Redundancy payment / child benefit

Onwards_and_upwards

My husband is seriously considering VR, for a wide range of reasons. He will get a large sum of money, in the region of 60K.

I currently work part-time (0.5), earning £17K but would look to increase this until he gets a new job.

We currently don't qualify for Child Benefit due to his current salary, but if he was to take VR, would we immediately be able to qualify for CB or would his lump sum be taken into consideration?

We have a lot of debt and we want to be really careful with money incase it takes a long time to find something else, then throw whatever is left of the lump sum at the debt.

TIA

ffacoffipawb

Onwards_and_upwards wrote: »

My husband is seriously considering VR, for a wide range of reasons. He will get a large sum of money, in the region of 60K.

I currently work part-time (0.5), earning £17K but would look to increase this until he gets a new job.

We currently don't qualify for Child Benefit due to his current salary, but if he was to take VR, would we immediately be able to qualify for CB or would his lump sum be taken into consideration?

We have a lot of debt and we want to be really careful with money incase it takes a long time to find something else, then throw whatever is left of the lump sum at the debt.

TIA

The first £30k is tax free, the remainder is taxed as income and would be allowed for in the child benefit calculations as well as the other income earned this tax year which will still total more than £60k presumably. So no child benefit. Next tax year may be different if he won't be such a high earner.