Child Tax credit changed - Why?

nannytone_2

GobbledyGook wrote: »

The difference in costs for childcare between now and 10 years ago is the main reason people get so much.

Sadly when they brought in tax credits (a fabulous idea as it was originally planned) they never thought that childcare facilities would massively increase their costs. Some parents now pay more for childcare than they would have before despite getting tax credits.

When my eldest daughter was first born and we looked into nurseries whilst working out how many hours a week I'd go back to work for the nursery closest to my home charged £27 a day - the very same nursery now charges £56 a day. They also charge more to parents who claim tax credits than those who don't, something that should be illegal imo.

this would be ok as a reason, if it wasnt for the fact that many couples only work 16 hours between them with no childcare costs and maximum tax credits!

i never understood why a single person/childless couple had to work 30 hours.......but a couple with one or more child only had to work 16.

the answer is to pay more towards childcare costs and less in cash benefits. it would also encourage them to work more instead of less, as theywouldnt be looking out for how to maximise benefits.......they would be benefitting themselves instead!

milliebear00001

dundeediva wrote: »

And this is where the problems lie...if you received an award notice since October, it will show the correct amount of ctc and wtc! You NEED to read this, and if you don't understand it, ask someone for help!

This is simply not true. There are lots of people whose last letter states a totally different amount to what they are now receiving - mine included. My last award notice was Decemeber. I am receiving approx. half the amount stated as the post-April figure.

pipscot

nannytone wrote: »

this would be ok as a reason, if it wasnt for the fact that many couples only work 16 hours between them with no childcare costs and maximum tax credits!

i never understood why a single person/childless couple had to work 30 hours.......but a couple with one or more child only had to work 16.

the answer is to pay more towards childcare costs and less in cash benefits. it would also encourage them to work more instead of less, as theywouldnt be looking out for how to maximise benefits.......they would be benefitting themselves instead!

A couple with children working only 16 hours between them will get a lower amount of working tax credits - they still have to work 30 hours between them to receive max working tax credit.

pipscot

milliebear00001 wrote: »

This is simply not true. There are lots of people whose last letter states a totally different amount to what they are now receiving - mine included. My last award notice was Decemeber. I am receiving approx. half the amount stated as the post-April figure.

i received my last award notice in october. They haven't sent new notices since the budget (to people with no changes to report) - so many people are not getting the amounts shown on their last award notices now we are in the new tax year.

bazza1603

I have report changes....Yet no new award notices... At one time you use to get a million of them addressed to everyone bar the dog.

From myside, I budget every penny every month.. We dont drink, smoke or go out or waste money. Whats happened this month is we have spend more than we have earned and I have to pay it back from somewere. My wifes wages cover the childcare, and after you pay for petrol to and from work, it makes little sense her working

I am more annoyed about the lack of notice.

pipscot

bazza1603 wrote: »

I have report changes....Yet no new award notices... At one time you use to get a million of them addressed to everyone bar the dog.

From myside, I budget every penny every month.. We dont drink, smoke or go out or waste money. Whats happened this month is we have spend more than we have earned and I have to pay it back from somewere. My wifes wages cover the childcare, and after you pay for petrol to and from work, it makes little sense her working

I am more annoyed about the lack of notice.

you really need to contact them - i know it's a pain waiting in the queue but you need to find out what's happening and if this is just a temporary one month blip or if this is what your payments are going to be from now on.
I agree about the lack of notice - we once used to receive 2 copies of every amendment (to the same address) - ridiculous waste of paper, time, computer ink, postage.... but they don't need to compensate by not sending any out at all!!!:):)

meluvnext

When searching for appropriate child care for my daughter I had a childminder ask me was I entitled to child care costs from tax credits, not assuming anything I said I believed I was so she said she would charge me the top amount £175 per week every week not just holidays (bearing in mind my daughter is 8 and goes to school so was only there for 2 hours max after school). This is a total con but they know they can do it, and there is noone there to govern how much child carers charge.

So basically the child care providers are part of this problem

melly1980

Madmonk wrote: »

That isn't the problem - why has the wtc + ctc department not sent out letters informing people that this was going to happen! Many families are going to be in serious trouble but I suppose the childless couples will be able to sit and gloat over this fact!

MM

thats simply not true.

Whatever payment was going to go in this April is declared on your awards form from last year on one of the last pages. Mine is exactly what it said it would be.

They tell you that you will get so many payments at such a rate until March 2011 and then payments of x amount from April 2011.

melly1980

milliebear00001 wrote: »

This is simply not true. There are lots of people whose last letter states a totally different amount to what they are now receiving - mine included. My last award notice was Decemeber. I am receiving approx. half the amount stated as the post-April figure.

melly1980 wrote: »

thats simply not true.

Whatever payment was going to go in this April is declared on your awards form from last year on one of the last pages. Mine is exactly what it said it would be.

They tell you that you will get so many payments at such a rate until March 2011 and then payments of x amount from April 2011.

an unbelievably similar reply. I hadnt even read yours when posting mine :rotfl:

pipscot

melly1980 wrote: »

thats simply not true.

Whatever payment was going to go in this April is declared on your awards form from last year on one of the last pages. Mine is exactly what it said it would be.

They tell you that you will get so many payments at such a rate until March 2011 and then payments of x amount from April 2011.

And i think the point people are making is that the amounts they are receiving don't match those shown on their award notices!!:)