tax credits and working hours

greenman1234

This is query 2 with regard to tax credits.I noticed this year that last years top line of wages took me slightly below the minimum wage for a 40 hour week.I queried this with the family I work for and they have righted the "oversight on their part" immediately the day after by upping my wages.They have arranged to pay me a p60 recorded lump sum at the beginning of this tax year also to make up for any losses and interest which will make me happy enough.I have already informed tax credits through the helpline about the rise as I know it's best to tell straight away.
My real question is:If tax credits were to notice my last years earnings for 40 hours a week to be below minimum wage,what would they do?
Again I am very worried.I don't want to cheat anyone out of money.
Any help would be appreciated.

zagfles

If it's just below I don't think they'd worry - for instance you could have made pension contributions which would have lowered your P60 income. As long as you declared what you actually earned last year you haven't done anything wrong.

greenman1234

I always fill in my pre deductions total on my p60 to the exact amount.My employer originally said that my working hours were 35 a week rather than 40 which would bring it into line with the minimum wage for all the years I have worked.He didn't think that was fair in the end and I was very worried that after I declared a 40 hr week to the tax credits people all along I could be in trouble for not informing them correctly.He is quite happy to pay me the difference which is up to £1500.
I am still not sure which way to turn.I can't think straight.

zagfles

greenman1234 wrote: »

I always fill in my pre deductions total on my p60 to the exact amount.My employer originally said that my working hours were 35 a week rather than 40 which would bring it into line with the minimum wage for all the years I have worked.He didn't think that was fair in the end and I was very worried that after I declared a 40 hr week to the tax credits people all along I could be in trouble for not informing them correctly.He is quite happy to pay me the difference which is up to £1500.
I am still not sure which way to turn.I can't think straight.

Tax credits would only be interested if your hours had dropped below 30. If you worked over 30 hours and correctly declared your income you have done nothing wrong. Don't worry about it.

greenman1234

Thank you for that.