Inherited £25k and need know how affects Childcare Vouchers &CTX

[FullySwindonian]

My lone parent advisor of all people who you'd think could particularly help with this specific query, has admitted she's confused and has no real idea. So I'm wondering if anyone here has experience or knowledge..
I'm going to post this in a few boards to hopefully attract more views.


I have found the perfect job. The only catch is it's an Apprenticeship, so the wages are £125 week! I have savings so would consider taking such a poorly paid job as I can top up with savings and the job earns me useful quals and exp in the long term.

I'm attracted to it regardless as it gives me the training and qualifications to step up into a more regular waged position once the year placement is up, possibly sooner if the experience earnt gains a position elsewhere after a period of time.

I rent a 2 bed house privately and have two children age 7 and 4. No support payment from their absent father. Currently on housing benefit, council tax benefit, income support (changes to Job Seekers Allowance next week). I have inherited £25k but there's a few weeks left yet until the Dept for Work & Pensions finalise their queries and paperwork on it, when I will then become responsible for my full rent, council tax, etc.

As of yet, I still don't know for sure if I continue to receive Child Tax Credit (CTX) or will be entitled to Chilcdare Vouchers as no official agents seem to know either. I had this confirmed once by a welfare rights agent who suggested CTX isn't affected by income, yet her advice contradicted a government website I searched the topic on.



For this Apprentice position anyway, my childcare costs would be £284 month to keep two children in after school club until 6pm (£7.10 a day each) but childcare vouchers only cover £243, leaving a £41 month shortfall.

1)I'm wondering if I'm entitled to childcare vouchers as an Apprentice
2)I have £25k inheritance savings will that affect entitlement to vouchers?
3)Do I still receive Working Tax Credit and/or Child tax Credit with that savings?


Do any other lone parents have experience of inheriting over the £16k savings threshold and can post or PM me on how this affected their back to work or benefits entitlement please?

[PlinkyPlonker]

My understanding is you only have to declare the interest you earn on the savings. Tax credits are only interested in the money you have earnt in a tax year and your inheritance doesn't count as earnings. The other benefits like housing benefit are interested in your overall income/assets So that's why they are affected by the inheritance.

[PlinkyPlonker]

Also on the tax office website is a childcare vouchers vs childcare tax credits calculator. If your childcare provider is eligible ( has an ofsted number ) then you will probably find that claiming for childcare TC is more beneficial than childcare vouchers.