tax credits help,have the gone up

stephen25uk

hi folks

currently my wife and i have 2 children 1 8yo and one 18mnths,my declared earnings for tax credits are 21000 and my wifes 5600,we curently recieve almost 88.00 every 4 weeks approx,i have just been on the entitled to website as there is now no overtime at my work due to shift changes so my salary for 2008-2009 will be 18000 and my wifes 6500 i work 40 hrs my wife works 18.
as i said when i entered all this info into entiltled to it tells me this.

http://www.entitledto.co.uk/taxcreditaward.aspx?sid=4&cid=b74cc927-3242-4b5c-be3c-948e2b43a3c3

i am guessing that the initial award means what i am getting now,and the final award for the period is what i will get when the have updated my file with my new predicted earnings for 2008-2009.is this correct?

it looks like a 16.00 per week increase,i know things changed in last years and this years budget,how accurate is entitled to,any opinions or help would be great

[Deleted User]

You can call up TCO to inform them that your income is decreasing for the 2008/09 tax year and give them the figures. Within a few days you would get a rough idea of what you should receive.

However, be warned that if you lower you estimated income and it actually increases by the end of the year you will be overpaid and have to pay some money back.
My advice is usually to leave the figures as they are because this would allow you to earn up to £25k more than you did last year without causing an overpayment.
If you lower your estimated income you lose the right to this £25k income disregard.
And if in fact you earn less than you have estimated, you will be paid what you are owed when you have completed your annual renewal declaration.

stephen25uk

we are both salired so i know this is what we will make,does the award sound right,16.00 per week more

[Deleted User]

Around £16 per week increase sounds right.
Difference in income is around £2100.
Your award decreases 39p for every £1 you earn so I assume it would also increase 39p for every £1 your income decreases so
2100 x £0.39 = £819
£819 / 52 weeks = £15.75 p/w increase in your award.