Minimum Wage Ireland 2027: €14.94 an Hour and Youth Rates
Quick answer: The minimum wage in Ireland for 2027 is €14.94 per hour, up 79 cents from €14.15. The Government confirmed the 79-cent (5.6%) rise in Budget 2027 on 6 October 2026, and it applies from 1 January 2027. Workers aged 19 and under can legally be paid reduced youth rates of 90%, 80% or 70%.
Key takeaways
Ireland's national minimum wage will rise by 79 cents to €14.94 per hour from 1 January 2027.
The figure matches the Low Pay Commission (LPC) recommendation submitted to the Minister for Enterprise, Tourism and Employment on 21 July 2026.
Sub-minimum youth rates remain in place, because the Government has deferred any decision on abolishing them.
Budget 2027 widens the 2% Universal Social Charge (USC) band to €30,300 so the higher wage does not push full-time workers into the 3% band.
The increase is one step in Ireland's plan to reach a living wage worth 60% of median hourly pay by 2029.
Last updated: 7 October 2026
The minimum wage in Ireland for 2027 will be €14.94 an hour. Simon Harris, the Minister for Finance, and Jack Chambers presented Budget 2027 in the Dáil on Tuesday, 6 October 2026, and the package includes a 79-cent rise in the national minimum wage, effective from 1 January 2027. This guide covers the new adult and youth rates, the tax changes linked to them and what the rise means if you work in Ireland or plan to move there.
What is the minimum wage in Ireland for 2027?
From 1 January 2027, the standard national minimum wage in the Republic of Ireland is €14.94 per hour, compared with €14.15 during 2026. That is an increase of 79 cents, or 5.6%.
This is an Irish national rate set under the National Minimum Wage Act 2000, not an EU-wide rule, so it does not tell you anything about pay floors in Germany, the Netherlands or France. Citizens Information lists the change under employment measures in its Budget 2027 summary. It also warns that some Budget measures still need legislation and could be adjusted before they take effect.
How much is the 2027 increase, and why 79 cents?
The 79-cent rise follows the recommendation of the Low Pay Commission (LPC), the independent body that advises the Government on the minimum wage every year. The Government did not have to accept the figure, but it chose to do so.
In its 2026 report, the Commission explained the arithmetic behind the figure. It estimated that the 2026 rate equals about 57.4% of the hourly median wage, a ratio known as the "bite". Government policy is to reach a living wage worth 60% of hourly median wages by 2029, a target that was pushed back from 2026 in April 2025. The LPC modelled equal yearly steps towards that goal, and those steps produced a 79-cent rise for 2027, which is expected to lift the bite to 58.27%.
The LPC report also set out its median wage estimates. Taking the midpoint of two Central Statistics Office (CSO) data sources, it projects an average median hourly wage of €25.64 for 2027. The Commission said any rise should at least match forecast inflation so that low-paid workers do not lose purchasing power.
What are the youth minimum wage rates in Ireland for 2027?
Irish law still lets employers pay workers aged 19 and under a reduced percentage of the full rate. The list below applies those percentages to €14.94, as calculated by the Small Firms Association (SFA), part of Ibec.
Aged 20 and over (100%): €14.94 an hour
Aged 19 (90%): €13.45 an hour
Aged 18 (80%): €11.95 an hour
Aged 17 and under (70%): €10.46 an hour
In March 2024 the LPC recommended scrapping these sub-minimum youth rates. In April 2025, however, the Government decided to defer any decision on them as part of a package of measures to protect Ireland's competitiveness, so the youth rates still apply in 2027.
How does Budget 2027 change tax for minimum wage workers?
Budget 2027 adjusts two charges so that the higher hourly rate does not trigger higher deductions for full-time workers or extra costs for their employers.
Universal Social Charge (USC): the upper limit of the 2% band increases from €28,700 to €30,300. According to Citizens Information, this stops full-time workers on the new minimum wage moving into the 3% band.
Employer's PRSI: the weekly pay threshold for the higher employer rate of Pay Related Social Insurance (PRSI) rises from €552 to €600, so employers have no incentive to cut a full-time worker's hours after the increase.
Income tax: the personal, employee (PAYE) and earned income tax credits each increase by €125 to €2,125, and the standard rate band for a single person increases by €2,500 to €46,500.
To put the rise in weekly terms, a Jobsiz calculation for a 40-hour week shows gross pay before deductions rising from €566.00 at €14.15 to €597.60 at €14.94, which is €31.60 more per week.
Who is affected by the new minimum wage?
The rise matters most to low-paid employees in the Republic of Ireland and to the employers who pay them. Three groups should pay close attention:
Workers on the minimum rate will see higher gross hourly pay on payslips issued for work done from 1 January 2027.
Young workers under 20 receive proportionate rises in the youth rates, though these remain below the adult rate.
Newcomers to Ireland, including people arriving from other EU countries, can use €14.94 as the legal floor when comparing job offers. Any job offer below that hourly figure for an adult worker from January 2027 should raise immediate questions.
The Small Firms Association (SFA) opposed any increase. Before the Budget, it said it had asked the Low Pay Commission for a complete freeze, arguing that small firms already face rising overheads.
What happens next?
The new rate takes effect on 1 January 2027, and employers should update payroll systems before the first pay run of the year. The USC and PRSI changes are scheduled from January as well, subject to the legislation needed to bring them into effect.
Looking further ahead, the LPC will keep making yearly recommendations as Ireland works towards the 60% living wage target in 2029. The Commission said it is closely monitoring the impact of minimum wage changes, including employers' testimony, and commentary on youth unemployment, so future increases are likely to reflect economic conditions at the time.
What this means for you
If you work in Ireland or plan to relocate there, check that your hourly rate is at least €14.94 from 1 January 2027, or the right youth rate for your age. Look at your first payslip of 2027 to confirm that the increase has been applied.
Common mistakes to avoid
Assuming the new rate applies to 2026 pay: it starts on 1 January 2027.
Keeping a worker on a youth rate after they turn 20: the reduced rates only apply to those aged under 20.
Treating the €14.94 figure as a monthly or annual salary benchmark without checking how many hours your contract guarantees.
Frequently asked questions
What will the minimum wage be in Ireland in 2027?
The national minimum wage in Ireland will be €14.94 per hour from 1 January 2027. This is 79 cents more than the 2026 rate of €14.15, an increase of 5.6%. The Government confirmed it in Budget 2027 on 6 October 2026.
When does the new minimum wage start in Ireland?
The new rate starts on 1 January 2027. Your first payslip covering work done in January 2027 should reflect the €14.94 hourly rate, or the youth rate that applies to your age.
What is the minimum wage for under-18s in Ireland in 2027?
Workers aged 17 and under can be paid 70% of the full rate, which works out at €10.46 per hour in 2027. Workers aged 18 can be paid 80% (€11.95), and workers aged 19 can be paid 90% (€13.45).
Did the Government follow the Low Pay Commission recommendation?
Yes. In July 2026 the Low Pay Commission recommended a 79-cent increase to €14.94, and Budget 2027 confirmed that exact figure. The Government is not legally obliged to follow the recommendation, but it usually does.
Will minimum wage workers pay more USC in 2027?
Budget 2027 increases the 2% USC band from €28,700 to €30,300. Citizens Information says this stops the minimum wage increase from moving full-time workers into the 3% USC band.
Is Ireland moving to a living wage?
Yes. Government policy is to reach a living wage worth 60% of median hourly pay by 2029, after the original 2026 deadline was pushed back. The LPC estimates that the 2027 rate brings the minimum wage to 58.27% of the median.
Sources
Low Pay Commission – 2026 Recommendations for the National Minimum Wage (gov.ie)
RTÉ News – 5.6% increase in minimum wage to be recommended to Govt
Small Firms Association (Ibec) – Low Pay Commission recommends increase
This article was compiled by Jobsiz from the sources listed above, with AI-assisted writing and automated fact-checking. Published 7 October 2026. We update stories when new verified information becomes available.