Will we need to wait until April....

sacha28

....to be able to apply for tax credits?

My partner and I moved to another county with our 2 1/2 year old 3 months ago. My partner was unable to find a job here before we moved so commutes to his previous job. In order to make this viable (fuel etc) he had to cut his hours from 37.5 to 24, losing approx £400 per month.

I'm not going to lie, we are struggling big time. I pay £200 per month for my son's nursery(with vouchers and only for 2 mornings per week) and my OH's fuel costs approx £120 per month. I've done the calculator and, as it's based on last years earnings, when we were both working full time and earning much more between us, we are entitled to zilch once April arrives, when the P60's have been issued and it's clear we no longer have as much coming in then I'm sure we will be entitled.

I don't really understand the tax credits system if I'm honest, I've never looked into it as we have always earned a good wage and I have known several couples over the past few years who have been slapped with an over-payment and have been left up the creek so I have always just left well alone. However, I think now is the time to see if we can get some help as we are barely keeping our heads above water at the moment

philphil1

I'm sure someone will be along with better advice but we were told we had to fill in the tax credits application using last years figures, then when the award notice arrives call them up again with the new figures for an amended award. They said that was the only way it could be done.

Caz3121

What was your total income for 13/14 and what do you predict the total income to be for 14/15
Do you work over 16 hours too? (you both need to be working over 16 hours for any help with childcare)

sacha28

blondebubbles wrote: »

How many hours do you both work per week now?

What was last years income and what do you expect it to be this year?

My dp works 24 hours (travels up Monday morning, works 12 hours, stays over, works 12 hours then travels back Tuesday night, just in case people were wondering how it's done!). I'm contracted to 26 hours, however, my work have been very good at giving me an extra day each week as we wouldn't survive on 26 hours per week. I am currently working 34.5 hours and am waiting to hear if my application for a permanent increase has been accepted.

Last years income for my partner was approx £18000 mine was approx £22000. This year I think he'll be lucky to hit £12500 and my earnings will be about £18000 so, as you can see we have lost quite a bit of money!

sacha28

blondebubbles wrote: »

On that information then no you wouldn't be eligible for any tax credits I'm afraid.

The limit for one child is normally £26,000.

It can increase to up to £41,000 depending on childcare costs but as your costs are covered by vouchers which you already get tax relief on then you cannot claim for these costs.

Even if you could, as your costs are quite low there wouldn't be any entitlement on an income of £30,500.

Wow so we're just thrown to the lions and just have to struggle?! No wonder people cheat the benefits system if this is how people are treated. I've never claimed a thing in my life and nor, by the looks of things, will I be any time soon.

notanewuser

sacha28 wrote: »

Wow so we're just thrown to the lions and just have to struggle?! No wonder people cheat the benefits system if this is how people are treated. I've never claimed a thing in my life and nor, by the looks of things, will I be any time soon.

Did you not make the choice to move?

Caz3121

sacha28 wrote: »

Last years income for my partner was approx £18000 mine was approx £22000. This year I think he'll be lucky to hit £12500 and my earnings will be about £18000 so, as you can see we have lost quite a bit of money!

You are over the threshold even with your lower income and the disregard
with a household income of £40k last year and £30,500 this year you will not qualify

sorry got my disregards muddled (multi-tasking)

sacha28

notanewuser wrote: »

Did you not make the choice to move?

Yeah thanks for that but things didn't exactly work out as we had planned, things out of our control have happened (mainly surrounding my employment) which is why we're struggling. Believe me, had we seen how things would be 3 months down the line then it wouldn't have happened.

Our childcare costs aren't very much as 2 mornings per week is all we can afford, childcare is a real struggle.

sacha28

blondebubbles wrote: »

No need to get annoyed at us, we don't make the rules.

As for help, you already get it through tax relief on your childcare vouchers.

Also are you not claim child benefit?

Sorry, please don't take it personally, I'm just shocked that even with an earnings drop of £10k per year (almost what my dp will earn in a whole year!) we won't get any help. It's a huge drop to just suck up but yes, as notanewuser clearly stated, it was our choice to move and that's the way it is.

pmlindyloo

A couple of options that I can think of:

1) Look on the different forums here and try to get your expenditure down to the minimum.

2) Work out different scenarios as regards your OH's work - could he get more hours and stay over (is this with friends?) for more than he's doing now - or does he cover child care whilst you're at work?

3) OH gets an evening/weekend job to boost up the income whilst he's looking for full time work nearer home.

The problem is when you are struggling financially there are only two options - increase your income or decrease your expenditure. Hopefully it won't be for ever.

sacha28

pmlindyloo wrote: »

A couple of options that I can think of:

1) Look on the different forums here and try to get your expenditure down to the minimum.

2) Work out different scenarios as regards your OH's work - could he get more hours and stay over (is this with friends?) for more than he's doing now - or does he cover child care whilst you're at work?

3) OH gets an evening/weekend job to boost up the income whilst he's looking for full time work nearer home.

The problem is when you are struggling financially there are only two options - increase your income or decrease your expenditure. Hopefully it won't be for ever.

Thanks pmlindyloo, seeing the only 2 options written makes sense!

TBH things will improve massively in April....our TV license goes from £30pm to £12pm, council tax reduces from £133pm to £95pm, LO gets funding for nursery (which realistically means he can continue attending for the same amount of time but won't cost us a penny (I was hoping to increase the amount of time he goes in preparation for school IYSWIM)) it's just, right now, we're in the doo doo.

We had terrible financial problems a while ago and took out a DRO. We were doing very well, living within our means etc, but the cost of the move crippled us and the drop in wages was much more severe than we anticipated (maths is neither of our strong points!).

PM my OH covers the childcare while I'm at work and I do 12 1/2 hour shifts, meaning I finish at 20:30 on a day shift, start at 20:00 for a night shift, so an evening job would be out

He stays at his parents on a Monday night, between shifts, and if he was to increase this it would mean he's away half the week, the other half I'd be working every day so therefore wouldn't ever see each other or spend time as a family. This is exactly how we were living before we moved, we had one day off together in 2 years, and it nearly broke us.

OH has joined the bank for a local company where we live in the hope he could get one day a week extra but, for the same role as he does normally, it's nearly £2 ph LESS than he gets now in his contracted job.