MSE News: Families must prepare for tax credits cut

Murgatroyd21

maryannep0151 wrote: »

from 2012/13 my annual income after tax will be £13,879.47 and before tax it will be £16,936.92 I started my maternity leave on the 9th September 2011 and received 8 weeks full pay then went to smp and I am returning to work on 8th May 2012. My nursery fees are £145 a week as she needs to go to nursery full time. I do not know what my yearly earnings where for the 11/12 period but so far it is £13,516.75 i receive £514.92 smp a month which is a lot less than my mortgage hence returning to work early.
Thanks

Adjusting for maternity pay and adding your partners £17k income comes to about £87pw.

sarahg1969

bestpud wrote: »

I do believe there is many families who choose to work the minimum hours because they've had their money made up handsomely with tax credits and other benefits.

I do wonder how many of these families who have been working for 16 hours a week have actually been looking for full-time work over the last few years, and how many have been happy to work just 16 hours a week, and are only now panicking about having to find more hours?

Dunroamin

jellyhead wrote: »

I see what you're saying, but rather than laughing at full time workers I suspect that most part time workers have taken any job they could find rather than not work at all.

My brother works part time in the hope of getting more hours. He doesn't get tax credits because he's childless and works less than 30 hours - but for him the part time job is better than not working. He gets a reference for his CV and has the chance of extra hours of they arise. I reckon most part time workers are hoping for the same.

Your brother's situation is fair enough but I think that lots of people have been happy to live on the 16 hours between them and the tax credits, rather than look for more hours.

\there's also the question of people who've set called "businesses" like selling on Ebay, so that they can stop signing on and live on the tax credits, often when the Work Scheme comes into view!

jellyhead

sarahg1969 wrote: »

I do wonder how many of these families who have been working for 16 hours a week have actually been looking for full-time work over the last few years, and how many have been happy to work just 16 hours a week, and are only now panicking about having to find more hours?

Who knows. I know at least one family where they wouldn't look for extra hours unless forced to, and do the bare minimum to get tax credits.

Then again there are people like the man who works with my brother who wants full time work but can't find it yet. The shop my brother works in will only commit to 20 hours a week contracts, and they say they don't need many staff outside of the 9-1 busy period. Most of the staff there are actively jobhunting but there's not a lot of full time work around at the moment.

If my brother's colleague didn't have a working wife they'd be one of those people who can't get 24 hours - but it's not for lack of trying, and at least they are getting off their bottoms and doing some work.

Dunroamin

jellyhead wrote: »

If my brother's colleague didn't have a working wife they'd be one of those people who can't get 24 hours - but it's not for lack of trying, and at least they are getting off their bottoms and doing some work.

But if she wasn't working there would be two people looking for 4 hours' work, which is only a morning or two cleaning, an afternoon or two gardening, a session working behind a bar, a seesion in a care home or 4 hours selling Avon etc.

I cannot believe that the majority of healthy couples couldn't find an addition al 4 hours' work between them if they really tried (or even 8 hours for those only doing 16).

jellyhead

I don't know the rules, are you allowed to class selling Avon as X amount of hours work? Do you have to make a profit of X amount, or can you make a loss like I did as an Avon rep?

I am just wondering if my brother fancies 10 hours per week as an avon rep

gerbiegirl

My hubby is on £15,000,i am not working,our only daughter is 18 in may,if she goes onto college will we still be entitled to FC? Aslo am i entitled to unemployment benefit? i am not married,and have been a housewife for 20years,advice please.

bexxie90

gerbiegirl wrote: »

My hubby is on £15,000,i am not working,our only daughter is 18 in may,if she goes onto college will we still be entitled to FC? Aslo am i entitled to unemployment benefit? i am not married,and have been a housewife for 20years,advice please.

yes get a job

bloomingflower

gerbiegirl wrote: »

My hubby is on £15,000,i am not working,our only daughter is 18 in may,if she goes onto college will we still be entitled to FC? Aslo am i entitled to unemployment benefit? i am not married,and have been a housewife for 20years,advice please.

You can get Child Tax Credit for your child up to their 20th birthday, if they're in education that counts for Child Tax Credit.(this use to be called Family Credit)

>>http://www.hmrc.gov.uk/taxcredits/keep-up-to-date/changes-affect/family-change/child-16.htm#1

Give HMRC a ring and tell them you have a daughter who will be starting college and they will extend your child tax credit payments. You also need to tell them how long she will be attending college i.e one or two yrs etc ..and when she will be finishing.
(I also have a daughter who is 17 and starts college in September of this year)

I forgot to add that I think you would be eligible for JSA (Job Seekers Allowance),if you are actively seeking full time work now that your daughter is much older. However, I think you may be eligible for Working Tax Credit based on what your husband is earning per year and he works 40 hours a week. (After April your joint working hours (if you both work) would need to be at least 24 and if only one of you works that person must be working 24 hrs per week to qualify for WTC) >>http://www.hmrc.gov.uk/taxcreditsbudget/index.htm

Working Tax credit is also issued by the same department as Child Tax Credit.
If you are not already receiving WTC then do give them a ring so that they can assess your situation..

cakes1988

hi can anyone help my other half works 40hrs pw i work 16hrs pw we have a 4 year old child no child care to pay and im sure we earn between us 22/23k a year we get 26.00 a week in tax credit a week at the moment will it go down or worse stop?