how to work out earnings for year (tax credits)

worto03

Hi,

I've read that if we earn over £50,000 between us in a year then we get a lot less tax credits.

can anyone tell me if we're due a baby on the 3rd of Aprill 07 what dates would they use to calculate this?

I think it may be 1st of April 06 to 1st of April 07 is this correct?

Thanks,
worto.

Lu_T

Hi Worto03

Take a look at this site.

http://www.direct.gov.uk/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/TaxCredits/TaxCreditsArticles/fs/en?CONTENT_ID=4015483&chk=Bl770B

There's lots of info on here and links to various stuff.

On the Child tax credit factsheet (link near the bottom) it says that you can earn up to £58,175 to qualify. There is a check if you're elligible bit, but I'm not sure how well it works if you're expecting rather than already having kids.

Hope this helps.

worto03

Thanks I'll have a look at your link. I'm just trying to get ready early!

£58,000's good news we should be well below that but 50,000 a bit touch & go.

they don't seem to take into account that one half of the couple's salary goes out on old debts just after payday:eek:

Cheers,
worto.

zoezoe_3

Note - if the household salary is 50k the entitlement will be tiny. I am guessing around £50 or so for the year.

Take a look here https://www.entitledto.co.uk have a play with the figures and it will tell you.

Zoe

worto03

£50 for a year!

crap!

what the hell am I supposed to do with that! It's child care we are worried about because we are still paying off some old debts which we are well in control of at the mo but will take about 2 years for us to be clear at current pace so we are both going to have to work when the maternity leave is over so we are worried about child care. I thought we would get more than £50 a year towards it!

worto.

zoezoe_3

you will get child tax credit which is around £900 for a baby under one and £500 for a baby after that. Not £50 - my mistake. nothing towards childcare though.

zoezoe_3

worto03 wrote:

they don't seem to take into account that one half of the couple's salary goes out on old debts just after payday:eek:

Of course not !! why wold they ??

worto03

Of course not !! why wold they ??

It was a joke, I wouldn't expect them to!

I just wanted people to understand why I needed money towards child care when between us we earn a decent amount.

Didn't want people to think I was just being greedy taking money from taxpayers for child care while riding around in my yacht (which I don't have by the way I was beign 'funny' again)

worto.

msw_2

hi, our income is about the same as yours, we just had a baby and get £79 per month. We got less (around £50) for the first few months as I think that was based on last years salary. When we completed the info on our actual salary for this year (you have to fill this out around about Sept) it went up to £79 (I think cos my income is less than last yr as I have gone part time). Hope this helps.