to ask if most of you realise the tax credits cuts affect people who work, not the unemployed?

[ssd]

yes, that's right, people who work get tax credits, you must work to get them

the cuts affect people in work, not people who dont work

I'm fed up reading here about the lazy unemployed who will get their tax credits cut...err no they wont.

[TheHouseOnBellSt]

If I could like your post I would ssd

[GarminGirl]

Which 'tax credits' are you referring to? Of course people who don't work get them!

[SaucyJack]

Working tax credits are paid to people in work obv.

Child tax credits are paid to everybody.

[ssd]

I refer to child tax credits and working tax credits

I have seen tooo many posts here saying that of course tax credits should be cut, people will now have to go and get a job

well, they have a job, its just low paid, that's why they get tax credits, they are trying and striving and everything else but they are going to lose really vital money soon

[pinktrufflechoc]

Aren't the cuts for future third children?

[ssd]

sorry meant working tax credits of course

[GarminGirl]

ssd I don't think you know what you are talking about here

Yes, unemployed people with children DO get child tax credits!!

[DesertIslander]

Absolutely, OP. In some cases the cuts will encourage people to stop working!

[GarminGirl]

And tax credits aren't ' eing cut' as far as I'm aware,do you have a link?

[ssd]

the cuts are to do with the income disregard, basically it means people on low wages who are working will be hundreds of pounds off next year, we will be £1400 worse off and this seems to be typical.

[OldBloodCallsToOldBlood]

Of course people who are unemployed, who have children, receive child tax credits. No-one is doubting that.

BUT

The majority of claimants work. There will be a massive outcry come April when the income disregard level is changed resulting in vast changes to awards, when people wake up and realise they've voted for a government that classes them as scroungers even though they're employed.

[TripTrapTripTrapOverTheBridge]

Most people do realise. The reason that people often relate it to 'scrounging' though, is that there are many people who have taken advantage of the system either by ensuring they only work the minimum hours so they are boosted with WTC rather than working more and earning, or the hundreds of Facebook and 'mum' businesses that have sprung up that aren't really businesses and don't bring a proper income, heck a lot of them don't even 'work' the prescribed hours. That's why people get annoyed with WTC, as with everything else,it's one half that ruins it and gives a bad name to the other half.

The faux businesses are being clamped down on and stopped too btw

[Reginamangina]

I'm not entirely sure of the logistics of all this but read a newspaper article (can't get page to load for link) which essentially highlighted that the earnings threshold is being cut for working tax credit from approx 6.5K to around £3.8k - you still have to work minimum of 16 (?) hours which has to be paid at least minimum wage. So at 16hrs minimum on minimum wage your yearly income is in the region of £5.4k - now you're above the new threshold and likely pound for pound will have your tax credits taken away. Not everyone is in a position due to health or childcare or caring requirements to be able to work more than 16k.

[Sleepingbunnies]

What really annoyed me was my friend telling me she was thinking of cutting her hours, when I asked how she'd manage she said 'oh tax credits wil top me up'.

If I drop to a 4 day week I lose £7000 and no one will offer to top me up... That's the thing that really irritates me!!

[ghostyslovesheep]

Yup I'll be £1800 worse off

Working lone parent of 3

[TripTrapTripTrapOverTheBridge]

No Regina, every pound earnt above the 'threshold' will lose 48p of tax credits. For those in rented accommodation housing benefit will make up the majority of the shortfall

[yorkshapudding]

I think most people are aware. I have seen a lot of people on MN up in arms against the benefit cuts so I don't think it's as one sided as you make out. Unfortunately, a small minority of people do abuse the system and this leads to resentment, which the media and politicians just love to blow up out of proportion. That said, I know a woman who works 16 hours a week and refuses to increase her hours as the government 'top up' her wages even though her partner doesn't work so is at home to look after the kids all day. I don't for a minute think that her situation is the norm and I don't agree with the cuts but I can see why people resent that kind of thing.

[HappyGoLuckyGirl]

Single parent to one, working 40 hours a week (from 16!), studying at uni.

Worse off by £1700 next year. But that's obviously because I'm a scrounger and deserve it.

[Prelude]

Couples who are Carers 24/7 for 3K p.a each will also lose money. Bloody dossers.

[prorsum]

Yes but they're on benefits and getting money whilst good honest people are striving without help. They're lives are tough and hard so why shouldn't others be.

It's total BS and I wonder how many people really know what's coming when the cuts to WTC come in. This money is not providing luxuries for households.

[TripTrapTripTrapOverTheBridge]

Prelude those who are carers and getting carers allowance won't have anything cut. It's only if in receipt of Working Tax Credits, which carers aren't unless someone is working. Then, if they or their partner is working, it's been rumoured that the Carers Allowance will not be included for the threshold

[BettyCatKitten]

Lots of lone parents will be very badly affected, as if their lives aren't hard enough already

[Prelude]

That's good to know, TripTrap, thank you

[StatisticallyChallenged]

Reginamangina there was something to that effect doing the rounds on Facebook -from women against tories iirc. It was pointed out numerous times that it was factually incorrect but it was left up for ages. They claimed that tax credits had effectively been abolished because min wage x required hours was more than the threshold so nobody would get them. The author clearly didn't understand tax credits