Housing & Council Tax Benefit if Director of a Limited Company

Loulou75

Orville wrote: »

Did the jobcentre mention to you the back to work grant..? If you go self employed you are entitled to an extra £40 a week payment for the first year. You do however have to fill out what they would call a time sheet documenting the hours you work (minimum of 16 per week).

I am on the route of going self employed and have been told i can claim tax credits and working tax credits and this payment also. i can also do a seperate job and as long as it is about 16 hrs a week around the £6 an hour mark, that would not affect my working tax credits claim as the cutoff point is 5.5k before it does start to affect you.

I get a feeling you have been poorly advised.

Get back down the JC and have a word with them asap.

I should however point out that i am a single parent. Weather this has had an affect on what i can claim i am not sure.

Hi Orville

The Job centre has put me forward for some called Self Employment Credits which are £50 a week and paid for 16 weeks. Is this the same thing that you are talking about? This is for full-time hours. I don't have any children so you might be entitled to more. They told me I should be able to get working tax credit and housing benefit until I earn enough to support myself. The job centre hasn't mentioned anything about a timesheet but they have booked me review appts for in 6wks and 12wks where I have to show them proof of earnings etc.

The job centre told me that they inform the housing when they sign you off but the housing has told me it's nonsense and that I have to tell them myself so be careful when it comes to your time to sign off. Keep housing informed yourself.

Good luck with whatever you do Orville.

Orville

Loulou75 wrote: »

Hi Orville

The Job centre has put me forward for some called Self Employment Credits which are £50 a week and paid for 16 weeks. Is this the same thing that you are talking about? This is for full-time hours. I don't have any children so you might be entitled to more. They told me I should be able to get working tax credit and housing benefit until I earn enough to support myself. The job centre hasn't mentioned anything about a timesheet but they have booked me review appts for in 6wks and 12wks where I have to show them proof of earnings etc.

The job centre told me that they inform the housing when they sign you off but the housing has told me it's nonsense and that I have to tell them myself so be careful when it comes to your time to sign off. Keep housing informed yourself.

Good luck with whatever you do Orville.

Hi

That maybe the difference then as i am a single parent. I have been told by both my InBiz advisor at the New deal advisor that you can claim a back to work grant (In work credit) at £40 a week.

I have just done a quick search have a look here.

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/Employedorlookingforwork/DG_10013908

Did you get the £250 back to work credit thing too..? I was told i would also get this.

Loulou75

Orville wrote: »

Hi

That maybe the difference then as i am a single parent. I have been told by both my InBiz advisor at the New deal advisor that you can claim a back to work grant (In work credit) at £40 a week.

I have just done a quick search have a look here.

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/Employedorlookingforwork/DG_10013908

Did you get the £250 back to work credit thing too..? I was told i would also get this.

Thanks, I'll have a look at the link.

I was given a back to work job grant of £100.

sanhong

:beer:hi loulou:

It is nearly 3 months passed, is everything work Ok for you?

Do you regisitered as self employed or employed ?

do you get all benefits that you entitled ?

I'm currently in ESA as well and also would like to go to self employed ,my husband has regisitered a company but still no any account open, I don;t know if we open a business account ,I should be secretary or joint director ? but if we run a company, at the begining, it isn;t so quick to generate any profits, but we also wish to have long view. please let me know any update news. thanks a lot.

leveller2911

Its shocking that someone has been advised to start up a business either as a Ltd Company or as a sole trader and doesn't actually have any work, income.

Just a quick question but is this typical ? I mean given the fact that the Government are clamping down on people starting businesses just to boost benefits?.

I guess its a sign of the times all these so call "businesses " starting up with little or no knowledge.......I worked in my career for 8 years before starting up my own business and spent months researching.......

ILW

Is a director not an employee of a limited company?

leveller2911

ILW wrote: »

Is a director not an employee of a limited company?

For tax purposes yes............. A Ltd company set up by many sole traders,partnerships mainly for reducing tax liabilities and personal liabilities.....

Given that the OP is looking to claim housing benefit then they have no house to lose to a creditor and as such probably has little to lose so why they are LTD is beyond me.......Far higher accountancy fees, quarterly meetings with accountants and other directors etc etc etc .


Very little to gain in being Ltd over a sole trading /partnership self employed these day unless you have a assets that you could lose..

sanhong

Actually, it doesn't mean that we start business is for benefit only:j.

My husband and I have did lots of job at home ,we have got patent certificate, we wish to turn our patent into real product.

At the moment, we wrote project proposal and business plan which already cost us half year to work at home for all these paper works.

We are trying to get business grant to start the business .

But we do need support at the very begining, we can't generate any profits in this period yet.

If we entitled to work tax credit or other benefits, then why not apply ?

viktory

Loulou75 wrote: »

I just want to cry! You try to do the right thing by working. I am hoping that my business will start to pick up. It's an internet business so I am hopefully bound to start earning something but it won't be a lot to start off with.

I really don't know what to do. :-(

Well really what you should have done is work as a proper PAYE employee, save bloody hard and then launch your business in conjunction with paid employment. Once the business has picked up you can then either drop your hours or leave your paid job. Your savings should then carry you through the difficult early months of a fledging business.

HappyMJ

leveller2911 wrote: »

For tax purposes yes............. A Ltd company set up by many sole traders,partnerships mainly for reducing tax liabilities and personal liabilities.....

Given that the OP is looking to claim housing benefit then they have no house to lose to a creditor and as such probably has little to lose so why they are LTD is beyond me.......Far higher accountancy fees, quarterly meetings with accountants and other directors etc etc etc .


Very little to gain in being Ltd over a sole trading /partnership self employed these day unless you have a assets that you could lose..

I would so much prefer not to be a limited company but the agencies I work with insist i either work through an umbrella company (who pay only as PAYE and charge high fees) or my own limited company. They will not accept my assurances to them that I am a sole trader. Due to now having the limited company for the agencies I now put all my work with other clients through that.