Tax Credits & Partners

Warriorsith · 22 February 2006 at 12:05AM

Hi

I'm planning to move in with my girlfriend, and need some advice on Tax Credits etc that she receives already.
My GF has a 2 year old baby, (not mine) and she receives Tax Credits, Housing benefit plus a discount in her Council Tax. She works 16 hours plus per week and earns bout £10000 per year.

I currently work full time and earn £16000 per year, can anyone tell me what effect on her benefits will be once we move in together, as I feel that her benefits shouldn't change even though we'll live together as I'm not the father of the child and that she nor her child shouldn't be penilised for us living together. As for the proper father helping out, that's a no no as each time he's contacted by the CSA he quits his job so he doesn't pay maintance.

Does the Council or Government recognise the fact that we're partners but I'm not the father, or will she loose her benefits as the house we'll live in will be judged on our joint finainces?

Any help with this would be grateful as the council's website is a bit hit and miss and I can't understand it.

Dave

furby-2003 · 22 February 2006 at 12:11AM

you are still considered a partner if you live together and her benefits will really be affected.

Don't know how much it will change but since my partner moved in with me it changed dramaticly and the pay was pretty much the same as yours

CIS · 22 February 2006 at 12:13AM

You will be deemed as a couple and the tax credits will drop. The 'gross' amount of tax credits (a series of elements based on circumstances) is nearly always the same whether you are a couple or single (unless you have disabilities) , its the 'net' amount of tax credits that are affected by the total household income.

The award should drop by around 37% of your income , or £6000 per annum.

The HB and CTB will end as £26000 is way abovethe maximum thresholds for those benefits, she will also loose her 25% single persons Council Tax reduction.

exil · 22 February 2006 at 10:35AM

OK.

Current position

- you - single - 16k. Tax credit - 0
her - single parent. Tax credit (based on figures you gave) - about 70 a week.
Plus housing benefit, council tax benefit.

When you move in

Joint income - 26k. All you'll get will be the basic Child Tax Credit of about 10 a week.

But - you will now be sharing the rent, bills etc. You will certainly be able to live cheaper together than separately.

By the way. You ARE the child's father as soon as you move in. Are you not going to contribute to its support at all?

Alleycat · 22 February 2006 at 11:25AM

With an increase in joint income of £16,000 your partner will almost definately lose most of her benefits. She would still be entitled to child tax credit (not the working tax part as joint income would be above the threshold), child benefit. Housing Benefit would take into account both incomes as would Council Tax Benefit as this is based on the household/property not each individuals circumstances living in the property.

As has already been pointed out, your household bills would be reduced quite significantly, one joint rent, council tax (albeit you would both lose the single persons discount, but this is only 25%), gas, electric, water etc.

Have a look on https://www.entitledto.com for further information on how your joint finances would affect your partner's benefit entitlement.

Scarlett1 · 22 February 2006 at 11:55AM

Warriorsith wrote:

Hi

I feel that her benefits shouldn't change even though we'll live together as I'm not the father of the child and that she nor her child shouldn't be penilised for us living together

sorry but I have to say it, do you feel any compasion towards the child whatsoever, cause you keep saying that the child isnt yours as if to say that he/she isnt your responsibility, have you actually realised that once you move in with a single parent you take on her and her child

and that means paying towards the childs keep, whether the absent parent pays csa or not :rolleyes:

you wont be penalised for living together, its called supporting yourself in society and coming off benefits, and with a joint income of £26,000 you certainly wouldn't be living in poverty :mad:

crutches · 22 February 2006 at 8:52PM

every relationship means taking on your loved ones baggage....children are just a more physical aspect of this.As a stepmum i think that you may be ammazed that whatever you put into the relationship with this young child you'll gain back a thousand fold.
If you are man enough for this relationship then you take on ALL that is involved.!;)

Warriorsith · 23 February 2006 at 10:30AM

Thanks to all your replies, I appreciate it. A couple of you seem to think that I'm not pulling my weight in this relationship which must have come accross wrong with this post hence me writing it, if that makes sense.

Don't for one minute think that I don't contribute to 'society' I have paid more than my fair share in taxes to support people who purposely go on benefits, the benefits that my partner is on wont really effect me as there design to help the child, it's just I find it unfair that they would get reduced so much when I move in with them that's all.

And yes the time I spend with both of them is good and i notice that her child is picking up things I say and habits I do, I'm am more than man enough for the relationship I'm in and more willing to be there than the child's original father who doesn't do any favours for her.

Either way many thanks for all your replies.

Tax Credits & Partners

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