Salary in North vs South

ciaran120

Can anyone help me exactly work out which would be the best salary in terms of take home pay in sterling as follows?

Job in Co. Armagh: Gross Annual Salary £35,000 Stg
Job in Co. Louth: Gross Annual Salary €50,000 Eur

1. Would I be correct to assume that a government job in Co. Armagh with a gross annual salary of £35,000 Stg would have total paycheck deductions of about 25% (includes all deductions)? This works out to be £101 Stg per day or £505 Stg per week.

2. Would I be correct to assume that a government job in Co. Louth with a gross annual salary of €50,000 Eur would have total paycheck deductions of about 45% (includes all deductions). This works out to be €105 Eur take home per day or €529 Eur take home per week. When converted over into Stg (exchange rate of €1 = £0.835 Stg) this is £88 Stg per day or £438 Stg per week take home pay.

How accurate are my calculations? and is a government job paying £35,000 Stg in Co. Armagh actually better in terms of take home pay than a government job paying €50,000 Eur in Co. Louth?

What would be the equivalent gross annual salary in Euros (when take home pay is calculated and the exchange rate factored in) for a goverment job in Co. Louth versus a government job in Co. Armagh paying £35,000 Stg?

steveymp

My Opinion …

Take the one in Armagh, the one in Louth won't be around for much longer:o

Not saying the Armagh job will be much safer, but at least you get free health care and Govt Pension and benefits in the North;)

CL

I know 2 people living in the South who work in the North and they both say you have to pay tax where you live, not where you work. They do not pay tax & NIC via PAYE, but have to do a self assessment annually to pay tax. You don't say where you live.

ciaran120

I live just outside Newry. The 50,000 Eur job in Louth is only 7 miles away from my house but the job offer of £35,000 Stg in Armagh is 22 miles away. I'm still deciding which would be the smart choice. More opinions would be most welcome, thanks

DOODLEBUG

dont usually post on here.

live in north but my husband worked in south for five years commuting daily. When he was temporarly laid off from his job in south he was entitled to no benefits there and none up here.

furthermore whilst he paid his taxes in the south he had to complete a tax return in the north and if there was a difference in the amount which would have been paid if he had received this money in the north he would have to pay the difference to the tax office here.

leftieM

Firstly, I think your sums are based on incorrect deductions. I'm no expert on the tax regime in the South but, on a salary of 50k, you will not lose 45%. I would definitiely look further into this.
Secondly you need to factor in the exchange rate. It is very favourable for euro earners at the moment so, in monetary terms you will earn more working in Louth, especially if you still get NHS in the North.
Contact the tax office in both jurisdictions to find out exactly what you would earn after tax. You shouldn't have any problem getting through to the tax office. They're not terrribly busy these days.

Golden_Anemone

As it stands at the moment the exchange rate would be in your favour if you took the Louth job. My briother lives in Derry but works in Donegal and the current exchange rate has seen his salary rise by 1/3. Obviously you need to think long term though.

fredy34

dont think your sums are right. the higher band tax is the south is above 34,000 or 32,000 (cant remember which) so you arent hit at 45% for everything just above that threshold.
Having said that with the state of the Irish economy i would think twice about taking a job there in the near future (not that its a lot better up here!)

spendaholiceejit

I think I'd also plump for the Armagh job- 22 miles isn't really too long of a drive. The South is a bit scary at the moment.

Pretani

as others have said, as you live in the South check out if you tax credits, etc will be effected by working in N.I.

ciaran120

...so can anyone provide a very approximate amount that I'd be taking home on a monthly basis after all deductions have been considered and also using an exchange rate of €1 = £0.835 Stg for both jobs???

Job in Co. Armagh: Gross Annual Salary £35,000 Stg
Job in Co. Louth: Gross Annual Salary €50,000 Eur

I calculate take home pay of £2,188 Stg per month for the £35k Stg job in Armagh.
I calculate take home pay of £1,900 Stg per month for the €50k Eur job in Louth.

I live in the north and by my calculations I'd be better off by almost £300 Stg per month by accepting the £35k Stg job in Armagh versus the €50k Eur job in Louth. How accurate is this?