Ireland vs United Kingdom — Tax Comparison 2026
Irish taxes vs British taxes, at a glance. Ireland: 20%–40% across 2 brackets. United Kingdom: 20%–45% across 3 brackets. Compare take-home pay side by side for employees and contractors.
Are taxes higher in Ireland or the UK?
For most remote workers, taxes are higher in Ireland. At $100,000, an employee in United Kingdom takes home $72,135 versus $67,342 in Ireland — a difference of $4,793 per year. For contractors, United Kingdom comes out ahead: $73,680 versus $66,713.
Estimates based on 2026 rates and approximate exchange rates. Actual take-home varies by individual circumstances.
USD amounts use approximate exchange rates (EUR: 1.1160, GBP: 1.3389). Local currency figures are exact.
| Metric | Ireland | United Kingdom |
|---|---|---|
| Gross (EUR/GBP) | €89,607 | £74,691 |
| Gross (USD) | $100,000 | $100,001 |
| Income Tax | €23,043 | £17,308 |
| Social Security | €6,221 | £3,504 |
| Net (EUR/GBP) | €60,344 | £53,878 |
| Net (USD) | $67,342 | $72,135+$4,793 |
| Effective Rate | 32.7% | 27.9% |
Gross (EUR/GBP)
Ireland
€89,607
United Kingdom
£74,691
Gross (USD)
Ireland
$100,000
United Kingdom
$100,001
Income Tax
Ireland
€23,043
United Kingdom
£17,308
Social Security
Ireland
€6,221
United Kingdom
£3,504
Net (EUR/GBP)
Ireland
€60,344
United Kingdom
£53,878
Net (USD)
Ireland
$67,342
United Kingdom
$72,135
+$4,793Effective Rate
Ireland
32.7%
United Kingdom
27.9%
Where identifiable, mandatory health contributions are shown separately. For other countries, health coverage is included in the Social Security amount.
Bottom Line
At $100,000/year income
United Kingdom gives you $4,793 more per year ($399/mo) as an employee
United Kingdom gives you $6,967 more per year ($581/mo) as a contractor
Take-Home Pay at $60K, $100K and $150K
Net income after income tax and social contributions, converted to USD at approximate exchange rates. Effective rate in parentheses.
Employees
| Gross (USD) | Ireland net | UK net | Who keeps more |
|---|---|---|---|
| $60,000 | $47,329 (21.1%) | $47,912 (20.1%) | UK (+$583) |
| $100,000 | $67,342 (32.7%) | $72,135 (27.9%) | UK (+$4,793) |
| $150,000 | $91,224 (39.2%) | $97,912 (34.7%) | UK (+$6,688) |
Contractors / Self-Employed
| Gross (USD) | Ireland net | UK net | Who keeps more |
|---|---|---|---|
| $60,000 | $46,700 (22.2%) | $49,043 (18.3%) | UK (+$2,343) |
| $100,000 | $66,713 (33.3%) | $73,680 (26.3%) | UK (+$6,967) |
| $150,000 | $89,443 (40.4%) | $99,725 (33.5%) | UK (+$10,282) |
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How Taxes Work
Ireland Tax System
Employee
- ·Income tax: 20%/40% (standard rate band €44,000 for single person).
- ·Tax credits (Personal €2,000 + PAYE €2,000 = €4,000) modeled as 0% bracket on first €20,000.
- ·USC: 0.5%/2%/3%/8% on tiered bands.
- ·PRSI Class A: blended 4.2375% (2026), exempt below €352/week (~€18,304/yr).
- ·Married/civil partner rates not included.
Contractor
- ·Same income tax brackets.
- ·Tax credits (Personal €2,000 + Earned Income €2,000 = €4,000) modeled as 0% bracket on first €20,000.
- ·USC: 0.5%/2%/3%/8% + 3% surcharge above €100,000 for self-employed.
- ·PRSI Class S: blended 4.2375% (minimum €650/yr, not enforced here).
- ·No business expense deduction modeled.
United Kingdom Tax System
Employee
- ·Income tax: 20%/40%/45% with £12,570 personal allowance.
- ·Allowance tapers £1 per £2 above £100k (effective 60% rate on £100k–£125,140).
- ·NI Class 1: 8% on £12,570–£50,270, 2% above (no cap).
- ·Thresholds frozen through 2030/31.
Contractor
- ·Same income tax and PA taper.
- ·NI Class 4: 6% on £12,570–£50,270, 2% above (no cap).
- ·£1,000 trading allowance.
- ·Thresholds frozen through 2030/31.
Full Ireland Tax Calculator →
Detailed breakdown with custom income
Full United Kingdom Tax Calculator →
Detailed breakdown with custom income
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Frequently Asked Questions
How do UK and Irish taxes compare for remote workers?
- ·Ireland has 20% (up to EUR 44,000) and 40% above, plus USC and PRSI.
- ·The UK has 20%/40%/45% with National Insurance.
- ·The UK has a hidden 60% marginal rate in the GBP 100-125K band.
- ·Ireland's overall system is more predictable.
- ·At most income levels, effective rates are similar.
Is it cheaper to be a contractor in the UK or Ireland?
- ·UK self-employed pay lower National Insurance (Class 2 flat + Class 4 at 6%/2%) compared to Irish self-employed PRSI at 4% plus full USC.
- ·The UK's lower NI rates make self-employment cheaper there.
- ·However, Ireland's lower top tax threshold means employees might pay less at moderate incomes.
Can I work remotely across the UK-Ireland border?
- ·Post-Brexit, the Common Travel Area still allows free movement between UK and Ireland.
- ·However, tax residency rules differ.
- ·You're typically taxed where you work.
- ·The Ireland-UK tax treaty prevents double taxation.
- ·Both countries have similar tax years (April for UK, January for Ireland).