help with tax credits changes

mummy_2_be

I wonder if someone can kindly let me know how changes to tax credits will affect me . I am a single parent and my tax credits are based on 15000 due to the disregard , my earnings 2014-2015 were 10386 . I have 1 child and work 24 hours per week my daughter is in nursery at a cost of 93.00 per week .
my current award wtc 458.96 wtc c care 3385 and ctc 3326 , I have put the details in the FT calculator and it says ill lose 1800 , is this correct
thanks in advance

Icequeen99

mummy_2_be wrote: »

I wonder if someone can kindly let me know how changes to tax credits will affect me . I am a single parent and my tax credits are based on 15000 due to the disregard , my earnings 2014-2015 were 10386 . I have 1 child and work 24 hours per week my daughter is in nursery at a cost of 93.00 per week .
my current award wtc 458.96 wtc c care 3385 and ctc 3326 , I have put the details in the FT calculator and it says ill lose 1800 , is this correct
thanks in advance

What is your 15/16 income?

IQ

mummy_2_be

hi IQ

2015/2016 - 12500

Icequeen99

mummy_2_be wrote: »

hi IQ

2015/2016 - 12500

So why are your tax credits based on £15000? That makes no sense. Do you expect to earn the same next year as well?

IQ

mummy_2_be

my apologies 10386 was for 2013/2014
15786 2014/2015
12500 2015/2016
does that make more sense now ?
thanks in advance

Icequeen99

It would have been 1800, but because your tax credits are based on 15000 currently in 16/17 they will be based on 12,500 (unless you expect 16/17 to be more than 2500 higher?).

In which case, you will lose out by £634

IQ

mummy_2_be

thank you , I was very alarmed by the 1800 figure , 634 will be easier to live with
thanks for your help

Icequeen99

mummy_2_be wrote: »

thank you , I was very alarmed by the 1800 figure , 634 will be easier to live with
thanks for your help

That assumes your 16/17 income will be about the same as 15/16 of course. If that changes then your figures will change.

You are still worse off by £1800 because of the changes compared to this year, you just buffer than because your income has fallen recently.

IQ