Tips to help you reduce your tax bill

Paying taxes is one of life’s certainties, but one thing you can avoid is paying a bigger tax bill than you need to.

Thankfully, there are several actions you can take to maximise your tax benefits, avoid overpaying on your taxes, and reduce your tax bill for the year.

Here, Nick Charalambous, financial advisor and Managing Director of Alpha Wealth, shares four simple ways he encourages all workers in Ireland to pay less tax.

Make the Most of Your Pension:

Nick’s number one tip is to focus on your pension. “By being savvy with your pension contributions, you can get a significant amount back from the taxman,” he explains.

“For example, if you are earning over €42,000 per year and you put €60 extra into your pension, this is uplifted by the tax man to €100. This is a 66% boost at the outset, and the pension grows tax-free whilst the money remains in the pension.”

Employment Investment Incentive Scheme (EIIS):

Secondly, Nick advises that you look into the tax-back advantage available from the Government Employment Investment Incentive Scheme ( EIIS): “You can get up to 50 per cent tax back over four to five years by investing in one of seventy or so Irish companies ranging from established to new start-ups with a contribution of €5,000 or more.”

Gift Allowance for your children:

Take advantage of the Gift Allowance Scheme for your children to reduce your overall tax bill.

“The tax man will allow you to “gift” your kids up to €3,000 per year per parent and it has no tax implications whatsoever,” Nick explains.

“If you give them larger amounts, it will potentially be taxed. Passing monies over a long period is a great tax tool to use and is really easy and effective.”

Claim Expenses:

By getting familiar with the Revenue Online System (ROS) you use it to claim a number of expenses, from medical expenses to rent relief and working from home costs, as well as a host more.

“It is really simple and allows you to go back up to four years, so there could be several hundred or thousand you can claim for a few clicks of a button hassle-free,” Nick explains.

About Alpha Wealth

Alpha Wealth is an Irish dynamic, independent financial advisory company with a mission to make finance simple for individuals, families and companies.

With over two decades of expertise in providing top-tier pension, savings, and protection advice and offices in Cork and Dublin, Alpha Wealth caters to a diverse clientele, empowering individuals to achieve financial independence through personalized financial solutions.

Headquartered in Little Island, Cork, Alpha Wealth is supported by a team of more than 10 qualified financial advisors. All Alpha Wealth Financial Advisors hold QFA qualifications and operate on a non-commission basis. Regulated by the Central Bank of Ireland, Alpha Wealth manages a robust portfolio of assets exceeding €200 million.

Trusted by over 3,000 satisfied customers across the island of Ireland Our team of Alpha Wealth Financial Advisors brings over 20 years of valuable experience in financial advice. See www.alphawealth.ie.

About the author

Nick Charalambous: Managing Director, Alpha Wealth With a Cypriot background and raised and educated in London, Nick has worked in Investment and Private Banking for some of the biggest banks in the world. With over 25 years of financial services experience in Cork, primarily working as a financial advisor with AIB and Ulster Bank, Nick has built up an extensive knowledge of the financial services environment, which he shares with his clients in many different areas of personal finance.