Complete novice seeking advice regards entitlements

Bones1978

I am in a situation alien to me a little.

Up until now, both myself and my wife have always worked. However coming up to the end of my wife's maternity leave for our third and last child, we found that childcare costs made her returning to work prohibitive.

Full time nursery costs negate any benefit of her working for the two of the three children not in school.

We privately rent our house, and the only benefits we claim are for the children.

I'm on just under 19k per year, and prior to her leaving work my wife was on 14k - Her notice period has just ended and so come the end of this month, all we will have is my wage and the child benefit.

I hear a lot about benefits being cut and stopped but I have no clue what we may or may not be entitled to, would anyone have any pointers for me? Baring in mind my wife will not be actively seeking a new job until our youngest child is of school age, I can't imagine we'll be entitled to anything extra.

Any advice really welcomed!

MikeR71

Hi,
It sounds to me that you are entitled to childcare element of the working tax credit if you pay nursery fees. This is based on your salary and the fees you pay for the number of children. My wife and I were in a similar situation and although our combined salary is higher than yours, we still received a small weekly rebate. I'd guess your rebate should be much higher.
My wife's salary now goes entirely on the nursery fees but we figured it is best for her to work in order to keep her in the loop. But this is a personal choice and depends on your many circumstances including financial. Obviously if you lose out financially by your wife working it's doesn't make sense to continue.

You need to ring HMRC and ask them for a form. They need your name, address and NI number. They will then send you a form. Estimate your income and nursery fees based on last year's amounts and send them back. Make sure to ask for backdating which they do for 3 months from the date they receive your application.

Good luck.

Horseunderwater

You should be getting childrens tax credit for 3 children as the cutoff point for this year is approx £32.2k worth of income. So although you may not have technically been due anything based on income for last year - 2011/12, you could ring them and tell them the revised income for this year and how many weeks she has been on maternity leave etc. I think you can deduct upto 39 weeks @ £100/week off her gross income that may bring it down further and if you pay into a pension deducted at source that also lowers it down. So worth adding it all up - what she has earned to date for year and if she has left her job now(P45 held). Never hurts to ask, but I would slightly over estimate total so that you do not get an overpayment.

rogerblack

MissPiggy50 wrote: »

the new sprog wont not make it woth her goin bak to work, youll get extra tax credits and not extra childcarer help. The govenment shouldnt be takin tax off anyone wiv kids, is a dissgrace. at least you shuld get about nearly 200 quid fro the 3 kids and your workpay, gud luck

I find it amusing to contrast the grammar of this poster when they have their stupid hat on, to when they don't -
in post http://forums.moneysavingexpert.com/showpost.php?p=57117489&postcount=40

Meaning is expressed in how you say something, not just what you say. So punctuation is very important.

RAS

head over to https://www.turn2us.org.uk and check out your situation.

Anyway your missus can do a small part-time job while you keep an eye on the kids? Every £1000 she earns is like a £1600 pay rise for you.

princessdon

You should get tax credits on that income. Her maternity pay has a discount/allowance of £3900 so remove that whilst you do the figures.