Budget 2014


Full Budget doc here
budget.gov.ie/Budgets/2014/Docum … posite.pdf

No PRSI in that context noted there either




Ok, so it would seem that the government viewed the collection of PRSI, on all earned income, as a logistical nightmare and have abandoned ship with that plan.


or clown


There’s no reason to suppose that at all. Why would he mention bad news that’s already been announced a year ago? Fairly sure that in the absence of any info to the contrary, it will be DIRT at 41% and PRSI at 4% for everyone from Jan 2014. Total hit up 50% compared to just a year ago and more than doubled in 5 years. Thanks Baldy, I’ll be spending a lot less in the economy as a result. :cry:


Full Expenditure report now also up

budget.gov.ie/Budgets/2014/Docum … 202014.pdf


Well the old booze run up the North will be restarting very soon for me.


I hope you’re right, but have they said as much?


Just speculation, they have not said as much. Can someone ask Noonan / DoF about PRSI !?


A sugar / fat content tax would be too much to ask. ffs

edit: fat -> fat-content


Usual tinkering around the edges without any fundamental reform or overall plan. The short-sightedness of some of the measures is truly depressing.


I think you might be right. Opposition spokesperson on RTE News just now (sorry, I forget who) has just made a similar point about Children’s Allowance. He highlighted the contradiction between Noonan saying it would be unchanged when a reduction for the fourth child announced last year will come into effect from January 1, 2014.


Money sitting in a deposit account isn’t being spent in the economy anyway. One of justifications for increasing DIRT is that it will discourage people from saving and get them to spend more!


I was talking about the interest, which is my entire income. Baldy now takes almost half of it.


It’s quite a good substitute for a Bail-in. The government don’t need to take your money if they take the interest and use it to get more debt. A balancing act to try not cause the money to flee to foreign shores, but I reckon the money that’s still here won’t leave too easily. One to watch in the bank deposit stats over the next few months.

[Lenihan]Thankfully there won’t be a capital flight because we live on an island.[/Lenihan]


If you have savings and a variable mortgage, it would probably make sense to pay off capital.


What the fuck?


Fixed that for you. :slight_smile:

I might not spend that money now, but I’ll spend it eventually, like YM’s aged relative and in the meantime, the banks can lend it to people who will spend/invest/snort it, while paying me a pittance for the use of it. What Noonan’s taxes won’t do is make me rush out tomorrow and buy stuff I don’t want.

Look on the bright side, at least it’s better than a wealth tax, which will simply encourage lumpy mattresses.


Doesn’t work. People are contracting spending due to lower interest income – they’re not speculating to get higher returns, because most of them got crushed “investing” over the last decade.


AFAIK it hasn’t been possible to live off deposit interest any time in this century.

Real interest rates in Ireland, 1975-2009
Source: ronanlyons.com/2009/06/12/pr … e-to-save/