Is €40,000 a Good Salary in Ireland? An Honest Look

A €40,000 salary is a common starting point for many graduates and professionals in Ireland. But in the face of a high cost of living, how far does it really go? Let's take a realistic look.

USC

Ultimate Salary Calculator Team

Our content is written and reviewed by finance and tax enthusiasts to ensure accuracy.

Your Take-Home Pay from €40k

First things first: your net pay. After Income Tax, USC, and PRSI are deducted, here's what you can expect to have for the 2025 tax year.

Tax Breakdown for a €40,000 Annual Salary

Take-Home Pay (Annually)

€29,164.98

€2,430.42 per month

Gross Salary

€40,000.00

€3,333.33 / month

Total Deductions

€10,835.02

€902.92 / month

Your Personal Allowance

€4,000.00

Total tax credits

Effective Tax Rate

27.09%

Total deductions as % of gross salary.

Deductions Breakdown

How your gross salary is reduced.
Income Tax
€4,000.00
Social Charges (USC & PRSI)
€6,835.02

Your annual take-home pay is approximately €29,164.98, or €2,430.42 per month. This figure is the foundation for your budget. See how your own situation compares with our Irish salary calculator.

How Does €40k Compare to the Average?

A €40,000 salary is below the national average full-time salary in Ireland (which is closer to €49,000). While it's a respectable income, it requires careful budgeting, especially in major cities.

  • In Dublin: A €40k salary is very challenging. You will almost certainly need to live in a house-share arrangement, and a significant portion of your income will go towards rent.
  • In Other Cities (Cork, Galway, Limerick): This salary is more manageable. You could afford to rent a room in a shared apartment and live a modest but comfortable lifestyle with some room for savings.
  • In Rural Areas: €40,000 is a decent salary that allows for a good quality of life with lower housing costs.

The Verdict

A €40,000 salary in Ireland is a solid starting block but is not considered high. It requires disciplined financial management, particularly in Dublin where the cost of living is a major factor. It provides a foundation to build from but offers limited capacity for large-scale savings or significant discretionary spending in urban areas.