Could claim benefits...but choose not to! Why?

janninew

melly1980 wrote: »

Do you not think they have a point at all? The welfare state was initially there to provide for needs not for peoples wants. Most people know someone on tax credits. I know plenty myself and it is the norm for these people to have cars, holidays, big TV's ect. Do you not think the tax payer has the right to say "hang on....why is my tax paying for peoples holidays / TV's etc??

Im not calling you because I myself have taken tax credits when on a decent wage. Its not a critisism, Im just asking you if you think they have a point. Put yourself in their shoes where you are paying loads of tax, receiving nothing (in cash terms) and then seeing those that are claiming having all the nice things that you have. What would your opinion be then?

I'm a higher rate tax payer, as is my husband. We get nothing in CTC or WTC, never have done, we will also lose CB when the rules change. I see friends who have their wages 'topped up' by benefits because they choose to work less hours as they know the tax payer will make up the short fall. They live a similar lifestyle to us, nice holidays, 2 cars per family - yet neither parent works full time hours, just the bare minimum to get the most benefits.

They doesn't seem to be much incentive to work hard these days.

melly1980

lizzybear wrote: »

My dad is a higher rate taxpayer and business owner so he pays a fair wack in tax and he's really not that bothered, the system is what is is. I know multiple people who keep their working hours and income level under certain figures to continue getting tax credits but i'm not sure if there is a way round it as the thresholds have to be put somewhere.

I didnt ask if Daddy was ok with it or what daddys opinions are. I asked what your opinion would be if youve put everything into your career, earned great wages but seen others using the tax you pay for what you can call luxury items / spend.

melly1980

janninew wrote: »

I'm a higher rate tax payer, as is my husband. We get nothing in CTC or WTC, never have done, we will also lose CB when the rules change. I see friends who have their wages 'topped up' by benefits because they choose to work less hours as they know the tax payer will make up the short fall. They live a similar lifestyle to us, nice holidays, 2 cars per family - yet neither parent works full time hours, just the bare minimum to get the most benefits.

They doesn't seem to be much incentive to work hard these days.

the pnly thing I can say is what I did earlier is that the likes of you (and me because Im in the same boat) will be better off in the long run.

lovetowinacar

AimeesMum wrote: »

Why should we punish parents who go out to work to provide for their kids than claiming JSA or IS? I work full time and NEED the childcare element of childcare otherwise I wouldn't be able to work. I would be earning less than I was spending on childcare and rent. And I earn a good wage.

Surely it's not working parents fault that nurseries are charging through the roof. It won't bring the costs down much. Tax credits went down by 10% this year and my nursery fees increased! I claim £1000 a month in tax credits. If they reduce the childcare element anymore then I will simply need to leave work because I couldn't afford all the bills. Then I will be claiming well over £1000 a month in benefits and paying next to nothing tax. You tell me where the logic is in that?

You say you claim £1000 in tax credits therefore you are claiming more than you pay in tax? Where is the logic for the country in you working only for you to pay less tax than you claim in benefits. When I had my children we did not receive money to pay for childcare if we decided to work, we either paid the childcare costs ourselves, had family to help with childcare (doesn't cost the country anything) or in my case friends would help each other with reciprical childcare. Others would work evenings/weekends so childcare not needed. Others would stay home and bring up their own children. The trend now appears to be for expensive nurseries paid for by the taxpayer via childcare tax credits. Nowadays it appears everyone thinks someone else should pay. We did manage in the years prior to childcare tax credits.

Another thought since you husband/partner is not working then why do you need to claim childcare tax credits at all? I realise he gets IB and you state he is looking for a job but often if one adult in the household is at home then they look after the child/children rather than expecting tax credits to pay for expensive childcare?

Amanda65

Hi all

Just stumbled across this thread and thought I would add my two penneth

OH was made redundant in April and is currently setting up his own consultancy business as well as applying for jobs and we'll see what happens. I work a 30 hour week and we have three children - one at uni, one due to go in September and a 15 year old. We have no savings behind us as we chose to educate the children privately from aged 11 (don't flame me for this - our choice and we've made sacrifices to make it work).

I phoned Tax credits and was told that we would probably receive the princely sum of £10.29 per week (obviously no childcare element due to children's ages :rotfl:). We have decided not to claim as (hopefully) within the next couple of months OH will be back at work and then we'll have to pay it back as we will be over the limit for this tax year - it just seems like far too much hassle.

Cannot believe that some tax credits are over £1k per month :eek:. When mine were little I worked part-time and was lucky enough to have my Mum on hand to help out but we were very poor - we just accepted though that we had chosen to have our children and therefore financially it was down to us to make the books balance somehow

janninew

melly1980 wrote: »

the pnly thing I can say is what I did earlier is that the likes of you (and me because Im in the same boat) will be better off in the long run.

There is also the pride in working and providing for your family. I'm exhausted at the weekend, but I do feel a sense of achievement! At least when my children (and your children) grow up and leave home we won't suddenly start to panic about the loss in benefits, we will reap the rewards later on in life.

melly1980

lovetowinacar wrote: »

. We did manage in the years prior to childcare tax credits.

?

those credits were there in different forms. I didnt realise it until it was point it out on here. Then the other day when clearing some rubbish out of the attic i stumbled on a P60 (or whatever number it is) from before 02 and there it was on there. You just got it automatically without having to apply for it.

AimeesMum_2

Yes I do claim more than I pay in tax but think of the long term benefit. I am paying £550 a month tax, claiming £1000 but obviously the childcare pay tax on the money they recieve from me too. I am also keeping people in a job, paying my own rent, council tax. In a few years time because I haven't had a large career gap I expect my wages to be relatively good (above 30k) and will be claiming no childcare, paying a relatively large sum of tax every month and very little CTC.

But if they stop childcare element, then I will be claiming IS, housing benefit, CTC, council tax benefit for goodness knows how long and I won't be contributing anywhere near the amount that I could be in the future.

lovetowinacar

Amanda65 wrote: »

Hi all

Just stumbled across this thread and thought I would add my two penneth

OH was made redundant in April and is currently setting up his own consultancy business as well as applying for jobs and we'll see what happens. I work a 30 hour week and we have three children - one at uni, one due to go in September and a 15 year old. We have no savings behind us as we chose to educate the children privately from aged 11 (don't flame me for this - our choice and we've made sacrifices to make it work).

I phoned Tax credits and was told that we would probably receive the princely sum of £10.29 per week (obviously no childcare element due to children's ages :rotfl:). We have decided not to claim as (hopefully) within the next couple of months OH will be back at work and then we'll have to pay it back as we will be over the limit for this tax year - it just seems like far too much hassle.

Cannot believe that some tax credits are over £1k per month :eek:. When mine were little I worked part-time and was lucky enough to have my Mum on hand to help out but we were very poor - we just accepted though that we had chosen to have our children and therefore financially it was down to us to make the books balance somehow

Similar situation to me; we also decided to have children and agree down to husband and I to balance books and not expect tax credits to pay for childcare - I wonder how much the country pays out in childcare tax credits to people working and paying a pittance in tax.

lovetowinacar

AimeesMum wrote: »

Yes I do claim more than I pay in tax but think of the long term benefit. I am paying £550 a month tax, claiming £1000 but obviously the childcare pay tax on the money they recieve from me too. I am also keeping people in a job, paying my own rent, council tax. In a few years time because I haven't had a large career gap I expect my wages to be relatively good (above 30k) and will be claiming no childcare, paying a relatively large sum of tax every month and very little CTC.

But if they stop childcare element, then I will be claiming IS, housing benefit, CTC, council tax benefit for goodness knows how long and I won't be contributing anywhere near the amount that I could be in the future.

So basically if the taxpayer don't pay for your childcare then you are saying you will give up work and apply for income support? :eek: What about the partner? Cannot he help with chilcare (free?), I appreciate you state he is looking for a job and on IB but why do you feel that taxpayers should pay?