work pattern/wages - stupid question

[NeedToKnow]

Sorry, going anon for this.

I'm working a 70% work pattern at the moment. This is probably a very stupid question but if i increased my pattern by 10% would my Take Home Pay also increase by 10% or would the tax, reductions etc change the % increase. I'm paying the higher rate of tax and am a Public Sector Worker if that makes any difference.

e.g. if i earn €2800 per month after tax and i increase my pattern by 10% would i then Take Home €3200 per month. BTW, these aren't my real earnings, i'm just using them as an example.

I'm just trying to work out if it would be of any benefit to increase my pattern as i'd have to take childcare into account.

[Come Wine With Me]

If you are on the higher tax rate the change will be about 51% of the change in your gross (before tax) earnings

It won't be 10% added to the net as you outlined above.

[Come Wine With Me]

PS if you've gone anon why not just post your gross and net earnings and people will be able to advise better

[Deise]

To my mind, if you worked and got an extra 10% in wages, as a PS worker you would only get around 1/3 of this extra 10% in take home pay, if your 70% pay is all in higher rate of taxation.

If you are using all allowances already, everything extra is every so slightly more that 1/3, with pension levy etc taken into account.

[Deise]

This website is really handy, especially because it takes pension levy into consideration.

Lets pretend you're a PS worker on €50k annual salary. I'm going to put in single with no kids so that the childrens allowance and sharing tax credits doesn't complicate things.

Scenario 1 is €50k pa and 70% of that brings you down to €35k
Net income for year would be €27235
http://taxcalc.ie/budget-2017/?salary=3 ... advanced=0

Scenario 2 is €50k pa and 80% of that brings you down to €40k
Net income for year would be €29456
http://taxcalc.ie/budget-2017/?salary=4 ... advanced=0

Scenario 3 is €50k pa and you working a full week so €50k income
Net income for year would be €33556
http://taxcalc.ie/budget-2017/?salary=5 ... advanced=0

You can see the extra 20% of your income, going from €40k to €50k only increased take home pay by €4k ish. Going back to full time from 70% would only gain around €500 a month here.

It's no wonder so many people want to cut down their hours and not pay childcare. Childcare is based on net pay and costs a lot more than losing out on some of the gross pay iykwim.

[Deise]

If you are on the higher tax rate the change will be about 51% of the change in your gross (before tax) earnings

It won't be 10% added to the net as you outlined above.

That 51% figure doesn't take account of pension levy.