Maternity Pay & Tax Credits.

Ann90

Hiya...In need of some advice.

I'm due to go on maternity leave in july, i currently work full time as does my partner. I will only receive SMP £135 per week and am trying to get some information as to how much tax credits i will receive when my baby is born? I've spoke to tax credits but they won't even give me a rough idea due to it being the new tax year it applies to. My partner works 40 hours per week and is on minimum wage...is anybody already in this situation and can give me some rough figures?

Thanks in advance.

embob74

I'm not sure how much it will change when UC comes in but I do know that when assessing your income tax credits should deduct £100 per week for each week you receive SMP. So you will be classed as only earning £35 per week. Multiply by the number of weeks you will be receiving SMP in that tax year (39 weeks?) add the gross income you earned from April to July 2013 and the total gross income your partner received and you have your household income figures that you can use to give you a rough indication of how much you could receive.
I know lots of people who said they did quite well financially when on maternity leave. Bear in mind though that if you will require childcare to return to work you should book it now (it's in great demand) and you may need to have a month's fees in advance. And when you return to work you will be crippled by childcare fees as you are part of a couple.
Cogratulations x

embob74

Forgot to add that they assess you on previous year's income so you may be classed as not entitled to anything, you can ask to be assessed on current year income but this carries a risk of receiving an overpayment if you don't inform them of every change.

Caz3121

what is your full time salary?
you need to look at the total of

partners salary
your salary from April to July
SMP from July (less £100 per week)

then this will give you a rough guide
http://www.hmrc.gov.uk/taxcredits/people-advise-others/entitlement-tables/work-and-child/work-no-childcosts.htm
this is based in the 2012-13 payments and could change for 2013-14