Working Tax Credit 10 December 2022 at 5:30PM edited 10 December 2022 at 5:31PM in Benefits & tax credits 7 replies 541 views

andrewmp

If someone is working 24+ hours a week and gets WTC, what happens if their hours drop?

Hours were only 24+ for a month (new job), but because it's teaching in a University there will be no more paid work from the end of next week until the end of January, when hours will be 24+ again.

How will this work with WTC?

calcotti

For term time employees it appears that the 'holiday periods' are ignored.
See 
https://revenuebenefits.org.uk/tax-credits/guidance/how-do-tax-credits-work/entitlement/wtc-elements/#Term time and seasonal workers
See the bit on term time workers

and 
https://www.turn2us.org.uk/Benefit-guides/Working-hours-benefits-rules/Calculating-work-hours-Term-Time-Workers

andrewmp

calcotti said:

For term time employees it appears that the 'holiday periods' are ignored.
See 
https://revenuebenefits.org.uk/tax-credits/guidance/how-do-tax-credits-work/entitlement/wtc-elements/#Term time and seasonal workers
See the bit on term time workers

and 
https://www.turn2us.org.uk/Benefit-guides/Working-hours-benefits-rules/Calculating-work-hours-Term-Time-Workers

Thank you.  I saw that, but I didn't want to fall foul of any rules, especially seeing as the WTC element only started mid November.

Do they have to be informed about the hours stopping over later December and January?

Will it be the same from June to October too?

calcotti

Tax Credits are not an area I am particularly knowledgeable about so I’m only going but what I’ve referenced. The rules for the summer period appear to be the same. 

The bit that troubles me is that the ‘holiday’ periods for universities are obviously much longer than for schools. The old guidance notes which can be found here 

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/793108/TC600_withdrawn.pdf
only refer to school terms.

The Tax Credits manual simply says this

https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0126240
I note that this refers to educational establishes, rather than schools, so hopefully you are fine.

If in doubt it may be sensible to ring them and see what they say. You probably need to declare your work pattern in order for them to decide whether or not you qualify to be treated as a term time worker.

andrewmp

Thanks for that. It's interesting it says non teaching staff, but she is teaching staff.  I wonder if that makes a difference.

calcotti

andrewmp said:

Thanks for that. It's interesting it says non teaching staff, but she is teaching staff.  I wonder if that makes a difference.

It doesn't say taht. It says

Term time workers are usually members of the non-teaching staff of educational establishments and include

• general domestics

• clerical staff (secretaries, clerks, librarians)

• laboratory workers

• nursing assistants

• art class models

• school bus drivers.

Note: This list isn’t exhaustive.

Usually teaching staff with permanent contracts have their wages spread out into 12 monthly payments. If her position is different she may be a term time worker. Only HMRC can confirm whether or not they will treat her as such. 

andrewmp

calcotti said:

andrewmp said:

Thanks for that. It's interesting it says non teaching staff, but she is teaching staff.  I wonder if that makes a difference.

It doesn't say taht. It says

Term time workers are usually members of the non-teaching staff of educational establishments and include

• general domestics

• clerical staff (secretaries, clerks, librarians)

• laboratory workers

• nursing assistants

• art class models

• school bus drivers.

Note: This list isn’t exhaustive.

Usually teaching staff with permanent contracts have their wages spread out into 12 monthly payments. If her position is different she may be a term time worker. Only HMRC can confirm whether or not they will treat her as such. 

Thank you.  Apparently there are lots of unis paying teaching staff only when they teach, it's one of the things they're striking over.

Thanks again

kaMelo

andrewmp said:

calcotti said:

andrewmp said:

Thanks for that. It's interesting it says non teaching staff, but she is teaching staff.  I wonder if that makes a difference.

It doesn't say taht. It says

Term time workers are usually members of the non-teaching staff of educational establishments and include

• general domestics

• clerical staff (secretaries, clerks, librarians)

• laboratory workers

• nursing assistants

• art class models

• school bus drivers.

Note: This list isn’t exhaustive.

Usually teaching staff with permanent contracts have their wages spread out into 12 monthly payments. If her position is different she may be a term time worker. Only HMRC can confirm whether or not they will treat her as such. 

Thank you.  Apparently there are lots of unis paying teaching staff only when they teach, it's one of the things they're striking over.

Thanks again

 
They're upset because they only get paid when they work?