February 2025: A Mixed Start to 2025

As we step out of February 2025, navigating personal finances remains a key priority for individuals and families across Ireland.

Ireland’s economy has shown resilience amid global uncertainties. GDP growth is expected to remain steady, though inflation pressures persist, hovering around 4.1%.

With economic conditions constantly evolving, staying informed about financial trends, tax changes, savings opportunities, and investment strategies is essential for making sound financial decisions.

In February 2025, global financial markets experienced a mix of gains and challenges across various regions:

• United States: S&P500 month on month took a small decrease of 1.4.%
• Europe: European equities have outperformed US equities so far year, with the STOXX month on month growth of 4.4%

Overall, February 2025 showcased a dynamic interplay of economic indicators, political events, and investor sentiment, leading to varied performances across global markets.

We’ve highlighted a few items below to for everyone to check at the end of February 2025.

• Check your budget for 2025.
• Revenue Appeals for Taxpayers to Claim Refunds.
• UK State Pensions Years Of Service.
• Tax Planning for 2025.

Check your budget for 2025

Creating a household budget is one of the best ways to take control of your finances and plan for the future. If you haven’t done it, contact us to help you. Some of the key benefits of financial planning are:

• Better Money Management – A budget helps track your income and expenses, ensuring you live within your means.
• Avoid Debt – By setting limits on spending, you reduce the risk of overspending and accumulating unnecessary debt.
• Savings Growth – Allocating funds for savings each month ensures you’re prepared for emergencies, holidays, or major purchases.
• Financial Goals – Whether it’s buying a home, paying off loans, or planning for retirement, a budget helps you stay on track.
• Less Stress – Knowing where your money is going gives you peace of mind and confidence in your financial decisions.

Revenue Appeals for Taxpayers to Claim Refunds

Revenue has issued a renewed appeal for taxpayers to claim money they are owed. Many individuals may be entitled to tax refunds due to unclaimed credits, medical expense deductions, working from home relief, and other allowances.

80% of PAYE workers that filed with myaccount.ie overpaid tax and received a refund. The average refund was €900.00  

Taxpayers are encouraged to review their tax records and submit claims via Revenue’s online portal. Don’t forget you can claim for any expenses in the last 4 years.

Common tax reliefs that could generate you a refund are:

• Mortgage Interest Tax Credit.
• Renters Tax Credit.
• Medical Expenses.
• Pension Contributions

Claiming UK State Pensions

Your contributions to the UK National Insurance scheme could entitle you to a partial or full pension, depending on the number of qualifying years.

You may have the option of buying up to 16 qualifying years of service which could be very valuable when added to your Irish state pension.

There is a deadline of April 5th 2025 to get these additional claims into HMRC. After the 5th of April the max number of years that can be purchased is 6 years.

Tax Planning for 2025

PAYE Workers: Ensure you’re claiming all available tax reliefs, including medical expenses, remote working relief, and pension contributions.

Self-Employed: Consider making pension contributions before the October deadline to reduce your tax liability.

Rental Income: If you’re a landlord, new rental tax reliefs introduced in Budget 2025 could help lower your tax bill. Make sure you

Top Financial Tip for February

Review your direct debits and subscriptions. Many people unknowingly pay for services they no longer use. Cutting unnecessary expenses can free up extra cash for savings or investments.

That’s it for this month! Stay financially savvy and keep an eye on changing economic conditions. If you have any questions or want a topic covered in next month’s newsletter, let us know.