Standard 2026 USC bands
First €12,0120.5%
Next €16,6882%
Next €41,3443%
Balance8%
€13,000 exemption
If total income for USC purposes is no more than €13,000, the income is exempt from USC. Once the exemption threshold is exceeded, USC is calculated on the full chargeable amount using the applicable bands; only the excess over €13,000 is not what is charged.
Reduced USC
Reduced USC can apply where the relevant age or full Medical Card condition is met and total income is €60,000 or less. For 2026 the reduced structure is 0.5% on the first €12,012 and 2% on the balance.
Why USC pay can differ from Income Tax pay
Not every Income Tax deduction reduces USC. For example, employee pension contributions can reduce Income Tax pay while not producing the same reduction for USC. That is why payroll and the platform keep separate tax bases.