· payroll · 4 min read
Free Payroll Software Ireland 2026 — What's Free and What It Covers
BrightPay, Thesaurus, and Collsoft all offer free payroll software for Irish employers with a single employee. Here's what the free licences include and when you need to pay.
Free payroll software for Irish businesses exists — but with an important limitation: all three main Irish payroll packages offer free licences for a single employee only. If you have two or more employees, you’ll need a paid annual licence.
For a sole director of a limited company paying themselves a salary, or for a sole trader with no staff, this is genuinely useful. For anyone else, the free tier isn’t viable, but the paid licences are modestly priced.
Free Irish Payroll Software Options
BrightPay — Free for 1 Employee
BrightPay is Ireland’s most widely used payroll software. The free single-employee licence includes:
- Full PAYE Modernisation compliance (real-time PSR submissions to Revenue ROS)
- PRSI, USC, and income tax calculations
- Auto-enrolment support (from 2025)
- SEPA XML payment file generation
- P60 at year end, P45 for leavers
- Payslips
Limitation: Free for one employee only. From 2 employees, an annual licence is required (~€229 for up to 10 employees).
Best for: Sole directors of limited companies paying themselves a PAYE salary.
Thesaurus Payroll — Free for 1 Employee
Thesaurus Payroll is made by the same company as BrightPay and offers equivalent core functionality. The free single-employee licence covers the same payroll obligations as BrightPay’s free tier.
Price for 2+ employees: From ~€199/year for up to 10 employees.
Collsoft — Free for 1 Employee
Collsoft also offers a free single-employee licence with full Irish payroll compliance. It’s the lowest-priced of the three at the paid tiers.
Price for 2+ employees: From ~€149/year for up to 10 employees.
What Free Payroll Software Covers
All three free licences handle the full compliance requirements for a single Irish employee:
PAYE Modernisation — real-time Payroll Submission Requests to Revenue ROS after each payroll run. This is mandatory from the first pay period you run Irish payroll.
PRSI — correct class and rate for the employee (Class A1 for most employees: 4% employee, 11.05% employer above €441/week).
USC — Universal Social Charge at the correct tiered rates.
Auto-enrolment (from 2025) — eligibility check, contribution calculation, NTMA submission file. If your single employee is eligible (age 23–60, earnings ≥€20,000), the free software handles this.
SEPA XML — payment file for single employee bank transfer.
P60 and P45 — annual and leaving documents.
When You Need to Pay
| Employees | BrightPay | Thesaurus | Collsoft |
|---|---|---|---|
| 1 | Free | Free | Free |
| 2–10 | ~€229/year | ~€199/year | ~€149/year |
| 11–25 | ~€349/year | ~€299/year | ~€249/year |
| Unlimited | ~€459/year | ~€399/year | ~€349/year |
For a business with 5 employees, the annual payroll licence costs less than two hours of accountant time. The free single-employee licences are genuinely useful for the right situation; the paid tiers are a modest cost for what they deliver.
Other “Free” Payroll Options for Irish Businesses
Revenue’s PMOD System
Revenue’s PMOD (PAYE Modernisation) system allows employers to manually submit payroll data directly through ROS. This is technically free but:
- It’s designed as a fallback for very small operations, not a primary payroll tool
- There’s no calculation assistance — you do the PAYE/PRSI/USC maths manually
- No payslips, P60s, or SEPA file generation
- Most accountants strongly discourage this for all but the most minimal payroll situations
Outsourcing to a Payroll Bureau
For very small businesses with one or two employees who don’t want to manage payroll software themselves, some accountancy practices offer payroll processing for small businesses at a fixed monthly fee (€50–€100/month). This isn’t “free” but removes the software management burden entirely. See our payroll bureau Ireland guide.
Auto-Enrolment and Free Payroll Software
The free single-employee licences in BrightPay, Thesaurus, and Collsoft have all been updated for auto-enrolment from 2025. If your single employee is eligible — aged 23–60 and earning €20,000+ — the free software calculates contributions and generates the NTMA submission file automatically.
Verdict
If you’re a sole director paying yourself a salary, or a sole trader with a single employee, the free licences from BrightPay, Thesaurus, or Collsoft cover everything you need. All three are PAYE Modernisation compliant, handle auto-enrolment, and generate SEPA payment files.
For 2+ employees, the paid annual licences are required. At €149–€229/year for up to 10 employees, they’re among the better-value compliance tools available to Irish businesses.
Frequently Asked Questions
Is there truly free payroll software for Irish businesses? Yes — BrightPay, Thesaurus, and Collsoft all offer free licences for a single employee. For 2+ employees, an annual licence is required.
Is BrightPay free? BrightPay is free for a single employee. The licence for 2–10 employees costs approximately €229/year.
What does free payroll software cover in Ireland? The free single-employee licences cover full PAYE Modernisation compliance, PRSI, USC, auto-enrolment, SEPA payment files, P60, P45, and payslips. Everything needed for a single Irish employee.
Can I use Revenue’s system instead of payroll software? Revenue’s ROS system accepts manual payroll submissions, but there’s no calculation assistance. Most Irish businesses are better served by a dedicated payroll tool, even at the free tier.
When does free payroll software stop being enough? As soon as you have a second employee, the free single-employee licences don’t cover you. An annual licence for 2–10 employees costs €149–€229 depending on the product.