Staying under £100K to keep 15/30 hours free childcare
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Rubbish! She was asking what she could do to stay within the rules but still get housing benefit. It's exactly the same as here. What can he do to stay within the rules but still get free child care. It's exactly the same. The OP earns enough and doesn't need free child care so why not tell him so?
I must admit I thought that the OP was trying to take the proverbial as well.0 -
Rubbish! She was asking what she could do to stay within the rules but still get housing benefit. It's exactly the same as here. What can he do to stay within the rules but still get free child care. It's exactly the same. The OP earns enough and doesn't need free child care so why not tell him so?
There’s lots of people that probably don’t NEED certain benefits but there’s no reason not to claim what you’re legitimately entitled to. Paying into a pension is hardly something to frown upon.1 -
Rubbish! She was asking what she could do to stay within the rules but still get housing benefit. It's exactly the same as here. What can he do to stay within the rules but still get free child care. It's exactly the same. The OP earns enough and doesn't need free child care so why not tell him so?
Not rubbish at all. Making additional pension contributions to reduce your taxable income is permitted by the government. Giving away money in order to retain entitlement to benefit isn't.
You may question the moral values, but I'm simply providing a hopefully accurate, non judgemental reply.0 -
Morality aside one is legal and the other is not. The government want to encourage people to save for retirement so they don't have to pay out housing benefit, pension credit, ctax credit etc when people are old. They offer tax incentives to encourage people to save for their retirement and self efficiency. Otherwise people may blow the lot and then go cap in hand at the age of 68 pleading poverty.
They don't encourage people to hide their assets so they can claim tax payers money while having significant amounts of money in the bank.I am a Mortgage Adviser
You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Not rubbish at all. Making additional pension contributions to reduce your taxable income is permitted by the government. Giving away money in order to retain entitlement to benefit isn't.
You may question the moral values, but I'm simply providing a hopefully accurate, non judgemental reply.
But you couldn't put money into a pension without it being considered deprivation of capital for claiming means tested benefits so this is where the inequality lies.0 -
But you couldn't put money into a pension without it being considered deprivation of capital for claiming means tested benefits so this is where the inequality lies.
Can you explain this assertion?
https://www.gov.uk/workplace-pensions/what-you-your-employer-and-the-government-pay
For example, it is recognised that pension contributions
may mean you’re entitled to tax credits or an increase in the amount of tax credits you get (although you may not get this until the next tax year)
mean you’re entitled to an income-related benefit or an increase in the amount of benefit you get
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There have been cases on here where people have been chided (and rightly so) for planning to salary sacrifice to the tax free bracket and then claim housing benefit, tax credit et al. People on benefits can pay into a pension but the amount is limited based on salary. People can't get a 100k inheritance, stick it in a pension and then claim they are poor (think max is £3,600 a year if not employed) There is also an upper maximum lifetime allowance to stop the very wealthy salary sacrificing too much of their income as they then get hit if their pension pot goes over a certain amount. Those in the middle it can be very useful especially those in the 50-60k bracket who face both higher rate tax and the loss of child benefit, those on the 100k bracket for the reasons in the op and those who will lose their personal allowanceI am a Mortgage Adviser
You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
It does seem ridicules that someone with take home pay potentially in excess of £5000 per month qualifies for any government help.
Travel and accommodation at £1200 leaves them with nearly £4000. I know childcare isn't cheep but.....0 -
RichardD1970 wrote: »It does seem ridicules that someone with take home pay potentially in excess of £5000 per month qualifies for any government help.
Travel and accommodation at £1200 leaves them with nearly £4000. I know childcare isn't cheep but.....
I don't necessarily disagree, but that is currently the situation.0 -
Rubbish! She was asking what she could do to stay within the rules but still get housing benefit. It's exactly the same as here. What can he do to stay within the rules but still get free child care. It's exactly the same. The OP earns enough and doesn't need free child care so why not tell him so?
I thought it was free childcare, not housing benefit.0
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