Working Tax credit and over time?

aaroncaz

I have been offered a job, 17 and a half hours a week, I know there will be extra hours if i want.... But WT does confuse me! If I do extra hours, but still under 30 hours a week, will this affect my WT? Would I need to tell them every week I did extra?

aaroncaz

I am bumping this, as I am wondering whether to refuse any extra hours.... This has already confused my C/T claim..... I am on £6.12 a hour, W/T say you can earn up to £25.000? before it makes a difference to W/T. Can anyone help please, as 5 years ago i did the same and W/T reduced my payments the next year!

DaisyFlower

As long as your tax credits are based on the previous tax year, you wont need to call them everytime you do overtime and the £25k disregard will come into play.

However, you are right in that when you declare your final earnings at renewal your tax credits for next year may go down if your earnings are higher than the previous tax year.

I wouldnt turn down overtime just because it may affect your benefits, surely its better to earn the money yourself.

aaroncaz

DaisyFlower wrote: »

As long as your tax credits are based on the previous tax year, you wont need to call them everytime you do overtime and the £25k disregard will come into play.

However, you are right in that when you declare your final earnings at renewal your tax credits for next year may go down if your earnings are higher than the previous tax year.

I wouldnt turn down overtime just because it may affect your benefits, surely its better to earn the money yourself.

Thanks for your reply.

feefeelalabelle

just woundering if anyone else had any views on this as im in the same situation, will i have to pay money back to them in april..? TIA x

twiglet98

When I increased my hours last September, from 20-24 a week to 30-35, I rang the Tax Credits office and was told I had to do four consecutive weeks at the higher number of hours to qualify for the 30+ element, but they did not HAVE to be told how much extra I would earn from this unless it was more than £25,000 over the amount on my last P60 (which is what the current year's award is based on). When they get my NEXT P60 issued this April it will show how much has been earned from working longer hours, and they will then calculate how much they have overpaid (as the award I've been getting for the last year was based on working shorter hours). They will claw back the overpayment, and I have absolutely no idea how I'm going to pay it back, but that's what they said will happen.