Child Care & Tax for Working Or Allowance for staying at Home?

Alleycat

I think Filagree has summed the situation up in a superb way (much better than I could!).

I returned to part-time work when my dd was 6 months. At that point she still felt like quite a little baby, I know it sounds odd, but I just thought she would be a bit more 'robust' at that age. I did worry at first that she was still such a tiddler, but she has got on fabulously. We had a few teething troubles to start with as she would not drink from a bottle, but we worked around it. The nursery staff were excellent in overcoming this problem and were so patient and caring towards our precious little girl. I can tell they really enjoy working with children and are not just the hired help.

In part I chose to return to work because I wanted to and also due to financial constraints. There is no way we could have kept our heads above water if we had not had my income as well. I did check with the benefits office to find out what we would be entitled to if I worked or stayed at home and with OH earning £18,000 and me at home we would have received no more in benefits (no council tax rebate, no HB). We live in rented accommodation with a reasonable rent compared to other two bedroom properties in Bradford. I also enjoy my job and think I am pretty good at it. I found being at home 24/7 very restrictive as I don't have a huge (more like non-existent) circle of friends, no family within 200 miles and rubbish baby activities in the area. I don't drive and even if I did, we couldn't afford a car for me to use.

Anyway, apart from my ramblings, I just don't know what the best option would be. I like the idea of giving the partner at work, the SAHP's tax allowance which would enable tax credits to be lowered. I don't think tax credits should be abolished but a huge overhaul of the benefits system in general is urgently needed. I think there should be a cap on the increasing benefits that parents are given the more children they have. Why should a childless person be forced to pay out more and more in income tax to fund families who have 4, 5, 6 children. With regard to single parent families, I believe that there should be the financial safety net to allow them to remain at home until their children start full-time education. After that they should be expected to return to work, albeit part-time if they wish. As another poster pointed out, the more parents who decide to stop working to look after their children, the less tax-payers there are to fund the benefits system. Obviously this isn't completely full-proof, but the government's bill giving parents the right to request flexible working is helping. There are a lot more parents who otherwise would still have to work ridiculous hours. I'm sure there is more, but I can't think at the moment.

fatblokexl

Would it be better if they actually gave 1 partner an allowance to stay at home

thats a novel idea...taxpayers paying for others to stay at home and do nothing but look after their children.

i do however feel, as a whole, the benefits system is a farce, having worked for it for 3+1/2 years.
the scroungers get everything and the decent people who would ideally be catered for get near to nothing.

if i were chancellor i would make sure every family/couple/individual were guaranteed a min limit of income per year, mainly wages topped up to min with capped rate benefits of £10k. those who work more and earn more (i.e reduce the amount of benefit used as a top up) the "extra" would go towards a pension so people would be encouraged to work and earn to provide for the future.

example: min limit set at £20k, mr+mrs smith earn between them £14000, they get benefits of £6000 pa to bring them up to this min limit. as they only used up £6k the balance of the £10k (£4k) is used to fund a pension in later years.

mr+mrs jones earn £25k, use no benefit top up and all £10k allowance funds future pension.

by capping the benefits paid in a year people would be able to predict there allowance and use it wisely.

any ideas on this basic policy???

vippymini

hi im new here, a just wanted to add my bit , and as a mum or 4 ranging from 1 -8 and one due in septmber theres no doubt about staying at home with them and the benifit it has on them! To see howthey all developed is amazing

I think yes tax credits is a good idea but why encourage women to go to work especially if you have a partner working. A few months ago the goverment were saying that there are not enough children being born to support the future and then saying women are leaving it till late to have children but theres no encouragment to change this! All i hear from friends is we have children when we can afford them and if thats the case they will never have them!

Also theres a childcare element which means you could stay at home a get paid to look after someone elses kids while you pay for somet oo look after yours surly this dont make sense and your better off having a stay at home allownce to look after your own kids????

hope it makes sense

jellyhead

i'd like my tax allowance transferred to my husband.

i have worked while my son was in school but in 2 years i only paid tax and NI once, and then it was a tiny amount. whoever said all the people on tax credits are contributing to the economy - 16 hours a week on minimum wage means not paying any tax or ni as far as i can tell.

i don't expect any handouts for choosing to be a stay at home mum but i do think my tax allowance should be fluid, especially when i'm at home with young babies and won't be working in the near future.

alternatively, prima baby magazine are campaigning for a 'baby loan' similar to a student loan, to enable more women to take time off while their babies are small. i like that idea.

krisskross

vodkaqueen75 wrote:

everyone has their own look on it i suppose, you have your views i have mine, but i saw my kids first steps, heard their first words, heard their first laugh, thats far far more important to me than anything else.

The first time I saw my children do something new WAS the first time as far as I was concerned. Even if we don't work none of us take our littlies everywhere with us. Mine were left with family members or friends if it was not possible to take them where I was going.......however much I rack my brains though i can't rember 1st steps, first words etc from any of my 4. It all happens gradually. I do have some first teeth lost though.

jellyhead

my son took his first steps while i was having a lie in!! by the time i came downstairs he was walking miles at a time :rotfl:

Cullumpster

I'm on the other side of the coin, i'm currently nearly 6 months pregnant and after working out all of the different possibilities it has come to our attention that i can't afford NOT to work.

As much as i agree with the staying at home until they go to school it is physically impossible for me to do so.

I currently earn £15000 a year and my BF is self employed in his 2nd year of working, his anual income last year was only 5K, i have checked up on what i would be entitled to but they are saying that as we live together they take both of our wages into consideration and all i will be entitled to is £44 a week :eek:

This is to pay for everything including nappies, food, the mortgage etc.

My b/f has 2 other children from a previous marrige and now has joint custody of them, so we have them 1 week on 1 week off IYKWIM.

He recieves no money for them either so how are we supposed to survive if i don't go back to work it makes me sick with worry, i've looked into a nursery and they are looking at £500 a month :eek:.

So it's either work to pay the nursery or don't work and get nothing, i'd like to know what you think i should do as it's not easy.

robindunne1

Child care tax credit has just risen to 80% of the cost so your £500 outlay should only by £100 - the rest you should get back through Tax Credits.

Someone tell me if I am wrong.

fatblokexl

Child care tax credit has just risen to 80% of the cost so your £500 outlay should only by £100 - the rest you should get back through Tax Credits.

Someone tell me if I am wrong.

all depends on the household income as to how much help you actually get for child care.
once the income hits £15k (approx) anything over that amount starts to eat away at the 80%, so if you earn approx £25k you may only get 20% or less towards costs

danidixon

What about the fact that I have been paying all of my working life for people to sit on their backsides; Do I as a mother not deserve to get some of the money I have already paid into society (no. let the government give that to drug abusers and others that never have and never will work).
I am going back to work next month after 6 months of maternity leave; I am returning part time and the money I will be earning will cover the childcare costs and leave me £200 spare (not so spare when I have a mortgage of £250 a month plus bills and food and clothes for my growing daughter); It is unfair that i'm not getting the support that I need. its alright everyone saying you need to work to put back in to society, but what about me and my family shouldn't I be working for us? I don't know how we are going to survive. My work has made it nothing but difficult for me to go back to work, constantly putting hurdles in the way; they have forced me to reduce my hours further because if anything happens and I'm late to work (because of my daughter) I won't be able to work the time back. We are punished for being parents.
I am going back to work because I HAVE to!
Also isn't there some sort of study that has just come out stating that it is BAD for children under the age of 1 to be in child care?