Student finance in year financial assessment

Nual · 18 August 2014 at 6:59PM

Grateful for some advice please.

My DD is about to start her 4th year( medicine).

Last year I completed a current year income form and she got substantially more grant. When I tried to complete the online household income form in June 14 for the 14/15 academic year it would not let me proceed until I had provided evidence of my income for 13/14 financial year.

Eventually I got the form to complete and the evidence together and submitted. Today she has had online notification that she will get roughly the same as last year, and several hundred ponds have appeared in her bank account.

At no point has anyone asked me about my income for this financial year ( which will be substantially more than last), or for the year 2012/13 which I believe would be the normal one to go on.

I am reluctant to contact SF again as it has been a nightmare getting last year's income verified, and it is so close to her start date. I assume that next summer I will again be asked in August to verify my earnings for 14/15, and then money will be owed back ?

Is it possible to request that 2012/13 is used at this point as the earnings year?

Also, I understand that in her final year there is no student finance available, it is an NHS bursary. Is this correct, and is it means tested in a similar way? If so, which year would be looked at?

Thanks

Poppy9 · 19 August 2014 at 9:17PM

DD in her second year and for her 1st year I had a current in year assessment. When she reapplied for 14-15 like you I couldn't proceed as I hadn't evidenced 13-14 income.

I contacted SL and they just asked me to send 13-14 evidence which I did and they reassessed her 13.-14 loan based on that and gave her an extra couple of hundred pounds but 14-15 assessment is slightly lower!!!!

I asked what income will she be assessed on for 15-16 and they said 13-14 again. I'm in Wales so not sure if it's the same in England.

New_York_No1_fan · 20 August 2014 at 3:11PM

Nual wrote: »

Grateful for some advice please.

My DD is about to start her 4th year( medicine).

Last year I completed a current year income form and she got substantially more grant. When I tried to complete the online household income form in June 14 for the 14/15 academic year it would not let me proceed until I had provided evidence of my income for 13/14 financial year.

Eventually I got the form to complete and the evidence together and submitted. Today she has had online notification that she will get roughly the same as last year, and several hundred ponds have appeared in her bank account.

At no point has anyone asked me about my income for this financial year ( which will be substantially more than last), or for the year 2012/13 which I believe would be the normal one to go on.

I am reluctant to contact SF again as it has been a nightmare getting last year's income verified, and it is so close to her start date. I assume that next summer I will again be asked in August to verify my earnings for 14/15, and then money will be owed back ?

Is it possible to request that 2012/13 is used at this point as the earnings year?

Also, I understand that in her final year there is no student finance available, it is an NHS bursary. Is this correct, and is it means tested in a similar way? If so, which year would be looked at?

Thanks

Hi Nual

Yes SFE will use the year 13/14 for the year 14/15 because you opted to be current year assessed for yr 13/14 so they will use those figures to calculate the next year.
You will only be assessed on 14/15 income if you opt to be current year assessed AND your income drops, or is likely to drop, more than 15% below your 13/14 income.

I know it sounds bizarre.
This happened to both DD and No1 son so SFE are correct.

Nual · 20 August 2014 at 9:36PM

Thanks NYNo1Fan and Poppy 9

So am I understanding you right? Her SF for 14/15 will be based on 13/14 income and I wont be asked to provide evidence for 14/15 income before she goes into year 5?

I have spent the last two days saying 'you must save at least £x 000 out of your loans/ grant because you will have to pay it back because I am earning more again this year and SF will ask for proof of taxable income next summer...'

As you say, bizzare. I reduced my income because I paid lots into AVCs in order to increase her grant/ reduce her loan/ get Uni bursary. I could only afford to do it for the one year. Wish I had figured all this out when DD1 was doing her degree!

PS Poppy I am also in Cymru

New_York_No1_fan · 20 August 2014 at 10:37PM

Nual wrote: »

Thanks NYNo1Fan and Poppy 9

So am I understanding you right? Her SF for 14/15 will be based on 13/14 income and I wont be asked to provide evidence for 14/15 income before she goes into year 5?

I have spent the last two days saying 'you must save at least £x 000 out of your loans/ grant because you will have to pay it back because I am earning more again this year and SF will ask for proof of taxable income next summer...'

As you say, bizzare. I reduced my income because I paid lots into AVCs in order to increase her grant/ reduce her loan/ get Uni bursary. I could only afford to do it for the one year. Wish I had figured all this out when DD1 was doing her degree!

PS Poppy I am also in Cymru

In my case it was SF England we were dealing with however I'm sure the years work the same.
Yes you WILL use year 13/14 for your daughters 4th year(14/15) because you supplied SF with figures to be current year assessed in 13/14 and again they should use these figures for your daughters 5th year because usually you would be applying for SF around Feb 2015 and will only have final year figures for 13/14 as the tax year 14/15 will not have ended.

Also bear in mind that loans/grants for the final year of a degree will generally be less than the previous year as they deem you are only at uni from Sept - June when hopefully you will graduate and get a job. In previous years they will have taken into account the summer holidays btn each year of study.

Hope this helps.

Taiko · 20 August 2014 at 11:11PM

Above are correct, that years income will be used for 3 consecutive academic years, unless your income drops lower still. You are not required to notify of an increase.

Congratulations! You've beat the system!

Nual · 20 August 2014 at 11:17PM

Woah! Thanks all.

I guess if this was better understood more people would be doing it and they would change it.

Poppy9 · 21 August 2014 at 7:59PM

Nual wrote: »

Woah! Thanks all.

I guess if this was better understood more people would be doing it and they would change it.

It's not that simple though for everyone. First to have a current year assessment you have to prove a 15% drop in household income between the two years. Then you have to live off that reduced income for a year!

DD couldn't get any bursaries from her uni as they disqualified Welsh Students from the tuition fee ones she would have been eligible for as she was Welsh.

Wellgood · 28 August 2014 at 8:12PM

Hi all

I currently pay into Pension AVC's at work. As you know this will reduce my P60 income that you put on the student finance form.

However lower down on the form it asks about AVC's that you pay. Why do they ask for this? is it so they can add it back to your income as it was "voluntary" so you didn't need to pay it? thefore increasing your income back to pre-avc level for their calculations

Just wondering if it is worth paying avcs in order to reduce my p60 income or if it doesn't make a difference due to the fact you should declare them on the forms and they just add it back on?

Thanks for any help you can give

Wellgood

Taiko · 29 August 2014 at 6:49PM

AVC's, with appropriate evidence, will see the assessed income reduced.

You should include your gross taxable income from the P60, not net pay, and the AVC's in the appropriate box on the application form.

Wellgood · 29 August 2014 at 7:21PM

Thanks Taiko, the thing is my p60 figure (taxable income) already has avc's taken off. therefore if I put in avc's in the avc section then it will in effect be deducted twice. Therfore I am thinking of just giving my p60 figure and not putting in any amounts in the avc section.#
Note - as I understand it there are 2 ways to pay AVC's, (1) through your employers payroll which means it is deducted already in your p60 (this is my scenario) (2) you pay avcs direct to financial institution providing the product in which case you would include these in the avc section (not my scenario)

Thanks

Student finance in year financial assessment

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