Tax credits help

hotblu

Hello Bubbles35,

With regards to your friend wanting to do overtime, it may benefit her this year. Reason for this is Tax Credits (both CTC & WTC) are calculated on your previous year income, based on that it is established what you are entitled to, and this taxyear it was announced in the budget that the income disregard will be £25,000. So what that means is, the current year award will be based on what your friend earnt last year, she can earn that again this year, and earn a further £25,000 and this years entitlement would not be affected (basically not get overpaid). So she could do as much overtime as possible and really benefit (but remember, next years award would be based on this years income and could reduce). With regards to childcare, aslong as your friend is working a minimum of 16 hours p/wk she would be entitled to help with childcare cost's. The maximum help is upto 80%, but this tapered down depending on household income. Also, the best time to call is normally at 9.00am or 11.30am (these are two of the main shift patterns when more staff sign on).

HTH

Hotblu