Tax credits advice

alwaysbrassic

Hi
I wondered if anyone could offer advice?
My husband and I currently earn approx £38,000 between us.
However my husband has just been told he will have to take a 30percent payout which will leave us just above £30,000 per year.
Am I right in thinking that the family element of tax credit which we receive (just over £40 per month) will end this year?ive looked on the hmrc website and it just says new information with be available then, but I'm sure I've read somewhere that the income threshold goes to 30k.
Sorry for long winded post. I've done my sums and what we are facing is a bit scary. We by no means live extravagantly, we haven't been on holiday for 4 year treats, and my husbands car is held together by rust. Every penny we have us spent on debts from my 2 recent spells of maternity leave and a recent house move.
Thanks in advance.

zagfles

There is no fixed upper threshold for tax credits at all, and nor will there be next year. Don't believe the bull**** you read in the papers.

Whether you'll get any or not depends on how many children you have.

If just 1 then you won't get anything next year, if 2 probably not next year but you might get some the year after if still on £30k.

If 3 or more then you'll definitely get tax credits next year and onwards on around £30k.

shedboy94

zagfles wrote: »

There is no fixed upper threshold for tax credits at all, and nor will there be next year. Don't believe the bull**** you read in the papers.

Whether you'll get any or not depends on how many children you have.

If just 1 then you won't get anything next year, if 2 probably not next year but you might get some the year after if still on £30k.

If 3 or more then you'll definitely get tax credits next year and onwards on around £30k.

Not strictly true, it also depends on other factors such as whether you pay childcare.

zagfles

shedboy94 wrote: »

Not strictly true, it also depends on other factors such as whether you pay childcare.

Yes, sorry should have added the usual provisos of "assuming no childcare/disabilities etc".

alwaysbrassic

Looks like we won't then as my eldest starts school
In September and my youngest will receive his nursery funding. I will budget for the worst then. Thanks for your advice.