Working Tax Credit stopped!

teresacat

Was wondering if this is right......
I have been receiving working tax credit for myself and partner for 2years. I work part-time & partner is full-time, and we received just over £80 a month which paid the council tax.
In April my partner received a 70p p/h raise, and I received a £1 p/h raise plus 2 extra hrs a week. I told tax credit people immediately and they put my payments up to £125 per month. All good so far.
This week I received 2 letters from them- one a statement for 07/08 saying that all tax credit payments had been correct, and the other stating that not only was I not entitled to the increase they had given me just a few weeks previously, but that I wasn't entitled to anything at all. When I rung them they said that the limit for a working couple without children was £17,300, and as we were on £23k we were no longer entitled. But we earnt £20k last year!!! (Not that we take home anything like that, but apparently that's not taken into account).
So in one fell swoop, I've lost £125 a month and have no way of paying my council tax next month. I just can't believe this as I don't know how I'm going to manage now.
The 1st time I called them I had to hang up as I was in tears, and the 2nd time their computers were down so they couldn't help.
Does anybody know if this limit of £17,300 is new and that's why I'm no longer able to claim when we were on more than that last year and able to claim? And if so, how come it hasn't hit the news as yet another way the goverment has found to save money?
Thanks in advance

dmg24

Do you have any premiums on your WTC, such as for disability?

I am pretty sure that the limit was less than £17300 last year (it has only increased due to the annual cost of living rise)! On a joint income of £23K you should not be in receipt of WTC.

Perhaps you could get a full time job?

redmel1621

You should be able to manage on an income of 23k for a couple......

Our income is 20k a year and there are 2 adults, 2 children, 1 dog, 2 cats, 1 rabbit and we manage just fine.

I think you need to seriously look at reducing your outgoings as opposed to complaining about your income. If you have a lot of debt maybe pop over to the debt free wannabe board and they will help guide you in the right direction.

Also as dmg says, you could also take a full time job or perhaps a 2nd part itme job!!!!!!!!!

Mel x

sjaypink

sounds like you are definately earning too much now, and if they've said last years award is confirmed and correct then i reckon you only just scraped into eligibilty by a matter of pence......

its very harsh when they get things wrong like this as you get used to the amount received. thankfully you haven't been receiving £125 for too long so although you'll miss it at least you haven't spent the whole year receiving it.... by the way have they asked you to repay this years payments?

if things are really tight you should take a look at the other boards for help with making your money go further, eg switching energy suppliers, food budgeting etc.

and yes, unless we're missing something (disability/ kids) you may well have to consider increasing your hours.

good luck x

teresacat

Thanks guys for the info.
Would just like to make one point though- we bring home nothing like 23k sadly! My partner brings home approx £850 p/m and pays the £500 rent, petrol, CSA payment, c/c and one monthly debt payment. I take home £600 p/m and pay ALL bills, food, pet insurance etc. We're only just scraping through and paying out nothing at all for holidays etc. We can't even afford to go out on an evening. We haven't bought any new clothes for at least 2 years, and I keep the weekly food shop to no more than £50 and that includes for 4 cats. The only way I could cut costs down is by cancelling the TV licence and phone line! My partner is taking all overtime offered just to put the car in for MOT later this month.
Looks like I'll just have to wear it then, though heaven knows how I shall pay the council tax. Would love a full-time job, but they're pretty thin on the ground down here in Cornwall!

teresacat

Sorry, yes I have to repay £209

dmg24

I would agree with redmel1621, on that income and with only £500 rent you should be quite comfortable. Have a look on the Debtfree Wanabee board, and also on Moneysaving Old Style for ways to cut down on your outgoings.

teresacat

But I'm not in debt. I don't owe anybody a a penny!!!
I'm not being funny, but my outgoings are purely bills and £50 a week food. I pay all utilities by monthly d/d, I can't remember the last time I had new clothes, and I haven't had a holiday for 9 years. Our one luxury is Sky tv (for the cricket) and at £38 I don't think it's breaking us.
Once my OH has paid the rent, petrol, c/c, one debt payment, csa he's the same as me- very little money at the end of the month. I've managed to get the monthly gas payment down by not having the heating on much and using as little hot water as possible, and there's nothing left to scrape down. But I'm obviously in the wrong place as the wtc statement is correct it seems.

dmg24

teresacat wrote: »

But I'm not in debt. I don't owe anybody a a penny!!!
I'm not being funny, but my outgoings are purely bills and £50 a week food. I pay all utilities by monthly d/d, I can't remember the last time I had new clothes, and I haven't had a holiday for 9 years. Our one luxury is Sky tv (for the cricket) and at £38 I don't think it's breaking us.
Once my OH has paid the rent, petrol, c/c, one debt payment, csa he's the same as me- very little money at the end of the month. I've managed to get the monthly gas payment down by not having the heating on much and using as little hot water as possible, and there's nothing left to scrape down. But I'm obviously in the wrong place as the wtc statement is correct it seems.

You misunderstand the purpose of the Debtfree Wanabee board. You don't have to be in debt to use it.

I know endless people that insist that they cannot cut anything else off their outgoings, but it is very surprising when you write it all down to find that there are ways of lowering your outgoings even further.

You have just lost £125 of your monthly income. I think you would be very silly not to see if people can help you get that money back in other ways.

newlywed

teresacat wrote: »

But I'm not in debt. I don't owe anybody a a penny!!!
I'm not being funny, but my outgoings are purely bills and £50 a week food. I pay all utilities by monthly d/d

The Debt free wannabe thread isn't just for people in debt, it helps you not get into debt in the first place. If you post a full list of all your bills and your income, they can help suggest ways to reduce your bills - and not just by freezing and using candles They can help suggest deals and look at whether you may be paying over the top on some of your bills.

Also, the Old Style board will help you to look at ways to cut your shopping down. Eg cooking from scratch rather than buying jars, cooking in bulk and freezing, different supermarkets to try and what to avoid at Lidl/Aldi etc.

As for new clothes - I mostly get mine in charity shops these days - get lots more clothes for your money and it's helping the environment as it's recycling

teresacat

Thanks Newlywed and DMG- I think I've probably come across as ungrateful. If I have I apologise. I'll go have a look, though believe me I'm very good at saving even the pennies. (I buy in charity shops and re-hash old clothes, rarely buy pre-prepared sauces etc, use voucher codes & stock up on offers when they're on, and even have a box of After Eights unopened in the cupboard simply because as long as it's there I won't find the need to buy chocolate!!).
Thanks again for the advice :-)