Self-employment - WTC terminated due to lack of turnover

Hammyman

KimYeovil wrote: »

But you are demanding credits subsidise your business. You have no right to expect indefinite subsidy. Business angels, your capital, your hard work for next to nothing - that is how businesses are born and grow. If you don't have the capital or don't want to tighten the strings then move to a communist country.

Or alternatively go back on the dole where you can get exactly the same money but paid as a different name, i.e JSA instead of WTC.

Hammyman

HappyMJ wrote: »

It is expected that you charge the client at least minimum wages...i.e £5.93 per hour. If you need 30 hours to get WTC'S then your turnover should be £5.93*30hours*52weeks = £9250 per year. You could have expenses which reduce the profit to NIL but your turnover matches the hours claimed for.

I think the turnover is the issue. I've made a trading loss on paper the first year and not even £300 profit the following year. However my turnover is well into 5 figures and I'm only putting down I'm working 16-20hrs a week although its been some time since it was that low.

Hammyman

saving-mad wrote: »

When i have a child for 1 hour at either end of the day for 2.70 a hour, give tea and breakfast its not cost effective for me but there are no other childminders locally (we live in a very outlying area)
without my service many parents would be unable to work.

Why are you not charging extra for the meals? The nursery my sons went to did. And you should be able to make a profit on the meals seeing as my mate who has a cafe can buy in the stuff to do a full breakfast at under £1 cost to him.

staffsuk

KimYeovil wrote: »

But you are demanding credits subsidise your business. You have no right to expect indefinite subsidy. Business angels, your capital, your hard work for next to nothing - that is how businesses are born and grow. If you don't have the capital or don't want to tighten the strings then move to a communist country.

Could you point out exactly where I said I 'expect indefinite subsidy' please?

Could you also tell me what WTC is for exactly?

Could you also tell me if I am not eligible as a first year trader in a new business - then who exactly is?

Regards tightening my strings, my electricity bill works out at £15 month, and my gas at £13.50 (I heat one room and the rest of the house freezes through the winter). I drive a 12 year old car less than 3.5k / year, I walk or cycle most places. I have not had a holiday in over 6 years, and my social expenses don't exist. So could you tell me how I can further tighten my strings please?

As I have said this is my first year, and to turn a profit is a positive step is it not?

I suggest your comments are rude and unhelpful and said with little insight into ones circumstances.

I would remind you and other posters of Martins sticky at the head of this forum: https://forums.moneysavingexpert.com/discussion/365935

This forum is to help those seeking benefits they are entitled to, and NOT for you to pass judgement on them.

KimYeovil: your posts have been reported to abuse team.

Sixer

MissMoneypenny wrote: »

For the new Universal Credits welfare claims: minimum wage is the minimum you would earn if you worked for someone else, therefore your 60 hours of work per week will be multiplied by at least minimum wage per hour, to give your weekly wage. This is the income that your welfare claim will be based on. They common practice of using accountants to lower income and claim higher welfare payments, will stop.

For paying less income tax, allowable expenses will still be allowed.

I don't think it will be quite that simple. There won't be any hours thresholds with UC - so no 16 or 24 hours minimum or premium for 30 hours as now. So quite how they are going to assume a notional minimum of NMW for self-employed people I'm not sure. Claimants will presumably have to self-declare hours for that?

Having said that, I'm not in favour of the welfare system supporting business start-ups. It confuses the issue and it also creates hostile public opinion (as we see in all threads in the subject on here). Happy for the government to find ways to support self employment, micro or small business start-ups, but not via the welfare system.

DaisyFlower

saving-mad wrote: »

yes sadly i am one of the innocent ones:(, we have had some tax credits for a long time, my expenses as a childminder outweigh my income but i work 60 hours a week, so now on top of looking after 3 small children all day, having 2 children of my own with additional needs now i have to go through a review.

I am, not too worried as i know its just to weed out the ones that shouldn't be claiming.

Innocent - depends on your interpretation of the word. It looks like you have been taking from the system for a long time and they are finally wising up as they should have done some time ago.

Tax credits are supposed to be to help people on low incomes, not those who get clever with accountants and report the bare minimum in order to gain other tax payers money.

The sooner the new changes come in the better, especially where they will not accept s/e claims where people claim to earn less than the NMW

staffsuk

Hammyman wrote: »

Or alternatively go back on the dole where you can get exactly the same money but paid as a different name, i.e JSA instead of WTC.

Doesn't JSA pay more than WTC for a single person over 25 with no children? That and would I be entitled to full CTB too?

That being the case I would be more of a burden on tax payer. Interesting that you think that would be the better option than me striving to improve my business.

Hammyman

I would suspect that is probably the case. Shame the knee jerkers can't see that.

Interesting that you think that would be the better option than me striving to improve my business.

I think you got the wrong end of the stick. That was aimed at the person complaining and making the comment about infinite subsidy to point out that if you folded the business and went on the dole, you'd get the same but under different names.

staffsuk

Hammyman wrote: »

I think you got the wrong end of the stick. That was aimed at the person complaining and making the comment about infinite subsidy to point out that if you folded the business and went on the dole, you'd get the same but under different names.

My misunderstanding there, apologies & thanks

Arg

KimYeovil wrote: »

But you are demanding credits subsidise your business. You have no right to expect indefinite subsidy. Business angels, your capital, your hard work for next to nothing - that is how businesses are born and grow. If you don't have the capital or don't want to tighten the strings then move to a communist country.

If you want to !!!!! about it then there are other forums here for that.