Working tax credits self employed

LONDONBOY123

blondebubbles wrote: »

I personally think you need to start thinking of ways to help this person rather than continuously make excuses for him.

You seem to think the government should continue to pay him even though he has worked full time for 2 months without selling one thing, never mind making a profit.

You also say all other work options are not possible because it's too far away/would cost too much. Are you honestly saying that no one living near him works?

What do you honestly think the government should do for him? Keep paying him despite the fact there is no way he can be working full time and not be selling anything for 2 months? That is not work in expectation of payment but a hope for payment which does not qualify for tax credits.

Not making excuses just stating facts.

Regardless of making a profit or a loss he is working around 40 hours a week. Yes other people who live near him do work but they have better paying jobs and are not reliant on stupidly high rail ticket prices to get to work ( They have cars, which obviously he cant afford cant even afford a second hand bike !!). There is only 4 houses in the Hamlet where he lives.

As stated in the previous post for the job he could of got ( assuming he was successful at interview ( if he could get there and they wouldnt mind him wearing jeans/ t shirts to the interview ) he would take home £58 a week or just over £10 a day for a 7.5 hour shift. Would you work for that amount?? I sure wouldnt, no chance.

LONDONBOY123

blondebubbles wrote: »

He currently works 40 hours per week and earns nothing and tax credits may stop because his work doesn't appear viable.

He had the possibility of a job working 37.5 hours per week and would take home £58. Plus possible tax credits.

What would one do?

Exactly, a " possibility". But as I also said.
1 ) No idea how would of got to the interview unless did the 4 hour walk there and the 4 hour walk back .

2) He would have to wear jeans, and a t shirt for the interview ( as no money for a suit ), which hardly gives a good impression so probably wouldnt even of got the job anyhow to be honest.

Assuming he did get the job after all that.Then he would have to walk 4 hours to do a 7.5 hour shift, then walk back home for another 4 hours everyday untill his first paycheck came through- all for the sake of a tenner !! MUGS GAME!!

Stuck in one big black hole.

Blue22

LONDONBOY123 wrote: »

Yes other people who live near him do work but they have better paying jobs and are not reliant on stupidly high rail ticket prices to get to work...............There is only 4 houses in the Hamlet where he lives.

A hamlet of only 4 houses has a rail link?

LONDONBOY123

Blue22 wrote: »

A hamlet of only 4 houses has a rail link?

No, there is a Rail link around 4 miles away ( takes him 1 hour to walk there ).

FBaby

he is losing his internet connection this week as cant afford it

So how does he intend on running his business without internet when the work is fully dependent on it?

It is so obvious that this business is not what he claims to be and only a mean to benefits without the pain of having to deal with the job centre. As a tax payers, it is reassuring to see that such checks do take place.

Your friend needs to start putting efforts in getting a proper job. He can save £1 a day until his tax credits stops. By then, he will have enough to get a used cheap suit from ebay (since he is such an expert at looking for bargains) and same with a bike. Once he does get a job, he can increase his saving to £2 a day until he has enough to put towards a deposit for a bedsit.

But of course, there needs to be willingness.

LONDONBOY123

FBaby wrote: »

So how does he intend on running his business without internet when the work is fully dependent on it?

It is so obvious that this business is not what he claims to be and only a mean to benefits without the pain of having to deal with the job centre. As a tax payers, it is reassuring to see that such checks do take place.

Your friend needs to start putting efforts in getting a proper job. He can save £1 a day until his tax credits stops. By then, he will have enough to get a used cheap suit from ebay (since he is such an expert at looking for bargains) and same with a bike. Once he does get a job, he can increase his saving to £2 a day until he has enough to put towards a deposit for a bedsit.

But of course, there needs to be willingness.

That is the whole point if the WTC credits are not awarded then the business will not work and there will be no money to pay for the internet.Hence, its imperative for the WTC to be awarded in order to make the business work. Save £1 a day?? no chance of that as I have told you his breakdown of expenditure- £65 a week, £40 on bills ( this is no where near enough as the bill account is in debt ) and £25 on food ( mostly junk food and not healthy at all, no prote )- NOTHING ELSE at all.

His NEA allowance is also being reduced to £33 next week.So out of that looks like he will not be eating at all due to the fact that he needs to put in a minimum of £30 a week , just for gas,electric,water,insurance So no chance of saving even a penny on £33 a week

The other thing is without the internet and living a 4 hours walk from anywhere with internet access how does he source a job? Do the 8 hour daily walk is the only option, and there is nothing in the one local rag that gets delivered weekly

If the WTC credits are not awarded then also he will have no phone- so you can forget calling anyone.

One big mess to be in.

LONDONBOY123

blondebubbles wrote: »

Can't one of his neighbours give him a lift when they are going to work?

Unfortunately not.

FBaby

He had 2 months to prove to himself that he could start the business and make it work. It hasn't worked. How long does he think he needs before he can actually make it a business? 6 months, 12 months, 6 years?

I fail to believe that out £25 food budget, he can't manage to save £4. Junk food IS expensive.

WTC might not be stopped immediately, so he has a head start to try to wind the business down and start applying for jobs now. Many people manage on JSA, so why wouldn't he? It's very tough, there's no denying it, but it is impossible as you make it out to be.

He is not in a mess, he is unwilling to consider doing it the only way that would give him a chance to start supporting himself, but of course, that might mean working hard with no much reward to start with, something that I suspect your friend might not be too keen on.

cbrown372

LONDONBOY123 wrote: »

Thanks for the reply. He has invested around £700 IN stock.Its not a case of being able to buy and sell easily as its noteasy to get hold of the stock at the business plans is run on, hence why it takes so much time in sourcing the stock. Its no good him selling a jet ski for a small profit then be unable to get any more stock in.He does well if he manages to source 2 jet skis per month.

His only business expense is phone bills and ebay fees. How does he get his WTC that the Job centre said the business will qualify for?

Thanks

So if he sold his 'stock' he would have £700 surely enough money for a deposit to move to where jobs are, a suit for interviews, food, Internet?

LONDONBOY123

cbrown372 wrote: »

So if he sold his 'stock' he would have £700 surely enough money for a deposit to move to where jobs are, a suit for interviews, food, Internet?

The £700 of stock is ring fenced as this is a business working capital ( Its not even his to get access to as it's his Uncles and to be used for business only, reinvesting profits made ).