Childcare tax credits and student query

tkwad

My partner has recently become self employed (after redundancy) he needs help with the admin side of his business (and also some hands on help) he would like me to work for him 16 hours so I qualify for help with childcare. I am starting college next week doing a business course but its part time, I do however use the free childcare hours (15) towards this course. If I work the 16 hours will I qualify for help with childcare? we currently get wtc and ctc...


As far as I am aware tax credits don't need to know about my student loan income so I haven't told them, they may however query why I need childcare help when I am entitled to 15 hours...Also as my partner would be paying me wages but in effect its coming out of any profit he makes this wouldn't make a difference to our household income? in all honesty if work is bad he wont be able to pay me at all....

tkwad

Hi again blondebubbles, thanks for the reply. My partner and I have spoke previously to the new employer helpline and if he pays me 16 hours at NMW I will be under the threshold for NI and he doesn't need to register for PAYE (they say he can but is not necessary at that rate) He works a minimum of 30 hours per week
Thanks for advice about the 15 free hours, that's a great relief....
Our income is pure estimates at moment but profit will be lucky to be above 6K for the year and he had earned around 8K from previous PAYE before being made redundant. Luckily we qualified for WTC and CTC (although only just on WTC)

tkwad

perhaps it will be easier just to pay the day cost of nursery enabling me to help him at work, if he pays me NMW our income will go up and we will loose WTC, its such a difficult situation I cant help him as we have no family who can mind our child or I would hands down.

tkwad

Based on 16 hours a week we would go over that threshold

tkwad

You know that's the way I was trying to work it in my head, if he is paying me (and wages are an allowable expense for self assessment purposes) then theoretically his profit would go down, but if we estimated his profit to be 6K for the year and he is paying me every week that would be nearly 6K making his estimated profit near enough nil?