Working Tax Credits and Return to Work Credits for Self Employed confusion

eggyf7

Hi hoping some kind soul can help me here.

Basically was on income based support group of ESA for years and have returned to work as a self employed Electrician and signed off benefits.

I have been told i am entitled to Return to work credits for 52 weeks which is great but my question is regarding the RTWC3JP form which asks about income, expenses, profit, trading etc. Now since i have just started and i am not running a business as such just sub contracting myself i have absolutely no idea what i will earn/expenses and hours will work etc as i have no previous years to base projections on! What should i write?

I also enquired about Working Tax Credits(can you even get both?) and think i may be entitled as i expect but cannot guarantee to work 40hours per week when i have work on and had a previous tax year earning of 0 but as stated before i have no idea about earnings in my first tax year as i have just started out!

I feel nervous about struggling self employed as it is without this minefield, i dont think things are clearly enough set out but unfortunately the current job market has forced me into temporary contract work.

mikey_bach

Have a read of this thread gives excellent advice


https://forums.moneysavingexpert.com/discussion/3683891

Notmyrealname

eggyf7 wrote: »

I have been told i am entitled to Return to work credits for 52 weeks which is great but my question is regarding the RTWC3JP form which asks about income, expenses, profit, trading etc. Now since i have just started and i am not running a business as such just sub contracting myself i have absolutely no idea what i will earn/expenses and hours will work etc as i have no previous years to base projections on! What should i write?

I also enquired about Working Tax Credits(can you even get both?) and think i may be entitled as i expect but cannot guarantee to work 40hours per week when i have work on and had a previous tax year earning of 0 but as stated before i have no idea about earnings in my first tax year as i have just started out!

I feel nervous about struggling self employed as it is without this minefield, i dont think things are clearly enough set out but unfortunately the current job market has forced me into temporary contract work.

How it worked for me...

Originally I had to submit a business plan and get it certified by business link. In that business plan you will have worked out a projected income. They usually have no basis in reality but it is a starting point.

I had to complete a form for each week's trading retrospectively and send them in periodically (3 monthly comes to mind). There was no guess work required. My future eligibility was then worked out from that.

RTWC is not taken into account when calculating entitlement to income related benefits.