Tax credits and work

jillyflower

My son is 17 and after completing a year at college had been advised to do an apprenticeship. As I understand it I will lose both my working and child tax credits, I will obviously lose my child benefit and the maintenance i get from his father. My son will get paid about £400 per month. When I've paid essential household bills, eg rent, council tax, gas/electric and water rates, I'm left with £50 per month for food, clothing travel costs etc. I've used the benefits calculator and I'm not entitled to any help. I'm not sure where to go for help and I'm not sure this is the right place either but things are getting desperate and we'll be homeless if I can't find a solution soon. Any help would be much appreciated. Thank You

Jamiesmum

I think if you're over 25 working over 30 hours a week and on a low wage, you can still claim the working tax credits.

Otherwise it's just learning to budget better. Your son will be earning his own money therefore you'll save cash now on buying his clothes/toiletries/food which is what the child tax credits were for beforehand. And working tax is to sub a low wage. The maintenance was obviously for your child too (whos now almost an adult) any money your son needs he could always ask his dad instead of you if you'll struggle.

Break down of your incoming and outgoings? May be able to help you budget?

jillyflower

Thanks for that. I'm not sure how I can budget any better but these are the figures I'm working with.
In
Wages. £975
Out
Rent £650
Council tax £95
Gas/elec £100
Water rates £54.
Car tax/ins £36.

I've stopped calculating after that because there obviously isn't enough income to go on spending.
It seems impossible, but maybe I should call Tex credits help line and see what they have to say.

Lanzarote1938

Have you asked for help with rent and council tax. You can't be expected to pay over 2/3rds of your income on rent.

Jamiesmum

You'll be entitled to working tax credits if that is your income. I don't know how much though.

I'm not sure on housing benefit but it's worth going in there to ask.

You're right you can not cut back on the above bills.

jillyflower

Thanks for that. I've just gone through the figures again on the benefits calculator and it says I am entitled to a total of £160 per month for working tax credits and housing and council tax benefits. I don' think that'll improve the situation enough. I wonder if it's worth trying CAB although I've never found them very helpful in the past. Thank.

FBaby

How many hours do you work? You're not counting the £400 in your income. You should explain to your son that he'll need to contribute most of his income until you and he can increase how much you bring in.

xylophone

Your son will be receiving £400 a month - it would not be unreasonable to expect him to contribute £150 a month to the household budget.

After all he is being housed, he is using all the utilities, and he is being fed.

As his wage improves, he should increase his contribution.

And he is still a minor - his father should continue to assist, at least until he turns 18?

Caz3121

xylophone wrote: »

And he is still a minor - his father should continue to assist, at least until he turns 18?

that will be between the father and son as CSA/CMS would not apply once child benefit stops

Darksparkle

How many hours are you working per week? Can you increase them or take on a second job?

£100 for gas/elec seems a lot. Can you look at cutting that back?

Ask your son to contribute towards the household now he's working. £100 per month seems fair.

Loz01

If your son is earning £400 a month then I would ask him for £120 - still leaves him enough to go out with his friends, have a phone and social life but it means you aren't so hugely out of pocket. Even if you put his money aside and use the cash for food shopping or something.