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  • FIRST POST
    • wy2k
    • By wy2k 8th Jul 18, 10:36 PM
    • 10Posts
    • 1Thanks
    wy2k
    Part-time work & tax credits vs full time
    • #1
    • 8th Jul 18, 10:36 PM
    Part-time work & tax credits vs full time 8th Jul 18 at 10:36 PM
    Hello,
    Trying to figure out if being on tax credits and 19 hours
    a week of work financially is better*/same/worse* than just working full time which by my thinking is roughly 33 hours paid a week (36 inc breaks).

    * and by how much?

    I make 8.18 per hour, I pay 7% of my wage (which I'm paid every 4 weeks) into my work pension and 9.40 to be a member of my works union, the only things I don't know the amounts for are my tax and NI employee contributions but my tax code is currently according to my last payslip 1185L.
    Each week I'm currently getting 59.51 tax credits (driven down by the amount of overtime I do over the year).

    thank you
    Last edited by wy2k; 09-07-2018 at 4:22 PM.
Page 1
    • Westie983
    • By Westie983 8th Jul 18, 10:41 PM
    • 4,428 Posts
    • 14,968 Thanks
    Westie983
    • #2
    • 8th Jul 18, 10:41 PM
    • #2
    • 8th Jul 18, 10:41 PM
    Hi,

    I am a board guide here and if I think you will get a better response elsewhere in the forum, I will move your post.

    I will move this to the Benefits and Tax Credits board where you should get a better reply and response.

    Westie983
    Save 12k in 2018 #10 Total (25,000)+11,000/12,000 = 91.66%
    Sealed Pot Challenge ~ 11 #97 Total (410) + 40/500 = 8.00% ( x 11)
    Xmas 2018 1 a Day #2 Total 62.59/365 = 17.14%
    Virtual Sealed Pot #1 Total 1000/1000 = 100.00%
    2 Savers Club 2018 #16 Total (1500)+-480/2000 = 51.00%

    Total 13,122.59/15,865 = 82.71%

    I'm a Board Guide on Budgeting & Bank Accounts, Debt-Free Wannabe, Disability Money Matters, and Savings & Investments. I'm a volunteer helping the boards run smoothly, but I'm not a moderator, and do not read all posts. If you see an inappropriate/illegal post then email forumteam@moneysavingexpert.com
    • Darksparkle
    • By Darksparkle 9th Jul 18, 6:09 AM
    • 5,192 Posts
    • 3,389 Thanks
    Darksparkle
    • #3
    • 9th Jul 18, 6:09 AM
    • #3
    • 9th Jul 18, 6:09 AM
    What age are you?
    Are you single or do you have a partner? If a partner what is their hours/income?
    Any children?
    Any disabilities?
    • wy2k
    • By wy2k 9th Jul 18, 8:01 AM
    • 10 Posts
    • 1 Thanks
    wy2k
    • #4
    • 9th Jul 18, 8:01 AM
    • #4
    • 9th Jul 18, 8:01 AM
    What age are you? 36
    Are you single or do you have a partner? If a partner what is their hours/income? single
    Any children?no
    Any disabilities? well I get the disability allowance for tax credit & get disability living allowance (lower levels)
    • wy2k
    • By wy2k 12th Jul 18, 7:58 AM
    • 10 Posts
    • 1 Thanks
    wy2k
    • #5
    • 12th Jul 18, 7:58 AM
    • #5
    • 12th Jul 18, 7:58 AM
    Forum admin I guess you can delete this post,looks like no one seems interested or able to reply to my query. Thanks anyway.
    • clairec79
    • By clairec79 12th Jul 18, 8:23 AM
    • 2,369 Posts
    • 6,278 Thanks
    clairec79
    • #6
    • 12th Jul 18, 8:23 AM
    • #6
    • 12th Jul 18, 8:23 AM
    https://www.gov.uk/tax-credits-calculator

    I believe you'd get about 30 less in tax credits but approx 90 extra per week take home - so about 60 a week better overall by working the 33 hours
    Last edited by clairec79; 12-07-2018 at 8:23 AM. Reason: .
    • Darksparkle
    • By Darksparkle 12th Jul 18, 9:33 AM
    • 5,192 Posts
    • 3,389 Thanks
    Darksparkle
    • #7
    • 12th Jul 18, 9:33 AM
    • #7
    • 12th Jul 18, 9:33 AM
    It's hard to give accurate figures as tax credits depends on your previous and current tax year income but very roughly speaking:

    19hrs - taxable income 7516 - wtc 4540
    33hrs - taxable income 13054 - wtc 3080

    You'll have to factor in impact on any other benefits, travel costs and other expenses etc.
    Last edited by Darksparkle; 12-07-2018 at 9:35 AM.
    • wy2k
    • By wy2k 12th Jul 18, 9:44 AM
    • 10 Posts
    • 1 Thanks
    wy2k
    • #8
    • 12th Jul 18, 9:44 AM
    • #8
    • 12th Jul 18, 9:44 AM
    Thanks. What does wtc stand for? So I would be better off doing 33 hours then? Which would most likely still be true if it were possible to be more accurate?
    • Darksparkle
    • By Darksparkle 12th Jul 18, 10:05 AM
    • 5,192 Posts
    • 3,389 Thanks
    Darksparkle
    • #9
    • 12th Jul 18, 10:05 AM
    • #9
    • 12th Jul 18, 10:05 AM
    Working tax credits.

    As above, you'd be 60 per week better off working 33 hours if you simply look at wages and tax credits but you need to factor in any other benefits impacted, expenses etc
    • Dandytf
    • By Dandytf 12th Jul 18, 7:49 PM
    • 1,355 Posts
    • 422 Thanks
    Dandytf
    I don't offer calculations though switched to part time during 2017.
    It took almost a full year until I can finally live comfortably though wtc's were increased when I had notified dwp and more importantly increased again considerably after 1 year of part time hours.
    It's not a simple as my example as i had increased pip during 2018.
    I honestly can enjoy working part time though 2017 to early 2018 was hit and miss for one or two bills-vary different from +26 yrs full time.
    Part time is certainly slower paced and I feel removed from the rat race and can cope with 3 shifts rather than 5-7 days shifts.
    I've had very little tax if at all from part time wages.
    OP Good luck with your choice
    sc dmp 2012 13k Jan 2018 8840 paid. 60% approx.
    Mid 2018 Help2save 50 uk pounds per month
    Mid 2018-Virgin Money E-saver V11 -250+50 uk pounds per month
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