Help - prior year salary prevents payment?

kutsu119

Afternoon all - apologies for the thread title!

Just a quickie.

I earn £40k currently, and my wife £10k. I work 35 hours, she works 25.

I am very likely to be in a position where I will need to consider leaving work for mental health reasons. This is causing my some real heart-wrenching, especially as we have two children and I've never been out of work in 15 years of employment, but I'm getting very close to the end of my tether, so to speak.

So I can understand my options (or lack thereof) we've sat down and worked out what our minimum cost of living is; fortunately, apart from of very late, we live a pretty frugal life.

My intention was to consider one of two things - either full time study at university, or a slightly less senior job, with less stress/90 hour weeks/abusive bosses!

My wife mentioned benefits as being something we needed to understand too - I understand this is an emotive subject, but I've never sat and really understood where they become payable, as we've been fortunate enough not to need them previously.

From what I'm reading, my income for 2015/16 automatically excludes me from receiving any "award" during 2016/17 - is that right? also, does student loan income impact on the calculation at all, assuming I'm not barred from applying for 16/17?

We've been sensible and put a small amount of money away - c.£5k, based on having purchased a car outright and refurbishing our house - so we know we've been really lucky, and I hope this post doesn't come across as anything other than me trying to understand my options. I just don't think I can stand any more months of waking up at 3am counting down the minutes till I need to "wake up" to go to work!

Thanks
Kutsu119

Darksparkle

It depends on what benefits you are considering. What ones have you looked at? Have you tried a benefit calculator such as entitledto?

You'd get child benefit, you should already be getting this.

Tax credits is initially based on 2015/16 but if this year's income decreases by more than £2500 then the 2016/17 will be used eg last year £50,000 and this year £20,000 tax credits will be based on £22,500.

How much you'd get would depend on the specifics though, both working hours, income, childcare etc.

If you are stopping work, does your partner plan on increasing hers?

kutsu119

Darksparkle wrote: »

It depends on what benefits you are considering. What ones have you looked at? Have you tried a benefit calculator such as entitledto?

You'd get child benefit, you should already be getting this.

Tax credits is initially based on 2015/16 but if this year's income decreases by more than £2500 then the 2016/17 will be used eg last year £50,000 and this year £20,000 tax credits will be based on £22,500.

How much you'd get would depend on the specifics though, both working hours, income, childcare etc.

If you are stopping work, does your partner plan on increasing hers?

Hi Darksparkle, thanks for taking the time to look at respond.

I'm not 100% au fait with what benefits in general are available - I used the calculator I saw in google which suggested nothing available, but I just tried through your entitledto link which was much more comprehensive and seems to suggest things like WTC may be payable - good news!

How does studying and, in particular, student loans impact on this award?

Yes, my wife is looking for full time work, as am I - I'm just trying to do scenarios on excel of all the various possibilities!

Darksparkle

kutsu119 wrote: »

Hi Darksparkle, thanks for taking the time to look at respond.

I'm not 100% au fait with what benefits in general are available - I used the calculator I saw in google which suggested nothing available, but I just tried through your entitledto link which was much more comprehensive and seems to suggest things like WTC may be payable - good news!

How does studying and, in particular, student loans impact on this award?

Yes, my wife is looking for full time work, as am I - I'm just trying to do scenarios on excel of all the various possibilities!

Student loans aren't income for tax credits. Some grants are.

https://www.gov.uk/guidance/tax-credits-working-out-income

bspm

kutsu119 wrote: »

Afternoon all - apologies for the thread title!

Just a quickie.

I earn £40k currently, and my wife £10k. I work 35 hours, she works 25.

I am very likely to be in a position where I will need to consider leaving work for mental health reasons. This is causing my some real heart-wrenching, especially as we have two children and I've never been out of work in 15 years of employment, but I'm getting very close to the end of my tether, so to speak.

So I can understand my options (or lack thereof) we've sat down and worked out what our minimum cost of living is; fortunately, apart from of very late, we live a pretty frugal life.

My intention was to consider one of two things - either full time study at university, or a slightly less senior job, with less stress/90 hour weeks/abusive bosses!

My wife mentioned benefits as being something we needed to understand too - I understand this is an emotive subject, but I've never sat and really understood where they become payable, as we've been fortunate enough not to need them previously.

From what I'm reading, my income for 2015/16 automatically excludes me from receiving any "award" during 2016/17 - is that right? also, does student loan income impact on the calculation at all, assuming I'm not barred from applying for 16/17?

We've been sensible and put a small amount of money away - c.£5k, based on having purchased a car outright and refurbishing our house - so we know we've been really lucky, and I hope this post doesn't come across as anything other than me trying to understand my options. I just don't think I can stand any more months of waking up at 3am counting down the minutes till I need to "wake up" to go to work!

Thanks
Kutsu119

Please don't take this the wrong way but I see your options as taking a less demanding job and providing for your family rather than trying to see if you can claim benefits.

kutsu119

bspm wrote: »

Please don't take this the wrong way but I see your options as taking a less demanding job and providing for your family rather than trying to see if you can claim benefits.

Hi there - thanks for the response.

Actually, I'm working through my options - and trying to do "what if's" for all of them. Part of this is to allow me to plan, part of it is good exercise for my brain. I think part of planning is me understanding what my various options are - which including (for the purposes of transparency):

- Continuing in the same job;
- Getting a less demanding job (same/different employer);
- Getting the same job with a less demanding company;
- Working part time and studying part time;
- Studying full time;
- Being signed off sick, losing my job, and being reliant on state assistance.

Please don't think I'm trying to work on the assumption that benefits are easy or convenient - they are a support network for people that need it.

bspm

kutsu119 wrote: »

Hi there - thanks for the response.

Actually, I'm working through my options - and trying to do "what if's" for all of them. Part of this is to allow me to plan, part of it is good exercise for my brain. I think part of planning is me understanding what my various options are - which including (for the purposes of transparency):

- Continuing in the same job;
- Getting a less demanding job (same/different employer);
- Getting the same job with a less demanding company;
- Working part time and studying part time;
- Studying full time;
- Being signed off sick, losing my job, and being reliant on state assistance.

Please don't think I'm trying to work on the assumption that benefits are easy or convenient - they are a support network for people that need it.

Of course benefits are a support network for people that need it, I don't disagree with you there at all but surely you are capable of finding a less demanding/stressful/better employer than you currently have?
You seem an articulate person, you seem capable of providing for your family, benefits are not easy or convenient as you say, it normally leads to a downward spiral, don;t go there unless you definitely have to.

p00hsticks

kutsu119 wrote: »

Continuing in the same job;
- Getting a less demanding job (same/different employer);
- Getting the same job with a less demanding company;
- Working part time and studying part time;
- Studying full time;
- Being signed off sick, losing my job, and being reliant on state assistance.

Is there not a further option of being signed off sick until your mental health improves and then returning either to the same job or a less stressful alternative with the same employer ?

densol_2

I dont think benefits are always a " downward spiral " sometimes they are a necessary escape when the alternative is intolerable. They saved me for 18 months. Similar position to OP but luckily I got an injury benefit from my ex employers pension scheme so not " reliant" on benefits but im not sure if I'll ever work again.

OP - look out for yourself and do what is needed to get away from a situation if you can. I left it too late and had a breakdown Ive never got over. Those who have never suffered true stress induced mental illness wont understand - even though they profess to.

PeteArmstrongSnr

kutsu119 wrote: »

Afternoon all

I am very likely to be in a position where I will need to consider leaving work for mental health reasons. This is causing my some real heart-wrenching, especially as we have two children and I've never been out of work in 15 years of employment, but I'm getting very close to the end of my tether, so to speak.

Kutsu119

Hello - The time for "considering" leaving your "high stress load" employment needs to end now.

Resign tomorrow for health reasons and start getting a good nights sleep again.:j

I will never forget when I resigned for health reasons many years ago - the relief was huge.:j

Have you considered self employment or agency work as a short term solution whilst looking at your long term options?

Good luck.

PeteArmstrongSnr