Advice on tax credits etc - first baby due in August!

SomersetPrincess · 22 February 2006 at 2:02PM

Hello all! I am hoping you will be able to help me (27) and DF (33) are expecting our first baby at the end of August. I currently work full time (37.5 hours - £21,000) as does my DF (37+ hours - £23,000) and we are starting to try and work out whether I can realiostically go back to work part time or if I could even maybe give up work when baby is born. We have quite afew debts (getting credit cards and loans paid off - dont use the cards anymore, so just old debt) but we dont own our hous e- we rent privately. Does anyone have any useful advice on how we can find our what sort of money I would be entitled to if I went back to work part time (maybe 21 hours a week) or not at all. I assume stay at home mums arent entited to Job Seekers allowance or anequivalent??

Sorry to be so dim, but I have been in continuous work since I was 16 and havent ever really looked into what benefits etc are available.

I know people survive on a lot less than £23k and socialising etc isnt an issue for us - we would be happy with enough to cover the bills and a little extra leftover hehe!

Anyway advice gratefully received -thank you you all so much in advance!

Kirsty x

CIS · 22 February 2006 at 2:09PM

The only benefit you could claim would be tax credits and then most likely only the £547.50p/a minimum Child Tax credit payment.

You wouldn't be able to claim any Childcare help unless you resume work, even then any help you may get will be reduced by your income.

christophe17 · 22 February 2006 at 2:28PM

CIS wrote:

The only benefit you could claim would be tax credits and then most likely only the £547.50p/a minimum Child Tax credit payment.

You wouldn't be able to claim any Childcare help unless you resume work, even then any help you may get will be reduced by your income.

Hi,

I would like to ask you about the tax credit, if you could help. I work 21 hours a week, i earn about £6000 a year, we are expecting our first baby in april, my wife is a part student and doesn`t work. Can you please tell us if we are entitiled to tax credit and how much could we get. Thank you very much.

olgadapolga · 22 February 2006 at 2:34PM

To answer the OP and first reply:

Wouldn't the tax credits be at least £547.50 for the family element PLUS another £547.50 for having a baby under the age of 12 months ?

I think that you'd probably get a bit more than that anyway based on £23k - I received more when our joint income was around that figure. Best thing would be to ring the TCO Helpline and ask them if you would be entitled and how how you could expect to get.

You should also get child benefit of £17 a week, and you might be entitled to the Sure Start Maternity Grant of £500 after the baby is born and you're claiming Tax Credits.

You could try ringing your local JobCentre Plus, they'd definitely know.

You won't get Income Support or Job Seekers Allowance though.

HTH

SomersetPrincess · 22 February 2006 at 2:36PM

Thanks everyone! Not looking good for me giving up work completely then ah well. How do other people do it!!! xx

CIS · 22 February 2006 at 2:39PM

You should be due almost the full amount of tax credits for your circumstances, the maximun tax credits will be reduced by about (6000 -5220)*.37 or £288 p/a,

For 2 people, with 1 child, no childcare and no disabilities, then you should get (06/07 rates) approx £5800 p/a.

If you work more than 30hrs per week, then as long as your income doesn't increase by more than £25000, during the year, then your amount of tax credits shouldn'tbe decrease by any extra income you get.

(I say 30hrs, as you get extra tax credits at that point, and your unlikely to earn over £31000 per year, £6K + £25k threshold, working less than 30hrs)

CIS · 22 February 2006 at 2:46PM

Your correct on the extra £547.50 for a baby on top of the £547.50 child element, but 2 people, 1 working over 30hrs with , 1 baby and no childcare or disabilities would get all of the tax credits wiped out by their income and would get nothing if the government hadn't set the minimum payment to the £547.50 level (+ £547.50 extra for a baby)

On £23000 you wouldn't get the sure start maternity grant as you have to get tax credits at a level higher than the family element + baby element in tax credits, (£547.50 family + £547.50 baby), on £23000 you wouldn't get over this level.

StuA1964 · 22 February 2006 at 2:50PM

Kirsty,
Go onto the Inland Revenue website. It has a calculator to work out how much child benefit you are entitled to based on you and your partners earnings. You can then go in and do another request based on what you think you may get if you worked part time (estimate what you think your salary maybe) or if you had just your partners income.
Hope it all works out Ok for you.
StuA1964

SomersetPrincess · 22 February 2006 at 2:53PM

Thanks for this! Tried to use the online calculator a few days ago and it has been closed due to fraud apparently. Most anonying as it was really useful!!!! My brain is about to explode with all of this - think I need to book into citizens advice or something similar for some face to face "I am blonde and pregnant - help!" advice hehe!

shahidemran · 22 February 2006 at 2:58PM

visit entitledto.co.uk

Advice on tax credits etc - first baby due in August!

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