Child Benefit Threshold Help

baz_79

Good evening,

I need help regarding the threshold where you lose the benefit altogether.

I understand it's £60,000+ at which point you are no longer entitled to it.

What I can't work out is... Can we (my wife) still claim it every month until I hit the £50,000 mark then we start to lose a % up until £60,000 or because my starting salary is £60,000+ on April 1st we will lose it from day dot?!

TheSpectator

baz_79 said:

Good evening,

I need help regarding the threshold where you lose the benefit altogether.

I understand it's £60,000+ at which point you are no longer entitled to it.

What I can't work out is... Can we (my wife) still claim it every month until I hit the £50,000 mark then we start to lose a % up until £60,000 or because my starting salary is £60,000+ on April 1st we will lose it from day dot?!

You misunderstand the threshold rules. Between £60k and £80k it is gradually clawed back, it's not a cliff edge at £60k.

baz_79

TheSpectator said:

baz_79 said:

Good evening,

I need help regarding the threshold where you lose the benefit altogether.

I understand it's £60,000+ at which point you are no longer entitled to it.

What I can't work out is... Can we (my wife) still claim it every month until I hit the £50,000 mark then we start to lose a % up until £60,000 or because my starting salary is £60,000+ on April 1st we will lose it from day dot?!

You misunderstand the threshold rules. Between £60k and £80k it is gradually clawed back, it's not a cliff edge at £60k.

Thanks for taking time out to comment...

But Tbh I will be above the £80,000 anyway and that's not taking into account my partner's income.

Question still remains I guess... How does it work exactly can we still claim up until my taxable amount for the year goes over £60,000 then we start to lose a % or will we lose it from April 1st?

TheSpectator

You either claim it and pay it back at the year end or you don't claim it at all. 

Your joint income is irrelevant but if the higher earner has net adjusted income over £80k in the tax year then it will all need to be paid back.

baz_79

Right ok... Didn't think about that 3rd option.

So basically if I still claim it & get to April 1st 2026, they discover I've earned above the threshold I will have to pay all of it back?

Gotcha ok makes perfect sense thank you.