help! don't want to get into trouble

hheadcase

Hi I am taking voluntary redundancy from work in August to start university in September :beer: . I am married with 2 kids, my husband earns £13,000pa - what do I tell the tax credit peeps? Do I just say I have finished work to go to uni or do I tell them I have taken vol redundancy?

My redundancy pay will be paying my mortgage but due to fixed rate I can only overpay on a monthly basis - can't pay off a lump sum as will be penalised. How much savings are you allowed before claiming any type of tax credits? I need help desperately :eek: . Hx

CIS

Just tell them you have left work through redunadancy, as long as your husband is working over 16hrs p/w (a certainy on £13K) then you still receive tax credits.

Tax credits doesnt have any capital limits other than that any interest earned on your savings of over £300 p/a is classed as income and needs to be declared as such.

hheadcase

Many thanks for that :beer:

Sarahsaver

THought your savings would affect it though!

Elle00

Hi hun, I believe your savings will effect a claim for Tax Credits but am not sure what the threshold is. Whilst I've always found entitledto absolutely rubbish, the calculator on the Tax Credits site to calculate just Tax Credits entitlements has worked for me in the past. Click on the following link and enter all of your details. If you can't work out anything ahead of your redundancy date, then do it as if you became redundant recently so at least you will see if you qualify even if the amount will be slightly out as there will be less of the year left when you do stop work. Hope that makes sense and helps:

http://www.taxcredits.inlandrevenue.gov.uk/Qualify/DIQHousehold.aspx

Failing that, I have always found the Tax Credits people to be the politest and most helpful of all the benefits agencies so give them a ring (telephone number will be on the site that link is for).

Sarahsaver

You gotta tell them its not fair on the rest of us;)

nats3006

best to just tell them the truth!!!

jasper12

If you receive redundancy in excess of 30k it has to be declared as income, no matter what you are using it for. Apart from that there will be no effect on your claim - only, as mentioned previously, if the interest you receive on your savings is in excess of £300 pa.