it could be in the region of €42,000.

Social Welfare

Social Justice Ireland has long led calls for Social Welfare rates to increase by around €25 this year to counteract the effect of the cost of living crisis on hard-pressed households. While a hike of that magnitude are unlikely, the Government will increase base rates and will introduce or extend once-off payments and measures to boost income for people on welfare.

Last year, core rates rose by €12 and a similar hike is expected this time around. There will be targeted measures too with a rumour that a double child benefit payment for parents has been secured by Minister for Social Protection Heather Humphreys.

A new package aimed at helping people who lose their job is also on the cards. The scheme would give workers up to 60% of the wage they were on before losing their job, capped at €450 per week. A fuel allowance hike and extension of eligibility is also possible.

Student grants will also rise considerably and could be worth around €300 to families with a student in third-level education this year. 50,000 will benefit from the grant hike from just under €7,000 at presents to around €7,300.

Fuel and energy credits

The cost of living crisis continues to hurt the pocket of people in Ireland, particularly at the fuel pumps and in terms of their electricity and home heating bills. While most electricity providers have reduced their prices in recent weeks, bills are still higher than they were before a raft of hikes started early last year.

The Government announced three €200 energy credits to come directly of the bills of every household in the country last year. Their cost of living package as a whole last year cost around €4 billion. While there will be more measures this time around, they may not go as far as that.

It's unclear if the government will announce three similar credits of lower amounts, possibly €75 or €100 each in November, the New Year and March, or just one credit before Christmas. Either way, it is very likely support with energy bills will feature on Tuesday.

Petrol and diesel prices have been rising rapidly recently and are heading towards €2 per litre. The Government peviously introduced a halt on part of the excise duty charged on fuel to keep prices low but announced an unwinding of that measure in last year's Budget.

Since then, excise has been added on intermittently throughout the year. October 31 is due to see another 7c added to a litre of petrol and 5c to a litre of diesel as per last year's measures. However, to stave off that €2 per litre figure, it's likely the Government will put off that last hike to next year.

Cigarettes and booze

The Government is likely to put up the price of cigarettes again with another excise hike. Last year the prices went up to €15.50 for a standard packet of 20 cigarettes but it could hit the €16 mark this time around. The Government is also considering hitting e-cigarettes and vapes with an excise hike.

When and where to watch Budget 2024?

The Budget will be delivered in the Dáil on Tuesday, October 10. No time has been confirmed but Minister Michael McGrath is expected to take to his feet and begin introducing measures at around 1pm. You can follow all the news from the day on our websites. RTE and Virgin Media television will also be providing live coverage.