Another new year means you need to ensure your business is set up for payroll changes, as a lot of the measures in Budget 2025 came into effect in January.

For employers, there will be increased costs.

The following are the payroll adjustments that came into effect in January 2025, the start of the new tax year, as well as other significant changes.

Here’s what is covered:

• Increase in the minimum wage
• Pay Related Social Insurance (PRSI) changes
• Potential increase in sick pay
• Introduction of pension auto-enrolment
• Increase in benefits under Small Benefit Exemption Scheme
• Social welfare increases that benefit workers
  • Increase in maternity, paternity, parent and adoptive benefit
  • Increase in income threshold for Working Family Payment
  • Introduction of pay-related unemployment benefit

If you have any queries regarding any of the above changes, please contact HTH Accountants.