MSE News: Families must prepare for tax credits cut

jellyhead

Charityworker wrote: »

jellyhead wrote: »

Council tax benefit yes but housing benefit no as I have a mortgage which is a struggle to keep up with now. Oh well, I guess it will be the bailiffs for us. Thanks government.

Fingers crossed that your OH finds work before it comes to that

I don't know the rules for mortgage relief, but have you checked to see if you can get help with the interest? A friend of mine changed his mortgage to interest only - it's the only way he could keep his house.

zagfles

spartacusthe1st wrote: »

Hi,can anyone PLEASE help me work out our entitlement for this year??
Income 2011-2012 is 13000. And income for 2012-2013 wil be around 21000.

Two kids ages 2 and 5.no disabilities etc.

Any help much appreciated just want an idea really so I won't be too shocked :0)

About £151pw, assuming you work 30+ hours. It'll go down a lot in April 2013 because of increased income, but not this April because of the £10k disregard.

zagfles

Cleosmum wrote: »

If the amounts are changing then should a letter have been sent out by now? Not easy to budget if no-one is going to tell us how much we will be getting. I haven't had anything from them regarding a change and I won't be best pleased if they just change it. I am still trying to recover from the last change which saw me lose £50 pw without warning

There's a lot of scare stories doing the rounds - for a lot of people there'll be no change at all or even a small increase. Generally if you're getting MORE than £10.50pw now, and if you're not a couple working less than 24 hours, then you probably won't be affected. There are a few other changes like the 50+ element going and a disregard for income drops.

Spendless

jellyhead wrote: »

I know, the company car thing is daft - as if you'd spend thousands per year on a car if the company didn't provide one :eek: My husband cycled to work before they gave him a car :rotfl:

I'm not claiming poverty - the tax credits pay for swimming lessons rather than bread and milk - but the idea that people earning less than 30k would spend more than 5k on a car is mad, they'd have an old banger rather than a brand new car, surely.

You're not adding the list value of the car are you? You need to add the cash equivalent price on.

zagfles

jacqui82 wrote: »

Hiya, I wonder if anyone can help me here. Does anyone know how the change will effect me please! My partner is currently looking for work and reiceves no benefit but is in the system, he wasnt entitled to any extra cash when I was working as I was earning to much apparently with my wage+child tax credit+working tax credit combined.Currently I am on maternity leave until June 2012 and receive working tax credit and child tax credit plus my weekly wage minus 10%.The problem is the hours i used to work were 18 hours a week and I have no way of changing them unless I actually go back to work early I'm really not ready to go back as the little one is too little at the moment. If I stop getting working tax credit I will lose 70 pounds a week bringing our whole household income in at roughly 190 a week including child benefit.I just need to know how it will Affect us. If anyone can shed some light I would be grateful , thanks:)

Yes you'll lose WTC as a couple (usually) need to work 24 hours.

You might be able to claim housing benefit/council tax, and if your maternity drops to SMP your partner might be able to claim income based JSA.

jellyhead

Spendless wrote: »

You're not adding the list value of the car are you? You need to add the cash equivalent price on.

:rotfl:

No He just downgraded to a small diesel car, we really don't need a 7 seater for a family of 4! I think this one's valued at 4k-ish per year, I need to ask for the thingamibob.

He gets given a list of cars to choose from, brand new and none costing less than 18k. He can't choose the smallest due to being very tall.

zagfles

Charityworker wrote: »

I wish I had the second posters problem. We are a family of 4 on a COMBINED income of £5058 per year. Oldest daughter at college full time with a 4 hour a week job which pays £24 a week of which the bus fairs to and from college every week is £29, youngest daughter at school, husband seeking work. I have asked my employer to up my hours but its a charity so they cant. We have both been looking for work with more hours but have not been successful. I started making crafts with the view of starting a small business selling crafts but when I phoned WTC for some advice they said it was not a viable business. So we are now set to lose the £74 a week WTC which made it worth my while to work. I'm thinking maybe I should give up my job, sign on the dole and then be £10 a week better off than I would when working. Wheres the incentive to work in that? Before you all get on your high horses, I'm not actually going to give up my job but you can see my point.

Yes, unfortunately you're the classic "worst case scenario" which Labour have been highlighting - couple, 16 hours min wage, with a mortgage. You could well be better off on the dole.

Though as I said to you in another thread your partner could claim income based JSA, but it won't be much.

diceydeb

Thankyou Andrew b your post very helpfull. I work 22hrs and OH on dla and incapacity. I have not had a letter so I am asuming we will still get our WTC as before as my earnings only gone up around 800 pound on last years. At first I thought it had to be the disabled person working to get the disability element of WTC but I see we are in similar situation to you so we should be ok. Cheers.

SparklyH

Charityworker wrote: »

I started making crafts with the view of starting a small business selling crafts but when I phoned WTC for some advice they said it was not a viable business..

Charity worker - I was thinking of doing similar for our situation, (OH works 16 hours and is arty so trying to sell his work anyway)
What are the rules for going self employed and saying you're doing X hours per week, how does that work?

ntokmetz

"If you you have one child, the maximum income to be eligible will normally be £26,000 a year"

Does anyone know if this refers to combined income for both parents or whether it is £26000 income for each parent?

Many thanks! :-)