SMP Redundancy and Working tax credits

racheal244

Hi

I dont know if anyone can help but please do? On Monday 10/9 I started my SMP after been employed for 3 years, but today have been offered redundancy by my employers and I need to know if I take this will I still be able to claim working tax credits. I have been on the phone to tax credits and they have said no however browsing this forum people have said different. Is there an official website that states this so that I can read it out to tax credits?

Thanks

princessdon

Are you still working? Ie does your redundancy take place at the end of the Mat Leave or is it effective from now. If they are paying this to you, but you are not employed I am not sure you can claim WTC.

Also is there anyone else in the household that works

racheal244

I rang tax credits back and spoke to a supervisor who said I would still be able to claim WTC. I am going to citizens advice tomorrow to get something in writing either way. If I took the redundancy it would be effective from next week so at the begining of smp.
Thanks for your help.
My partner has left me he is paying child support however I have a mortgage on the home so cannot claim any housing benefit so the working tax credits are important to me.

princessdon

Are they paying you weekly until it runs out or is this a lump sum?

I genuinely don't know how it works but if it is a lump sum and you are technically not employed then if you claimed Income Support once Little One is here, you'd get the interest on your mortgage paid, council tax paid etc.

I wish you well for your impending bundle of joy.

pmlindyloo

As far as I am aware if you are on SMP and are offered redundancy then you are still entitled to the SMP.

So if you are on SMP then you would still be entitled to WTC until the end of your SMP.


However, I believe that the rules regarding maternity leave and the offer of redundancy are linked with your 'due date' so best to get it checked out with CAB.


They will also be able to help you with benefits and your mortgage situation.


Is the house in joint names? Have you come to an agreement with your ex about the house?

pmlindyloo

As OP has no other income other than her SMP is this a case where she can put in a claim for IS, get a nil award but will be eligible for SMI after 13 weeks?

I know you can do this if you are on SSP and have no other income so wondered if this was the same for SMP.


Anyone?

princessdon

I'd hope so - it's not a nice situation to be in, redundant and left alone with a mortgage.

That's why I raised IS - I don't know what the rules are

FBaby

You say they have offered. Does it mean voluntary? Are you absolutely certain you want to take it? I know the prospect of going back to work as things stand must seem impossible but depending on your work and condition and all other factors helping your job might be the safest option for you. whatever you do how all goes well with you.

pmlindyloo

princessdon wrote: »

I'd hope so - it's not a nice situation to be in, redundant and left alone with a mortgage.

That's why I raised IS - I don't know what the rules are

Sorry, I though you were talking about IS when she has had the babe.

I'm talking about while she's on SMP she can apply for IS, get a nil award but still be eligible for SMI.

I also hope so.

If she was in a rented property she sould be eligible for HB and CTB whilst she is on SMP - seems only resonable to be eligible for SMI in this situation. Also means she would start the 13 weeks waiting period sooner than later.

racheal244

Morning everyone

Thanks very much for your replies. They have offered me redundancy only if I want it but it will not be voluntary I think given my situation they are trying to do me a favour but they did not know I had a mortgage. I have been to citizens advice this morning who have said if I am made redundant and my SMP is paid monthly up until my smp runs out then I can still claim them, however if they pay my smp as a lump sum up front them I am not entiled to wtc.

I am in abit of a tough situation but I think given all options I would be better off staying employed and not accepting redundancy. If I didnt have the mortgage I could get all SMP upfront as well as a small amount of redundancy and claim IS Tax credits, housing benefit etc. However I have always worked, wanted to own my home so my children would have somewhere to call home and paid my own way with some (little) help. I guess sometimes it doesnt do you any favours.

shedboy94

If you are made redundant, the WTC would end 4 weeks after the date of redundancy - it has nothing to do with SMP/L