tax credit questions please

Euphoria1z

Hi

I have some questions to ask on behalf of a family member. (married couple, husband works full time 37 hrs a week, earns £10k a year) wife looks after 3 kids under 16 and one baby on the way)...wife currently gets child tax credit and child benefit of aprox £8.5k a year, husband gets aprox £3k a year working tax credits.....they would like to know the following

1- to increase child tax credit would the husband have to earn more or earn less than he currently earns?

2- to increase working tax credit would he have to earn more or less than hes currently earning?

3- to get more working tax and child tax credits, would the husband have to work more than 37 hours a week or less?

4- if the guy looses his job (aparantly hes heard he may get made redundant) then as he has zero income, how will this affect his child tax credit?> will this increase or does he need a job to get child tax credit> ? (im assuming working tax credit is only if your working so he wil loose this?)

would appreciate detailed answers so i can explain to them, as im not sure myself

Thanks

carebear13

there is a 5th option- look for a better paid job and then he can support his family properly rather than looking for more from the tax payer. i find it incredible that he is on such a poor wage but are having another child.
as a general rule of thumb- earn more, claim less.

comes to something when you get more in benefits than you earn- no wonder the economy is in such a state.

zagfles

Euphoria1z wrote: »

Hi

I have some questions to ask on behalf of a family member. (married couple, husband works full time 37 hrs a week, earns £10k a year)

That's under the NMW. Is he self employed or under 21?

wife looks after 3 kids under 16 and one baby on the way)...wife currently gets child tax credit and child benefit of aprox £8.5k a year, husband gets aprox £3k a year working tax credits.....they would like to know the following

1- to increase child tax credit would the husband have to earn more or earn less than he currently earns?

They're already getting max CTC (ie no reduction due to income). They'll get more when the new baby is born (about £3400 inc child ben)

2- to increase working tax credit would he have to earn more or less than hes currently earning?

Less. But if his hours go below 30 he'll lose the 30h element and if below 24 he'll lose WTC completely.

3- to get more working tax and child tax credits, would the husband have to work more than 37 hours a week or less?

Hours make no difference once over 30, just income.

4- if the guy looses his job (aparantly hes heard he may get made redundant) then as he has zero income, how will this affect his child tax credit?> will this increase or does he need a job to get child tax credit> ? (im assuming working tax credit is only if your working so he wil loose this?)

He'll lose WTC (after 4 weeks), CTC will be unaffected. So less in total. He should get JSA and possibly housing benefit/mortgage support (after a waiting period I think)/council tax benefit. This depends on savings etc. [/QUOTE]

would appreciate detailed answers so i can explain to them, as im not sure myself

Thanks

Detailed enough?

princessdon

How come he earns under min wage?

And why have so many children when you can't afford them?

Zagfles does this mean they will get approx £15K in benefits (tax free each year on top of a full time wage? That can't be right surely??

Euphoria1z

zagfles wrote: »

Detailed enough?

yes, thanks.

midnight_express

Yet another example of why breeders benefits should be abolished.

zagfles

princessdon wrote: »

How come he earns under min wage?

And why have so many children when you can't afford them?

Zagfles does this mean they will get approx £15K in benefits (tax free each year on top of a full time wage? That can't be right surely??

No it's too low, should be about £17600 after the baby is born!

Should be about £14200 in tax credits and child ben now, the OP said £8.5k was CTC and child ben but that isn't right for 3 kids, it'll be just the CTC. Child ben is another £2449.

princessdon

Freakin Nora am speechless

Euphoria1z

princessdon wrote: »

How come he earns under min wage?

And why have so many children when you can't afford them?

Dont know, i guess coz no one wants to pay him any more than minimum wage as hes not skilled or qualified or experienced in anything.

as for the kids, maybe hes never heard of contraception? i dont know, im just trying to get some information for him!!!

Anyways, can i clarify that if hes no longer working (he gets made redundant say) he will definately still get paid his child tax credit as well as his child benefit, the same amount or perhaps even more but no less? and he only looses his working tax credit which he can replace with job seekers allowance?> Is this correct?

Icequeen99

Euphoria1z wrote: »

Dont know, i guess coz no one wants to pay him any more than minimum wage as hes not skilled or qualified or experienced in anything.

as for the kids, maybe hes never heard of contraception? i dont know, im just trying to get some information for him!!!

Anyways, can i clarify that if hes no longer working (he gets made redundant say) he will definately still get paid his child tax credit as well as his child benefit, the same amount or perhaps even more but no less? and he only looses his working tax credit which he can replace with job seekers allowance?> Is this correct?

But in most cases the law requires that the person be paid at least NMW, unless he is under a certain age. It isn't negotiable because of his skills or experience. If he isn;t getting it then he needs to challenge that.

Yes, what you say is correct, they will get the same CTC (well more if there is another child), lose WTC and he will have to claim JSA.

IQ

midnight_express

Oh and don't forget the housing benefit and council tax benefit!