Tax credits for a full time student

Krasnoludek

Hi there

I am hoping to go to Uni in September to either do a one year Access or Foundation Programme year which will allow me to do a degree afterwards.

If I do the Access programme I will get no financial help as I am married (we have two children ) and my husband works.

If I do the Foundation year I am eligible for student loans and grants, but if I take the grants are these classed as income for tax credit purposes or are student grants and loans not counted as income as they are unearned and untaxable as far as I know.

If I am going to lose most of my tax credit because I take these then I may as well do the other option

Many thanks

K x

alwaysonthego_2

The only grants that you have to declare to TCO is the Adults dependents grant, which I doubt you will be claiming.

If you do not take out student loans that you are entitled to, it will be treated as nominal income (you will be treated as taking out the loans for benefit purposes even if you don't).

clairec79

they aren't counted as income

Krasnoludek

alwaysonthego wrote: »

The only grants that you have to declare to TCO is the Adults dependents grant, which I doubt you will be claiming.

If you do not take out student loans that you are entitled to, it will be treated as nominal income (you will be treated as taking out the loans for benefit purposes even if you don't).

Hi

I think I will be entitled to the Adult Dependant Grant and will tell the TCO if so.

I dont understand the second bit of what you wrote sorry about being treated as taking the loans etc anyway ?

Will be loans and grants be classed as income for the DMP as I am due an annual review which I need to do this week.

At the moment I am on JSA CB and I have mortgage protection but its not paid out yet

Any advice welcome

K x

alwaysonthego_2

Krasnoludek wrote: »

Hi

I think I will be entitled to the Adult Dependant Grant and will tell the TCO if so. If your husband works than you will not be entitled to take this out.

I dont understand the second bit of what you wrote sorry about being treated as taking the loans etc anyway ? If you are entitled to take out student loans and don't the DWP treat you as if you have taken the loans out even if you don't.

Will be loans and grants be classed as income for the DMP as I am due an annual review which I need to do this week.Yes they are

At the moment I am on JSA CB and I have mortgage protection but its not paid out yet

Any advice welcome

K x

Hope this helps

Krasnoludek

Thank you, always on the go. Its a bit of a tricky one then for me to do the annual review as my circumstances will change in September but how much I will get I have no idea, that is if I get a place. I think I will just have to proceed with what I have got at the moment and review in Sept

Just one more thing, if the student loans have to be paid back then are they classed as income as I have to pay it all back !

How confusing is all this, wish I just had my job instead

K x

Oldernotwiser

Krasnoludek wrote: »

Thank you, always on the go. Its a bit of a tricky one then for me to do the annual review as my circumstances will change in September but how much I will get I have no idea, that is if I get a place. I think I will just have to proceed with what I have got at the moment and review in Sept

Just one more thing, if the student loans have to be paid back then are they classed as income as I have to pay it all back !

How confusing is all this, wish I just had my job instead

K x

Student loans are certainly classed as income for means tested benefits (whether you take them out or not) although I'm not sure about tax credits. They may never need to be paid back, which is why they count as income.

I'm puzzled as to why you think you'd get the Adult Dependants Grant when your husband works; could you clarify this?

How much tax credits do you get at the moment? Are they actually more than you'd get with the Maintenance Grant and Loan? Do you really think that you'll be able to manage to continue working for 30 hours a week as well as being a full time student? Access courses are very intensive.

scat

Oldernotwiser wrote: »

I'm puzzled as to why you think you'd get the Adult Dependants Grant when your husband works; could you clarify this?

I get the adult dependants grant and my husband earns £19,000 pa. I work part-time and take home about £6,000 pa. Student loans disregard your income and then take off certain things: loans, council tax, mortgage/rent payments, insurance premiums etc, when working out your partner's income. Had a real battle today because the tax credits helpline told me they disregard all student loans/grants - I had to be quite insistant that they didn't! Adult dependants grant is the only one you have to declare for tax credits but you DO have to declare it. Have been quite well off this year as in addition to our usual income I received a £1,400 maintenance grant, £1,198 Adult dependants, £1,470 Parents working allowance, £3,000 bursary from the University (I'm doing a teaching course) and also standard student loans. Have still been eligible for £80 a week tax credits. Has been a really tough year juggling everything but financially very good as I've managed to make a big dent in my debts!

Oldernotwiser

That's interesting, thanks.

alwaysonthego_2

Oldernotwiser wrote: »

That's interesting, thanks.

We don't get it and my husband earns far less than £19,000.

Adult dependants grants are usually for adults who are dependant financially on the student so i am puzzled why the other poster has got it.

Oldernotwiser

alwaysonthego wrote: »

We don't get it and my husband earns far less than £19,000.

Adult dependants grants are usually for adults who are dependant financially on the student so i am puzzled why the other poster has got it.

Well, that's what I thought but you can't argue with someone who actually gets it! Perhaps scat will give you more info if you pm her and maybe you can go for it?