Emergency Budget: tax credit cuts for millions

THRIFTY_GIRL

sh1305 wrote: »

It depends on if there are any disabled children and how many children (over & under 1) there are that qualify for CTC.

You are confusing the different elements of Child Tax credits. At earmings of £50k you are only entitled to the family element which is the £545 per family, regardless of the number of children. This is then reduced by £1 for every £15 earnt above this amount until you reach approximately £58k at which point the credits are reduced to nil. If your current year income is higher than the prior year (by up to £25k) then you still receive tax credits at the same rate as the prior year so theoretically you could still get something up to £83k. This is a very unlikely event in practice.

The reality is, as I mentioned that at £25k (1child) or £29k (2 children) the award is reduced to this family element. Clearly if there are more children then the income level increases a syou are entitled to more credits but I am referring to the norm here.

THRIFTY_GIRL

toonbaz wrote: »

without having read the whole thread i thought i'd put my opinion on the changes across.
i personally think that introducing tax credits was probably a good idea when they were first introduced but i think it has got massively out of control now with far too many families now reliant upon the income they provide, whilst i agree there has to be support for families there surely has to be an emphasis on try to provide for your own family rather than be reliant upon the government to support them. i personally feel that when people can afford such luxuries as sky tv and holidays abroad then they probably dont really need government help.

I agree the system is flawed; even now, the government is reducing credits for middle England (agreed that you don't need them when you are earning £50k, but why punish the middle earners for everything - as has been mentioned The thresholds will drop again, affecting those on modest incomes (£20k to £30k).

At the same time credits for the lowest earners (yes, the ones who afford Sky, the latest games consoles etc) have been increased by £150 per child. Where does the word fair come into all this?

rubbersoul

The news of more medical test (I have them for IB) under the new budget shook me up yesterday.
I realise there are a lot of people who do cheat the system and know one or two myself, but I have anxiety and depression and another test just frightens me, it would be good to knfind them extremely stressful. Before one medical I got so wound up that I tried to hang myself.
I also hope that they are not using ATOS as they are target not welfare based.
But if it does clean up the disability claims I'm all for it as I get sick of people rantingcS4GMoYeTpAUCAxW2pnJ5RD5QSVZIKM/5W F55CLT58lijBFI6VCCK/EDsICtgP6 that we're all scroungers.

Indie_Kid

THRIFTY_GIRL wrote: »

You are confusing the different elements of Child Tax credits. At earmings of £50k you are only entitled to the family element which is the £545 per family, regardless of the number of children. This is then reduced by £1 for every £15 earnt above this amount until you reach approximately £58k at which point the credits are reduced to nil. If your current year income is higher than the prior year (by up to £25k) then you still receive tax credits at the same rate as the prior year so theoretically you could still get something up to £83k. This is a very unlikely event in practice.

http://www.hmrc.gov.uk/taxcredits/people-advise-others/entitlement-tables/work-and-child/work-pay-childcare.htm says different.

toonbaz

THRIFTY_GIRL wrote: »

I agree the system is flawed; even now, the government is reducing credits for middle England (agreed that you don't need them when you are earning £50k, but why punish the middle earners for everything - as has been mentioned The thresholds will drop again, affecting those on modest incomes (£20k to £30k).

At the same time credits for the lowest earners (yes, the ones who afford Sky, the latest games consoles etc) have been increased by £150 per child. Where does the word fair come into all this?

i agree with your last point, i personally think there are some people who recieve far too much and there is no doubt that it discourages some people from going out and supporting themselves. there are far too many people working exactly 16 hrs per week to qualify for WTC and childcare costs who could so easily work more hours but there is no incentive because the loss of tax credits means it isnt worthwhile.

3KIDSNOMONEY

My OH works for local government and earns just over 30K. We have four children and with WFTC about manage. When the new rules come in and we lose the WFTC I will have no option but to try and find work. Unfortunately I don't have any free childcare available to me - it is an impossible situation.

When cuts are made it only ever seems to be the hard working families that are made to suffer. We don't have hoildays, smoke, drink or have much spare money - and things are only going to get worse.

I find it so annoying that some people on benefits are far better of than us even though my OH works hard. In my opinion, it's the people who abuse the benefit system who the government should be sorting.:mad:

moomoomama27

When the new rules come in and we lose the WFTC I will have no option but to try and find work. Unfortunately I don't have any free childcare available to me - it is an impossible situation.

Evening or weekend work not an option?

flight747

Does DLA, IS, CB, HB, CT, CTC count as income for child tax credit in 2011 ?

DLA Adult - £191.20 a month (me)
DLA Child - £247.33 a month (my son)
IS - £588.40 a month
CB - £81.20 a month
CTC - £217.22 a month
HB - £527.80 a month
CT - £84.60 a month
Total - £1937.75 per month

joanne_d_3

flight747 wrote: »

Does DLA, IS, CB, HB, CT, CTC count as income for child tax credit in 2011 ?

DLA Adult - £191.20 a month (me)
DLA Child - £247.33 a month (my son)
IS - £588.40 a month
CB - £81.20 a month
CTC - £217.22 a month
HB - £527.80 a month
CT - £84.60 a month
Total - £1937.75 per month

You have almost 2k coming in every month from benefits????

Wowwwwww , me and my hubby both bloody work and dont have HALF that amount coming into ou household !

claire1977_2

flight747 wrote: »

Does DLA, IS, CB, HB, CT, CTC count as income for child tax credit in 2011 ?

DLA Adult - £191.20 a month (me)
DLA Child - £247.33 a month (my son)
IS - £588.40 a month
CB - £81.20 a month
CTC - £217.22 a month
HB - £527.80 a month
CT - £84.60 a month
Total - £1937.75 per month

Thats more than my Husband brings home and thats incuding weekend overtime every week, and thats for 5 of us to live on.