Universal credit-better off working less??

snoopy90

I read on this website that a household income of less than £40k could mean entitled to universal credit and thus 85% off nursery fees. Just looking to see if this is correct.

My partner earns £36k working full time. I earn £14.5k working 3 days/week. We have 2 young children at nursery 3 days/week, costing around £1000 a month after the tax free childcare discount. This leaves us with around £2k after childcare.

I have just used the benefits calculator on this website putting in my partner working just 3 days/week which would be 21.6k salary and me doing my 3 days and it said we would be entitled to universal credit. If we then got 85% off childcare costs we would be better off than if my partner was working full time without the universal credit. Surely this can't be right??

Anyone got any experience with this?

TIA

calcotti

Have you in included the childcare costs in your calculation of UC with your wife working full time? I don’t think it’s a case of being able to claim UC and then being able to claim the childcare element, the childcare element is part of the calculation of UC entitlement.

huckster

Sounds doubtful.

With your combined income, UC is not appropriate.

Look into other childcare payment options. Government has a website Childcarechoices.

airliner

Would your childcare costs not reduce if your partner was working fewer hours?