Starting a Business on Benefits
Comments
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DO you mean £26K gross or net?When I have run the calculators before, in order to be able to cover all our bills, debts and hospital appointments, we need a minimum of £26k a year0 -
What qualification is he working towards - it's unusual to train as an electrician by didtance learning.
It's an NVQ Level 2 followed by the NVQ Level 3. We have checked with the exam board to ensure that it is a legit course.
It is predominately studying at home, but there are practical sessions in a training center after throughout the course (5 weeks for the level 2, and I believe 10 for level 3) as well as additional weeks working on a site to give him a complete qualification with the site experience.0 -
I am not sure about the rules as regarding only working 16 hrs if your partner is incapacitated.
Hopefully, Dark Sparkle can confirm.
Doing a quick benefit check working tax credits are only awarded for working 16 hrs a week with partner incapacitated if child care costs are involved.
Please wait for Dark Sparkle to confirm as this will obviously make a great difference.
Personally, I think you and your partner need to reconsider the self employment/limited company route for the moment.
Speaking from experience being self employed is not an easy route to take in most circumstances and since you have debts then the fluctuating income may become a real problem.
Would it be possible for your partner to get a job (16 hrs or 24hrs - whichever is needed for working tax credits) for a while so that you can sort out your debts and budget properly? This would also give him and you an opportunity to see how you all manage, health wise,childcare wise etc
Are you on contribution based ESA? Which group?
It may be that a sensible option would be to go to CAB for a 'better off' benefit check up. You need to be able to maximise your income. They will also be able to help with your debts.
Calculators are generally OK but it is easy to input the wrong information0 -
I'm pretty sure that there was no extra 0, but it was quite confusing. At one point it asked me for the annual wage and then later it automatically added that wage to a box and said it was the weekly figure and to correct it. Maybe there is some wording or calculation issues on the site.Darksparkle wrote: »Are you sure you had put in the right figures? Maybe put in an extra zero?
You'd only trigger the child benefit high income charge if you'd be of you earned over £50,0000 -
pmlindyloo wrote: »I am not sure about the rules as regarding only working 16 hrs if your partner is incapacitated.
Hopefully, Dark Sparkle can confirm.
Doing a quick benefit check working tax credits are only awarded for working 16 hrs a week with partner incapacitated if child care costs are involved.
Please wait for Dark Sparkle to confirm as this will obviously make a great difference.
Personally, I think you and your partner need to reconsider the self employment/limited company route for the moment.
Speaking from experience being self employed is not an easy route to take in most circumstances and since you have debts then the fluctuating income may become a real problem.
Would it be possible for your partner to get a job (16 hrs or 24hrs - whichever is needed for working tax credits) for a while so that you can sort out your debts and budget properly? This would also give him and you an opportunity to see how you all manage, health wise,childcare wise etc
Are you on contribution based ESA? Which group?
It may be that a sensible option would be to go to CAB for a 'better off' benefit check up. You need to be able to maximise your income. They will also be able to help with your debts.
Calculators are generally OK but it is easy to input the wrong information
He has been offered both of his old jobs back, but they are both completely unsuitable (1 is seasonal and the other is evenings and weekends). The biggest issue is, that we need to fit his hours around my hospital appointments. Another company is not going to be flexible to him taking multiple days off for hospital appointments, which require at least 1 full day if not 2 days off. Working for himself means that he can at least work around them.
I am in the Income ESA Support group, and I receive enhanced rate PIP for both daily living and mobility. I'm pretty sure he only has to do 16 hours. He could look for a job that is only 16 hours, but then he has to then find another job when he has qualified or be back in this position whilst he builds a business as a self employed electrician.
After school childcare is not an issue for us, we live within a mile of 4 sets of parents/grandparents and I do have someone come in for several hours a week to help me and give him a break, but this is only Mon-Fri during the day.0 -
Have you checked out the government site about setting up a limited company?
https://www.gov.uk/limited-company-formation/overview
Also the New Enterprise Allowance
https://www.gov.uk/moving-from-benefits-to-work/starting-your-own-business0 -
pmlindyloo wrote: »I am not sure about the rules as regarding only working 16 hrs if your partner is incapacitated.
Hopefully, Dark Sparkle can confirm.
Doing a quick benefit check working tax credits are only awarded for working 16 hrs a week with partner incapacitated if child care costs are involved.
Please wait for Dark Sparkle to confirm as this will obviously make a great difference.
Personally, I think you and your partner need to reconsider the self employment/limited company route for the moment.
Speaking from experience being self employed is not an easy route to take in most circumstances and since you have debts then the fluctuating income may become a real problem.
Would it be possible for your partner to get a job (16 hrs or 24hrs - whichever is needed for working tax credits) for a while so that you can sort out your debts and budget properly? This would also give him and you an opportunity to see how you all manage, health wise,childcare wise etc
Are you on contribution based ESA? Which group?
It may be that a sensible option would be to go to CAB for a 'better off' benefit check up. You need to be able to maximise your income. They will also be able to help with your debts.
Calculators are generally OK but it is easy to input the wrong information
I already confirmed in post 7 and OP posted the criteria in post 3.
Childcare is an element of WTC, there doesn't need to be childcare for them to receive it.0 -
A bit more help maybe....
Being a company director won't be a problem for benefits purposes. In theory if a company holds lots of cash the council could call it notional income, in practice if you are not hoarding money in the business no one will bother you.
Regarding your wages question, working 20 hours, being paid 16 is not a problem. Don't forget a business has expenses and wages is only 1 expense, so your husband, as an employee can draw any salary he wishes. Following on from that he can charge out at say £15 per hour and pay himself £7.20 an hour, and may have to so there is enough money in the business to pay for example an accountant, mileage, tools etc.
He could draw £90 a week to keep other things in balance, but don't forget ESA will be reduced, Council Tax benefit also, and maybe other things I am not sure about.
Your 26k is about 500 a week.
PIP, Carers, Child Benefit, Child Tax totals to about 390, so you are 110 per week away from surviving.
When I did the sums for us I couldn't get past about 420 per week at 24 hours work at minimum wage, which is the point WTC is paid and is at its maximum level. That was without PIP, and at that level you would have lost Carers payments. PIP at around 100 per week would see you just over the 500, but you would need that wage every week.
We were most definitely better off on benefits, by some margin.
Food for thought....0 -
Could you not use your mobility allowance to employ someone to accompany you to hospital, thus giving your husband more job opportunities ?
Also, though the courses are official ones would an internet qualification , without practical experience checked by a professional , allow someone to legally work in what is potentially a dangerous field ? It would really worry me if someone, qualified in this way was free to work on the electrics in my home.0
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