Child Benefit questions

Hi all,
I have a couple of questions regarding Child Benefit and hope you can help out.
1.) I see you have to pay tax back on Child Benefit if you earn or you partner earns over £50k but this seems unfair if say I earn £55k and my partner is either on a low or no income where as 2 people in a relationship can earn £49,999 each so close to £100k and claim full benefit? Is that correct?

2) If say I earn ~£55k before Tax but then pay into a Pension as well as pay maximum Childcare voucher (£234) a month, my earnings are less than £50k so does that mean I don't need to pay tax the Child Benefit?

Thanks for time and advice

Comments

  • Caz3121
    Caz3121 Posts: 15,544 Forumite
    Name Dropper First Anniversary First Post
    1) that is the way it works, there was quite a lot of discussing when this was first introduced on the 'fairness' however your understanding is correct
    2) It works on "adjusted net income" you can find a calculator here to work out your adjusted net income https://www.gov.uk/child-benefit-tax-charge
  • sheramber
    sheramber Posts: 19,096 Forumite
    First Anniversary I've been Money Tipped! First Post Name Dropper
    If chIld care vouchers and pension payments are paid by salary sacrifice then they are already deducted on your P60.
    If this is the case then is you P60 figure less than £50k?


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