trying to figure it all out, any help aprreciated.

knithappens

I currently work part time at a secondary school, redundancies are on the cards and about 30 teaching staff are to go.

Am really worried at the moment as I am a single parent , 3 kids under 16 , the youngest being 2, mortgage to pay, a few debts etc, i have no family , just me and the kids and this is my worst nightmare come true, which I know a lot of people here will be able to relate to. I have read the brilliant info here on preparing for redundancy and i already do alot of what has been stated as i have been trying to live frugally to clear debt for a good year or so, so spend minimally,but thi can till be tweaked - it will have to be.

At the moment their is the option for voluntary redundancy.
My first question is, if i take voluntary redundancy will it affect my claim to benefits?

I am thinking of voluntary redundancy as if i take it now I will be entitled to around £3000-3500, if i take it later on or it is compulsory it will work out to be less.

My second question is do i have to wait until my redundancy pay runs out before claiming benefits or because i already receive tax credit is it just as simple as recalculation? or will my tax credit etc cease automatically?

I have done the turn2you calculator and it asks if I will claim JSA or income support I inputted income support as i have a child under 7, (I was on income support many moons ago and thing have changed so much so not 100% sure if this was correct for me to input) or will I have to claim JSA?

the turn2u calculator says I may qualify for help with my mortgage interest of £111.52 per week - this seems very high, but even if it is nto this high , anything will be a god send. I know their is a waiting period, but is it easy to claim?

I have very little savings as i havebeen focusing on getting debt free, I have around £500 but will use that to pay down some more debt. The only plus side is that even if i take voluntary redundancy, i will still be paid until the end of August as they need staff to finish the current academic year, but even so it is not that long away, as this year seems to be flying by already.

Any help or info will be greatly appreciated

(sorry for any spelling mistakes - nosey 2 year old trying to type with me)

moneysavermum_2

you sound in a very similiar situation to me single, 3 children, my youngest is 4 1/2 and years i too am looking at redundany or they are trying to squeeze me out.

I will be following your thread as I too am claiming working families tax credit and also have a mortgage and debts. I hope you have one month working tax credit run on but am unsure as to how we stand. Or when the interest on the mortgage gets paid.

It just throws the routine of things to the wind but hopefully something good comes out of redundancy. I suppose it forces change.

knithappens

I posted the same question on the benefits board and got alot of info, it may be useful for you too, https://forums.moneysavingexpert.com/discussion/3122214

I understand what you mean by forcing change, especially as i have played it safe in my job out of necessity , even though i dont liek it, so this will probably give me the kick up the bum to do something new

Chartered_Eng

knithappens wrote: »

At the moment their is the option for voluntary redundancy.
My first question is, if i take voluntary redundancy will it affect my claim to benefits?

I am thinking of voluntary redundancy as if i take it now I will be entitled to around £3000-3500, if i take it later on or it is compulsory it will work out to be less.

My second question is do i have to wait until my redundancy pay runs out before claiming benefits or because i already receive tax credit is it just as simple as recalculation? or will my tax credit etc cease automatically?

I have very little savings as i havebeen focusing on getting debt free, I have around £500 but will use that to pay down some more debt.

I've been through redundancy a couple of years ago and so can empathise.

Voluntary redundancy does not affect your statutory rights to benefits. Jobseekers allowance is based upon your marital status and qualifying National Insurance contributions. Assuming you have always paid your NI contributions then you will qualify for full benefits. Claim jobseekers allowance (JSA) as soon as you stop work, don't wait until the redundancy money runs out. This is important as you can't retrospectively claim JSA. So I would recommend that you call the JSA the day before you stop work to register and then they will arrange an interview at the local Jobcentre. Note that the first three days of your unemployment is not payable, your JSA starts on day 4, don't ask me why it's a mystery to me as well.

The redundancy payment is tax free but it must be declared on your annual tax return (assuming you do one). It can only affect your entitlement to benefits (other than JSA) if your savings are over £6000 (that was the figure when I claimed JSA). If you claim additional benefits other than JSA you will be asked to produce evidence of bank statements etc to show your savings are less than the max.

Voluntary redundancy has it's gamble, the money offered to take it will probably be more than you are legally entitled to. If you wait to see if you are really in line for the flying axe then the payment may be the same or lower. See the governments calculator to see what you are entitled to http://www.direct.gov.uk/redundancy.dsb

Lots more good info here: http://www.direct.gov.uk/en/Employment/RedundancyAndLeavingYourJob/Redundancy/index.htm

Good luck on whatever you decide to do.

knithappens

Thanks Chartered Eng for the reply, I will find out by mid week, so right now sat a little in limbo, as I am a planner, I want to get planning haha, but |I have had a lot of reading to do which has kept me busy and am a little less worried as i will be entitled to some benefits, a big drop in income but it will keep us ticking over with the redundancy payment for a little whiel until i find new employment

moneysavermum_2

Its a relief to know we can still get a fair bit in benefits like you say to tide us over to next job. I too took the safe option in my job and I too dislike it. I suppose in life everything is changeing so just on to the next thing. I worked it out on the turn2us website would be entitled to around a £1000 a month. That would be enough for us to tide over.

Onwards and upwards. If we can look after 3 kids on our own can do anything!!!

knithappens

nje24 wrote: »

Its a relief to know we can still get a fair bit in benefits like you say to tide us over to next job. I too took the safe option in my job and I too dislike it. I suppose in life everything is changeing so just on to the next thing. I worked it out on the turn2us website would be entitled to around a £1000 a month. That would be enough for us to tide over.

Onwards and upwards. If we can look after 3 kids on our own can do anything!!!

exactly !! Please keep checking back it would be nice to keep up to date with how things are going with you, there is no one i know (single raising, kids) going through this.

The information on here and the benefit board has been invaluable - helps to reduce the stress a little

Chartered_Eng

knithappens wrote: »

I want to get planning haha, but |I have had a lot of reading to do which has kept me busy and am a little less worried as i will be entitled to some benefits, a big drop in income but it will keep us ticking over with the redundancy payment for a little whiel until i find new employment

Planning ahead is a very good thing to do, it makes sure you are in control of your destiny and not the other way around. Good luck with the job hunt.

moneysavermum_2

knithappens wrote: »

exactly !! Please keep checking back it would be nice to keep up to date with how things are going with you, there is no one i know (single raising, kids) going through this.

The information on here and the benefit board has been invaluable - helps to reduce the stress a little

I am going to work each day, but each day theres no orders to process. What can I do? I cant ethically sit there all day and take the money can I? do I approach the employer or wait til they approach me? either way its going to happen cos the orders just arent coming in. Theres never a good time for change, like you i have a credit card dont we all have bills. Thats life these days and kids need kitting out for summer. Who cares anyways never liked the bloomin job lol

Chartered_Eng

nje24 wrote: »

I am going to work each day, but each day theres no orders to process. What can I do? I cant ethically sit there all day and take the money can I? do I approach the employer or wait til they approach me? either way its going to happen cos the orders just arent coming in.

It rather depends upon your relationship with the employer. If they are mercenary then you may end up made redundant with the legal minimum payment and no job. Hanging on does two things, one is if they approach you then you are more likely to be offered better terms and the longer you stay in the job the better the benefits are. For example, redundancy is paid on completed years of service only, not part years. Also the longer you work you accrue more paid leave and pension rights (if applicable).

knithappens

nje24 wrote: »

I am going to work each day, but each day theres no orders to process. What can I do? I cant ethically sit there all day and take the money can I? do I approach the employer or wait til they approach me? either way its going to happen cos the orders just arent coming in. Theres never a good time for change, like you i have a credit card dont we all have bills. Thats life these days and kids need kitting out for summer. Who cares anyways never liked the bloomin job lol

i would sit tight until they approach you.

I started redundancy planning a while back, so i did not feel the pinch as much, definatley take a look at the redundancy planning article on here, lost of good info, I have been throwing all my money at my debt as it will eb one less thign to worry about.