Help/advice re tax credits

karenk857

Hi there everyone!

I've never posted on this board before, and was hoping all you experts could give me some advice!!

My partner has been offered a good job with better money than he's on at the moment, but he has to go part time for the first 6 - 12 months, meaning a hefty drop in income until then.

At the moment, he earns around £200 a week. He also gets £20 a week WTC and I get £75 a week CTC as well as £116 a month in CHB. We have baby number 3 due on July 16, so this would obviously mean a change in TC then too.

The job he's been offered only pays around £125 a week until he goes full time, which would take us down to about £6500 a year (I think!!).

Does anyone know if the Inland Revenue will make the money up to an amount that we could live off? In the long run. the job is too good to pass up on, but I don't want it to ruin us in the mean time.

Any help would be gratefully received! I will happily post more info if needed, and please let me know if anything needs clarifying.

Thanks, Karen

PS The new job would be 20 hours a week

CIS

Tax Credits will pay, just tell them what your expected income is to be for the complete year, and they'll make the payments.

They'll average the payments across the year.

You could under-state your income for the first part of the year, to get higer payments, and then overstate your estimated income later in the year when you have more money coming in, it'll lower your WTC for that part of the year.
If you work it right, you can do this and still avoid any outstanding overpayments at the yr end. The overpayment earlier in the year will be cancelled out by the underpayment later in the year.