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Tax credits help please

Poppie68
Poppie68 Posts: 4,881 Forumite
Tenth Anniversary Combo Breaker
edited 21 March 2016 at 2:09PM in Benefits & tax credits
I'm trying to help my daughter's friend work out her entitlement but it's driving me bonkers.


Single mum starting an apprenticeship 9 April, child in nursery age 3.

Pay-123 per week (monthly pay)
Nursery - 156 per week, 7.30-6pm for 4 days, from September gets 15 hours free.
Underlining entitlement to carers allowance

Income for this last year is - 3221

Could someone please help a confused person out?
«1

Comments

  • densol_2
    densol_2 Posts: 1,189 Forumite
    Did you complete on the UK Gov calculator? I find that hard as its always just to the end of the tax year - so you have to work out how many days that covers, divide to find the daily rate, then multiply by 365. Its always been accurate for me.
    Stuck on the carousel in Disneyland's Fantasyland :D

    I live under a bridge in England
    Been a member for ten years.
    Retired in 2015 ( ill health ) Actuary for legal services.
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    densol wrote: »
    Did you complete on the UK Gov calculator? I find that hard as its always just to the end of the tax year - so you have to work out how many days that covers, divide to find the daily rate, then multiply by 365. Its always been accurate for me.



    I've tried entitled too.... as she doesn't start until the 9th April it does let you adjust the tax years, maybe I have got it correct but am second guessing the details and hoping someone could clarify? The childcare costs reduce in September as well due to her qualifying for the 15 free hours so that has stumped me as well. Am I correct in thinking what gets paid from the 6th April this year has been calculated on this current tax year?
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    How many hours?

    What will costs be once reduced?
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    How many hours?

    What will costs be once reduced?

    38..(Apprenticeship)

    If I've worked out the childcare correctly it's ...
    14 wks @ £156 + 38 weeks @ £117.
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    so she'll get the maximum WTC/CTC of £8105 for the year plus 70% of her childcare.
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    so she'll get the maximum WTC/CTC of £8105 for the year plus 70% of her childcare.

    Thankyou Darksparkle does that also take into account her income increase of £3172. That's from £3224 (years 14/15-15/16) to £6396 for the upcoming tax year?
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Poppie68 wrote: »
    Thankyou Darksparkle does that also take into account her income increase of £3172. That's from £3224 (years 14/15-15/16) to £6396 for the upcoming tax year?

    Tax credits don't begin to reduce until £6420
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    Tax credits don't begin to reduce until £6420

    Oh right....That's close lol.
    Thanks
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Poppie68 wrote: »
    Oh right....That's close lol.
    Thanks

    She should actually be on more than what you've posted, it should be at least £6520 (£125.40 per week)

    Maybe something she should double check before starting?
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    She should actually be on more than what you've posted, it should be at least £6520 (£125.40 per week)

    Maybe something she should double check before starting?

    It's definitely paying £123 per week.... I've got the paperwork here..
    Sorry another question.... When inputting the childcare costs do we put it down as variable as for months April- September it will be normal costs then September the 15 free hours kick in.
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