Tax credits and part time work question

generaloneill

I have been advised at Triage, that if I work under 22 hours a work, I am currently on Jobseekers allowance, that my partners Child Tax credits would be stopped.

I have 3 children, 5, 10 and 17. We are in receipt of chld tax credits and child benefit. Also obviously I am claiming Jobseekers allowance.

If I do take a 20 hour a week job, what happens to my partners claim for child credits, and if her money is stopped, can she claim anything to replace it?

I am aware, whatever I earn on part time work is also deducted from my JSA, after the first £5 a week even though travel to work will be £10 a day due to taking, bus then train.

Thanks for reading :-D just really keen to get back out working.

HappyMJ

generaloneill wrote: »

I have been advised at Triage, that if I work under 22 hours a work, I am currently on Jobseekers allowance, that my partners Tax credits would be stopped.

I have 3 children, 5, 10 and 17. We are in receipt of tax credits and child benefit. Also obviously I am claiming Jobseekers allowance.

If I do take a 20 hour a week job, what happens to my partners claim for Tax credits, and if her money is stopped, can she claim anything to replace it?

I am aware, whatever I earn on part time work is also deducted from my JSA, after the first £5 a week even though travel to work will be £10 a day due to taking, bus then train.

Thanks for reading :-D just really keen to get back out working.

It's not just your partners claim for tax credits...it's your claim.

You may in all probability be worse off financially by working a low number of hours at minimum wages but you will be in a much better position to improve your income by taking extra hours or getting a promotion. You won't get that by not working at all.

generaloneill

Facepalm, of course, joint claim, lol.

Im reading all the complex information and read something about this.

But the "first income threshold" at which the CTC begins to be withdrawn - by 41p for each £1 of income above the threshold - remains the same as in 2011-12, at an annual income of £15,860.

It makes no sense at all. :mad:

pmlindyloo

if you start working 20 hrs a week you will lose your JSA.

However, you and your partner will still be entitled to Child Tax credits.

Put your details into the calculator here:

http://www.moneysavingexpert.com/family/benefits-check for a estimate of your entitlements.

If you could increase your hours to 24 per week you would also be entitled to working tax credits. You can try the different scenarios out on the calculator.

Don't forget to inform tax credits of your change of circumstances!

HappyMJ

generaloneill wrote: »

Facepalm, of course, joint claim, lol.

Im reading all the complex information and read something about this.

But the "first income threshold" at which the CTC begins to be withdrawn - by 41p for each £1 of income above the threshold - remains the same as in 2011-12, at an annual income of £15,860.

It makes no sense at all. :mad:

Does your partner work? Your incomes are added together and once it exceeds the threshold then your tax credits are removed gradually....and the threshold for child tax credit only claims has been increased to £15,910 since April 2013. If you become entitled to working tax credits by working enough hours then the threshold is £6,420 but you get an extra £3,890 in tax credits per year.

What JSA are you claiming? A joint income based claim or a single contributions based claim. Sorry it's just the terminology you've used seems to imply the JSA is yours when it may not be and it may be joint as your tax credits claim is.

generaloneill

JSA and CTC are both joint claims.

Yeah, I see that 20 hours a week is over the JSA amount, so thats cool, cant wait to get off that.

HappyMJ

generaloneill wrote: »

JSA and CTC are both joint claims.

Yeah, I see that 20 hours a week is over the JSA amount, so thats cool, cant wait to get off that.

So you'll lose £112.55 per week in JSA and spend an extra £50 a week (assuming 4 hrs a day over 5 days) to earn £123.80 (assuming MW times 20) so yes you will be worse off each week by £38.75.